Heat oil in medium saucepan over medium-high
heat until hot and shimmering but not smoking,
about 2 minutes; add onion and cook, stirring
occasionally, until softened and beginning to
brown, about 5 minutes. Add garlic, chili
powder, coriander, cumin, salt, and sugar; cook,
stirring constantly, until fragrant, about 30
seconds. Add tomato sauce and 3/4 cup water or
broth; Bring to simmer, then reduce heat to
medium-low; simmer uncovered, stirring
occasionally, until flavors have melded, about 8
minutes.
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