Tuesday 11/March/2025 – 09:35 AM
Oil prices fell during early transactions, today, Tuesday, registered a decrease for the second day in a row, due to fears that the American customs duties on Canada, Mexico and China may slow global economies and affect the demand for energy, at a time when the OPEC group+ continues to increase its supplies.
By 00:16 GMT, Brent crude futures fell 29 cents, or 0.42%, to $ 68.99 a barrel, while US West Texas Intermediate crude futures decreased 36 cents, or 0.55%, to $ 65.67 a barrel.
The protectionist policies pursued by US President Donald Trump raised a disturbance in the global markets, as it imposed customs duties on Canada and Mexico, who are senior oil suppliers of the United States, before its implementation is postponed and fees increase on Chinese goods, China and Canada responded with similar fees on the United States, according to Reuters.
The American economy faces a transitional period
Trump said at the beginning of the week that there is a possible “transitional period” faced by the economy, but he refused to speculate on whether the United States would head towards stagnation, amid financial market fears about the impact of its commercial policies.
The first commodity analyst in AN Daniel Heinz said that Trump’s statements sparked a wave of sale, as investors began assessing the risk of poor demand growth.
The shares, which are usually affected by oil prices, fell on Monday, as the three main indicators in Wall Street have registered sharp declines. The Standard & Poor’s index recorded the largest daily decline since December 18, and the NASDAC index decreased by 4%, in its largest daily decline since September 2022.
As for the supply level, Russian Deputy Prime Minister Alexander Novak said on Friday that the OPEC+ group may reconsider the decision to increase production, scheduled for its implementation in April, if the market witnesses a balance in balance.
In the United States, a preliminary poll conducted by Reuters on Monday showed that crude oil stocks are expected to rise during the past week, while the outbreaks of distillation and gasoline products are likely to decrease.
The poll was held before the US Petroleum Institute report, scheduled for 20:30 GMT today, and the Energy Information Administration report, the statistical arm of the US Department of Energy, scheduled for Wednesday.
