Oil swings after biggest drop in five weeks as equities gain

Oil swung between gains and losses after its biggest drop in more than five weeks as broader markets climbed and European Union talks with Hungary on sanctioning Russian oil imports advanced.

West Texas Intermediate futures climbed near US$103 a barrel after sliding 6 per cent on Monday as equity markets rose on dip buying. 

Talks between Hungarian Prime Minister Viktor Orban and the European Union on Russian oil import sanctions made progress, but failed to reach a breakthrough, both sides said. Meanwhile, Saudi Arabia’s oil minister warned that all sectors of the energy market are running out of spare capacity, while his counterpart from the United Arab Emirates added that oil prices could double or even triple in a chaotic market.