Global oil markets closed in negative territory on Tuesday.
The previous day, oil prices had surged 3% after U.S. President Donald Trump threatened to impose tariffs of 20-50% on countries importing Russian oil, putting pressure on Russia. However, markets showed a wait-and-see attitude on Tuesday ahead of Trump’s announcement on reciprocal tariffs.
The White House confirmed that Trump would unveil major tariff plans on Wednesday, which would be implemented immediately.
According to the Washington Post, White House officials have proposed a universal 20% tariff on most imports. As it remains uncertain whether the administration will enact universal or reciprocal tariffs, White House Press Secretary Karoline Leavitt stated that Trump made his decision overnight.
With a major tariff announcement expected to reshape global trade dynamics just a day away, oil markets saw a slight decline amid cautious trading.
Brent crude, the international oil benchmark, settled at $74.49 per barrel for the June contract, down $0.28 (0.37%) from the previous session.
The U.S. benchmark, West Texas Intermediate (WTI), saw its May contract drop $0.28 (0.39%) to close at $71.20 per barrel.
