04:56 AM EDT, 04/10/2024 (MT Newswires) -- Crude oil prices recorded some losses as traders assessed the geopolitical backdrop, ANZ Bank said in a Wednesday note.

Brent crude was at US$89.76 per barrel and West Texas Intermediate crude was at US$85.54/b at last look early Wednesday. The risk to oil supply disruptions remain elevated amid warnings from Iran's Revolutionary Guard that it has the ability to disrupt trade through the Strait of Hormuz, the bank noted.

However, the broader fundamental outlook remains positive, ANZ Bank said. A new Chinese mega-refinery received an import quota for this year, with the volume equating to about 167,000 barrels per day of additional crude import demand. This comes amid an improving manufacturing sector in the country.

Meanwhile, sentiment out of the FT Commodity Summit has been bullish, with major trader Vitol expecting demand growth of 1.9 million b/d this year, which is more than 30% higher than the International Energy Agency's estimate, the bank said.