Oil futures edged lower Thursday morning, after the International Energy Agency’s monthly report underscored worries that rising global trade tensions could undercut energy demand.

The International Energy Agency said the macroeconomic conditions underpinning its oil-demand projections have worsened over the past month due to global trade tensions.

Global oil demand is under pressure from the escalating trade war at the same time that OPEC+ is reviving output, threatening to deepen a supply surplus, the International Energy Agency said.

India's crude oil imports from Latin America and Africa rose marginally in February as refiners turned to alternative sources, fearing a loss of Russian oil supplies caused by tighter U.S. sanctions,

Non-sanctioned vessels were delivering cargoes, while some shipments were diverted from Turkey. The flow recovery to the world's third-largest oil importer and consumer is easing a supply glut and lowering prices for rival Middle East grades.

India’s state-owned refiners are in talks with traders selling Russian crude. These discussions indicate that there is sufficient supply to meet the current demand, according to a Bloomberg report. This eases concerns that the flow of crude could slow down in the coming months due to the recent US sanctions.