Lagos — Crude oil futures could remain under pressure following a volatile session on Monday. Prices experienced a sharp decline during the last few sessions due to concerns over the potential impact of U.S. tariffs, which could trigger an economic slowdown and reduce global demand.
Expectations of an increase in U.S. crude inventories could limit the potential for a recovery in the near term. On the other hand, producers may reduce drilling activity in response to prolonged price weakness, providing some support.
The oil market outlook remains uncertain, with U.S. President Trump’s tariffs serving as a significant source of volatility. These tariffs have raised concerns about escalating trade tensions, particularly with China. Should tariffs increase further, the risk sentiment could sour, exacerbating fears of a global recession.
*Hassan Fawaz Chairman & Founder of GivTrade
This article was originally posted at sweetcrudereports.com
Be the first to comment