Crude oil prices held steady during early trading in Asia on Friday but remained on course for their sharpest weekly decline since late June, as fresh tariffs sparked fears of a slowdown in global economic growth.
Brent crude futures inched down three cents to $66.40 per barrel by 0050 GMT, while U.S. West Texas Intermediate (WTI) futures slipped six cents to $63.82 per barrel. Brent is on pace to lose over 4% this week, and WTI more than 5%, amid rising investor anxiety over reduced energy demand.
The dip follows the implementation of new U.S. trade tariffs on Thursday targeting several major economic partners. Analysts at ANZ Bank said the levies heightened concerns about a potential drop in industrial activity, which could curb the need for crude.
Oil markets were already under pressure after OPEC+ announced last weekend that it would end its largest production cut earlier than planned, fully rolling it back by September. The decision added to the oversupply worries.
WTI futures have now fallen for six straight sessions, matching a losing streak not seen since December 2023. Should prices close lower again on Friday, it would mark the longest decline since August 2021.
Geopolitical developments added another layer of uncertainty. The Kremlin confirmed on Thursday that President Vladimir Putin is scheduled to meet President Donald Trump in the coming days, fueling speculation about a potential diplomatic breakthrough in the conflict in Ukraine.
While new U.S. tariffs on Indian imports of Russian oil helped slow the decline in prices, analysts at StoneX cautioned that the move is unlikely to significantly disrupt Russia’s oil exports.
Trump also signaled the possibility of similar trade penalties on China, the top buyer of Russian crude, adding further volatility to an already nervous market.
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