Crude-oil futures edged higher on Wednesday following a “meaningful escalation” this week in tensions between Russia and Ukraine, but prices traded off the session’s highs after data showed a modest weekly rise in U.

The U.S. dollar was also up on Tuesday at nearly its highest level in a year, while another persistent oil production outage at the Tengiz oilfield in Kazakhstan has resulted in a 30% decline in production for the field while repairs are completed.

Oil prices edged up on Tuesday, extending the previous day's rally driven by a halt in production at Norway's Johan Sverdrup oilfield, though investors remained cautious amid fears of an escalation in the Russia-Ukraine war.