06.08.202518:31:50UTC+00WTI Falls to Six-Week Low on Sanction Uncertainty

West Texas Intermediate (WTI) crude oil futures experienced a shift in momentum, closing with a 1.2% decline to $64.3 per barrel on Wednesday. This marks the fifth consecutive day of losses, reaching a new six-week low. Initially, prices climbed due to concerns over supply after President Trump's executive order to impose a 25% tariff on Indian goods, a response to India's continued import of Russian oil. Additionally, a more significant than anticipated drop of 3 million barrels in U.S. crude inventories offered temporary price support. However, this upward trend reversed upon comments from U.S. Secretary of State Marco Rubio, who hinted at a potential announcement concerning sanctions on Russia, creating further market uncertainty. The market sentiment was also dampened by expectations that OPEC+ members may soon increase supply. Currently, traders are keenly observing for clear guidance on any impending sanctions or tariffs, along with their possible repercussions on the global supply chain.