Brent Crude Oil Price Reaches $63.47 Per Barrel in Latest Trade
Global Oil Prices Fluctuate Amid US-China Trade War Tensions
The uncertainty created by changing tariff policies between the US and China continues to impact global oil prices. Yesterday, the price of a barrel of Brent oil rose to $64.95 but closed the day at $64.38. Today, as of 9:15, the price of Brent oil has decreased by approximately 1.41% to $63.47 per barrel, while Western Texas Intermediate (WTI) crude oil is being sold at $60.11 per barrel.
The ongoing trade war between the two largest economies in the world is a major concern for investors and has led to fluctuations in oil prices. The White House has indicated that President Donald Trump is open to a Customs and Trade agreement with China, but stressed that China needs to make the agreement with the US.
In response to US tariff increases, China has retaliated with similar measures. The trading war has led to increased tariffs, with the US imposing tariffs of up to 145% on Chinese imports and China responding by raising tariffs on US goods by up to 125%. The uncertainty surrounding these tariffs has influenced global oil prices.
The tensions between the US and China have also negatively impacted global oil demand. The International Energy Agency (IEA) has revised its oil demand forecast for this year downwards by approximately 300,000 barrels per day. Similarly, the Organization of Petroleum Exporting Countries (OPEC) has also adjusted its global oil demand forecast downwards by 150,000 barrels.
In addition, the American Oil Institute (API) reported an unexpected increase of 2.4 million barrels in US crude oil stocks last week, contrary to market expectations. This increase has raised concerns about demand in the world’s largest oil consuming country.
As the US-China trade war continues to unfold, global oil prices remain volatile. The Brent oil price is currently facing resistance at $68.48 and support at $59.09. Investors and analysts are closely monitoring developments in the trade war and its impact on oil markets.
