FX.co ★ WTI Crude Oil Rises for 4th Session

WTI crude oil futures increased to $63.8 per barrel on Tuesday, marking the fourth consecutive rise and reaching the highest point in over a month. This uptick comes amid new threats of sanctions against Iran and an improved outlook for global trade dynamics. In an address to Saudi officials, U.S. President Trump underscored the potential for sanctions on Iranian oil should there be no compliance with their nuclear agreement. Consequently, fears of economic repercussions eased as the U.S. and China agreed to temporarily reduce tariffs on each other. Nonetheless, uncertainty looms regarding the measures that will follow the expiration of the 90-day truce. This uptrend in futures occurred despite Saudi Arabia's efforts to boost oil production and impose penalties on members not meeting output expectations. OPEC's total output has exceeded projections since April, with May production likely increasing by 411,000 barrels per day. Oil remains down by 10% since early April, following reciprocal U.S. tariffs that heightened concerns over weakened global growth and decreased fuel consumption.