FX.co ★ Oil Hovers Near 3-Week High

On Tuesday, West Texas Intermediate (WTI) crude oil futures remained close to a three-week peak of $69 per barrel. This came amid concerns about tightening global supply following President Donald Trump's threat to impose a 25% tariff on U.S. imports from countries purchasing oil from Venezuela, effective April 2. Such a move could disrupt the oil supply to major refining hubs in China, India, Spain, and the United States. However, potential upward momentum in prices may be offset by the administration's decision to extend Chevron's deadline for winding down its Venezuelan oil operations and exports until May 27. Additionally, Ukraine-Russia ceasefire talks have raised the possibility of increased Russian oil exports if an agreement is reached. The anticipation of an OPEC+ production increase as early as April also suggests an uptick in supply. Meanwhile, investors are keenly awaiting further details on Trump's reciprocal tariffs, including the specifics of the duties and the countries that will be affected, which are expected to be announced next week.