Oil held broadly steady today as traders shrugged off any possible impact on oil flows from the US capture of President Nicolas Maduro of Venezuela, home of the biggest global oil reserves.
Brent crude futures were up 37 cents, or 0.6%, to $61.12 a barrel this afternoon, while US West Texas Intermediate crude ticked up 41 cents, or 0.7%, to $57.73 a barrel.
The benchmarks have crept in and out of negative territory in European trading as markets digested news that the US had captured Venezuela's leader and that Washington would take control of the OPEC member, whose crude exports had been under a US embargo which is staying in place.
In a global market with plentiful oil supply, analysts said any further disruption to Venezuela's exports would have little immediate impact on prices.
Oil output in the country has plummeted in recent decades amid mismanagement and a lack of investment from foreign firms after Venezuela nationalised oil operations in the 2000s.
Output averaged around 1 million bpd last year, or just 1% of global production.
Venezuela's acting president offered on Sunday to collaborate with the US.
"This reduces the risk for an extended embargo on Venezuelan oil exports, with oil potentially flowing freely out of Venezuela in not too long," said SEB analysts. Shares of US energy companies rallied.
Others were more hesitant. "The oil market is faced with a surplus unrelated to Venezuela. We can see why the market may focus on the bearish angle of more barrels out of Venezuela; we just do not see that happening quickly," said Bernstein analysts.
Trump also raised the possibility of further US interventions, suggesting Colombia and Mexico could face military action if they did not reduce the flow of illicit drugs.
Analysts are also watching Iran's reaction after Trump threatened on Friday to intervene in a crackdown on protests in the OPEC producer.
Elsewhere, the Organization of the Petroleum Exporting Countries and its allies decided to maintain their output over the weekend.
