Oil steady, possible Indian halt of Russia imports lends support

Oil prices were stable on Thursday as traders prepared for a potential halt to India's Russian oil imports, which could reshape flows and boost demand for supplies from elsewhere.

Brent crude futures were down 28 cents, or 0.45%, to $61.63 a barrel at 12:40 p.m. EDT (1640 GMT). U.S. West Texas Intermediate futures were down 19 cents, or 0.33%, to $58.08.

U.S. President Donald Trump said Prime Minister Narendra Modi had pledged on Wednesday that India would stop buying from Russia, which is India's top oil supplier, accounting for about one-third of its oil imports.

"This is a positive development for the crude oil price as it would remove a big buyer of Russian oil," said Tony Sycamore, a market analyst at IG.

Both contracts on Wednesday touched their lowest since early May on U.S.-China trade tensions and concerns about a looming supply glut.

Some Indian refiners are preparing to cut Russian oil imports, with expectations of a gradual reduction, three sources familiar with the matter told Reuters.