By Arathy Somasekhar and Jeslyn Lerh

SINGAPORE (Reuters) – Oil prices were little changed on Wednesday as markets weighed US President Donald Trump’s declaration of a national energy emergency on his first day in office and its impact on supply.

futures rose 9 cents to $79.38 per barrel at 0420 GMT, while US West Texas Intermediate crude futures (WTI) inched up 1 cent to $75.84.

Contracts settled lower on Tuesday after Trump outlined an ambitious plan to boost oil and gas production, including declaring a national energy emergency to speed up permitting, rolling back protections to environment, and US withdrawal from the Paris climate pact.

“Market participants are trying to digest the mixed signals brought by Trump 2.0 for the trajectory for oil prices,” said Yeap Jun Rong, market strategist at IG.

“Near-term focus is on if his goal to fill the US strategic reserves materialises,” said Yeap, adding that the focus is on his future tariff policy.

Trump’s latest energy policy is unlikely to spur near-term investment or change U.S. production growth, analysts at Morgan Stanley (NYSE:) wrote in a note, adding that it could, however, moderate the potential decline in refined product demand.

Analysts also questioned whether Trump’s promise to fill the strategic reserve would create any changes in oil demand as the Biden administration is already buying oil for the emergency stockpile.

Investors also remain cautious as Trump’s trade policy remains unclear. He said that he is considering imposing a 25% tariff on imports from Canada and Mexico from February 1, rather than his first day in office as previously promised.

The US president also added that his administration will “probably” stop buying oil from Venezuela, among the country’s top oil suppliers.

Meanwhile, a rare winter storm lashed the US Gulf Coast on Tuesday, and much of the United States remains in a dangerous deep freeze.

Oil production in North Dakota is expected to drop between 130,000 and 160,000 barrels per day (bpd) due to extreme cold weather and related operational challenges, the state’s pipeline authority said Tuesday.

The storm’s impact on oil and gas operations remained limited in Texas, with minimal disruptions to gas flows, some power outages and high fuel inventories at the pump, as many roads and highways remain closed.