West Texas Intermediate (WTI) crude remains under pressure near $66 per barrel, as uncertainty surrounding global trade tariffs and rising U.S. stockpiles weigh on market sentiment. The oil market continues to struggle for direction, with supply-demand dynamics clouded by geopolitical risks and economic concerns.
Recent U.S. tariff actions have sparked fears of slower global trade, which could dampen energy demand in key consumer markets. Investors remain wary of potential retaliatory measures from major economies, as escalating trade tensions could disrupt economic growth and fuel market volatility.
Adding to the bearish outlook, U.S. crude inventories have seen a steady increase, signaling ample supply at a time when demand expectations remain uncertain. Rising stockpiles often put downward pressure on prices, limiting any immediate upside for oil despite geopolitical risks in key production regions.
Despite the weakness, some analysts believe OPEC+ production cuts could provide a floor for prices, preventing a deeper selloff. However, with global economic conditions still fragile, the oil market remains highly sensitive to shifts in demand expectations and macroeconomic trends.
Looking ahead, traders will closely monitor upcoming U.S. economic data and Federal Reserve policy signals, as interest rate expectations could influence broader market sentiment. Any indication of slowing growth or weaker industrial activity may further weigh on crude prices.
For now, WTI remains on the defensive, with tariff uncertainty and rising inventories keeping bulls on the sidelines. Until clearer signs of demand recovery emerge, oil prices are likely to remain range-bound with a bearish bias.
