Oil Poised for Third Weekly Gain Ahead of Trump’s Tariffs
Oil headed for a third weekly advance as the market braces for more tariffs from the Trump administration.
Brent traded near $74 a barrel after closing 0.3% higher on Thursday, while West Texas Intermediate was close to $70. Tariffs on auto imports and so-called reciprocal levies are among US measures due next week, part of a developing global trade war.
Oil traders face an uncertain outlook as they grapple with President Donald Trump’s policies and an OPEC+ plan to revive idled output. Brent futures have been rangebound for the past six months, trading in a band of about $15 between the high $60s and low $80s.
“Fundamentals are weak,” said Kim Kwangrae, a commodities analyst at Samsung Futures Inc. US sanctions and tariffs have underpinned recent gains, while geopolitical tensions added to uncertainty.
Earlier this week, Vitol’s chief executive officer said while there are some threats to supply, it’s generally adequate for the next couple of years. Meanwhile, Venezuela is boosting oil exports to China as the Trump administration deploys sanctions and secondary tariffs to squeeze the Latin American nation.
Source: Bloomberg
