Brent crude rose to $66 a barrel after gaining 1.3% in the previous session. West Texas Intermediate (WTI) traded close to $63 a barrel. These gains came despite growing concerns about global economic stability.
Tariffs Fuel Market Uncertainty
Markets have been unsettled by sweeping tariffs imposed by the Trump administration. Retaliatory measures from other countries have added to the volatility. Investors fear that the trade tensions could slow global economic growth.
U.S. to Appeal Tariff Ruling
The U.S. government plans to appeal a court ruling that challenges its broad tariff strategy. The decision affects tariffs applied worldwide, including higher duties on Chinese imports.
OPEC+ to Meet Amid Bearish Oil Sentiment
Since mid-January, oil prices have weakened due to worries over the impact of tariffs. The increase in spare capacity from OPEC+ has also added pressure. Major producers in the group will meet on Saturday to decide their production strategy for July. Many expect OPEC to boost output again.
Chris Weston, head of research at Pepperstone Group in Melbourne, said, “The market generally sees these headlines as positive risks in the short term.” Still, he noted that traders are mainly watching “OPEC+ supply dynamics.”
U.S. Crude Inventories Fall
In the U.S., the American Petroleum Institute (API) reported a decline in crude inventories. According to a document reviewed by Bloomberg, stockpiles dropped by 4.2 million barrels last week. Official data from the U.S. government is expected later on Thursday.
