FX.co ★ Oil Holds Decline

WTI crude oil futures steadied at approximately $66.3 per barrel on Tuesday, following a three-day decline, as worries about an oversupply emerged due to OPEC+'s recent decision to raise production levels despite the looming threats to Russian oil availability. On Sunday, OPEC+ announced plans to increase output by 547,000 barrels per day in September, thus fully reversing a cut of 2.2 million barrels per day previously implemented by eight member nations in 2023. Concurrently, the United States intensified its pressure on India to cease purchasing Russian oil, as Washington aims to encourage Moscow toward a peace settlement with Ukraine. In response, President Donald Trump declared on Monday his intention to "significantly raise" tariffs on Indian exports, currently subject to a 25% duty, due to their continued import of Russian oil. These developments are unfolding against a backdrop of global demand uncertainty, exacerbated by ongoing trade disputes and lackluster economic indicators.