NEW DELHI, Feb 21 Reuters Oil prices regained some ground in Asian trade on Wednesday amid concerns over attacks on shipping in the Red Sea and growing expectations that cuts to U.S. interest rates will take longer than thought.

Brent crude futures rose 24 cents or 0.3 to 82.58 a barrel by 0721 GMT, while U.S. West Texas Intermediate crude futures WTI were up 21 cents or 0.3 at 77.25.

The Brent and WTI contracts fell 1.5 and 1.4, respectively, from near threeweek highs on Tuesday as the premium for prompt U.S. crude futures to the secondmonth contract more than doubled to 1.71 a barrel its widest level in roughly four months.

That encourages energy companies to sell now rather than paying to store product for future months. The premiums slid to 4 cents a barrel on Wednesday.

Crude futures prices have become relatively rangebound, and have at least 67 per barrel of risk premium embedded at current levels, said Vandana Hari, founder of oil market analysis provider Vanda Insights.

She said prices could remain rangebound until the next turning point in the Gaza crisis, whether that be a deescalation through a ceasefire or an exacerbation by Israel39;s onslaught in Rafah.

Attacks in support of the Palestinians on vessels in the Red Sea and Bab alMandab strait by Yemen39;s Iranaligned Houthis have continued to stoke concerns over freight flows through the critical waterway. Drone and missile strikes have hit at least four vessels since Friday.

Washington on Tuesday…