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Market & Economic Intelligence Platform Insight on Macro, Commodities, Equities & Policy

28 February 2025 12:25  |

Oil heads for first monthly drop since November as economic uncertainty weighs

Oil prices eased on Friday, heading for their first monthly drop since November, as uncertainty over global economic growth and fuel demand from Washington's tariff threats and further signs of a U.S. economic slowdown outweighed supply concerns.

The more active May Brent crude futures slipped 31 cents, or 0.4%, to $73.26 a barrel by 0348 GMT, while U.S. West Texas Intermediate crude futures were at $70.04 a barrel, down 31 cents, or 0.4%. Front-month Brent that expires later on Friday traded at $73.69, down 35 cents, or 0.5%.

Both benchmarks are on track to post their first monthly decline in three months.

U.S. President Donald Trump on Thursday said his proposed 25% tariffs on Mexican and Canadian goods will take effect on March 4, along with an extra 10% duty on Chinese imports.

Economists at Fitch's BMI research unit said market participants are struggling to gauge the impact of the flood of energy-related policy announcements made by the Trump administration this month.

Source: Reuters

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