Oil prices extended their decline as markets reacted to escalating trade tensions following renewed tariff threats from former U.S. President Donald Trump. The prospect of heightened tariffs raised concerns over global economic stability, further pressuring crude demand expectations. Brent crude settled lower, reflecting traders’ cautious sentiment amid uncertainty over trade policies and their potential impact on energy markets.
Market participants are closely monitoring the potential ripple effects on demand forecasts. With geopolitical uncertainties intensifying, investors are factoring in weaker growth and a potential slowdown in industrial activity, which could weigh heavily on oil consumption. The market’s focus remains fixed on trade developments, leaving little room for recovery in energy prices.
