Oil Rises for 2nd Session
Brent crude oil futures rose over 1% to above $65.5 per barrel on Thursday, supported by a US court ruling that blocked many of President Trump’s global tariffs, calling them illegal. The decision eased market fears about the impact of tariffs on global growth and oil demand.
While the Trump administration plans to appeal, the move boosted risk appetite across markets. Oil also found support from geopolitical tensions, as Libya’s eastern government threatened to halt production after a militia stormed the state oil company’s HQ, underscoring risks to supply.
Despite recent gains, oil prices remain under pressure from concerns about OPEC+ production increases and the broader impact of Trump’s trade policies. OPEC+ is set to meet Saturday and may approve more supply hikes for July. Meanwhile, new US sanctions on Russia are being considered, though their impact is seen as limited so far. US crude inventories fell by 4.2 million barrels last week, according to API data.
Source: Trading Economics