Oil prices decrease 0.3% in the customs war and excess exhibit expectations

Oil prices decreased slightly, while customers monitored the latest US moves in the customs war, amid a growing consensus that the market will witness a surplus in the supply.

Brent crude fell in June delivery by 0.3% to settle at 64.67 dollars a barrel, and the “West Texas” crude contracts also fell 0.3% as well, to settle near $ 61 a barrel, ending a series of gains that lasted two sessions.

These declines come amid the European Union and the United States a little progress in the trade talks this week, at a time when the administration of US President Donald Trump indicated that most of the customs duties imposed on the European bloc will remain.

The International Energy Agency has reduced its expectations for oil this year by about a third, and expected that the excess of the supply would continue until 2026.

The crisis of fees and economic slowdown leads more pessimistic expectations
Oil prices fell by about 10 dollars this month, after the trade war that US President Donald Trump started with fears of global economic stagnation that could harm energy demand, especially in the United States and China, the world’s largest consumers in the world.

Fears regarding economic growth prospects and energy agencies have prompted their expectations for oil prices, while analysts reduced their prices, at a time when the possibility of exhibiting supply increased, coinciding with the decision of the OPEC+coalition to reproduce to the market at a faster pace than expected.

The Organization of Oil Exporting Countries (OPEC) has already reduced its expectations for consumption during the next two years by about 100,000 barrels per day, after a larger reduced by the US Energy Information Department last week.

Energy Aseckets has reduced its annual oil expectations for $ 10 per barrel, noting that the global recession has become almost certain.

“The surplus of the oil market in 2025 is increasing. The mix of poor demand and acceleration of production increases from OPEC+refers to a larger surplus in 2025 than we expected a few months ago.”