Russia faces the threat of US sanctions on its oil exports after August 8 if it fails to reach a deal to end its war with Ukraine.
Today, the WTI crude oil for September delivery was last seen trading at $ 0.96 (or 1.47%) to $ 64.20 per barrel.
US President Donald Trump recently threatened Russia to stop its war with Ukraine or face serious sanctions and stated that countries buying oil from Russia would also face high “secondary sanctions”. He determined August 8 as a time frame date.
Today, Trump announced an additional 25% tariff on India as a “fine” for continuous import of Russian crude oil on India, which took the total duties on the import of Indian goods to 50% in the US. This “penalty tariff” will be effective in 21 days.
The data released by the US EIA in its petroleum status report showed that for the week ended August 1, crude oil inventions in the US fell from 3.029 million barrels; Gasoline stock fell from 1.323 million barrels; And pure crude imports fell from 794,000 barrels per day.
The data released by the API on Tuesday revealed that 4.2 million barrels collapsed in American crude oil inventions for the week ended August 1.
In addition, distilled fuel production decreased to 104,000 barrels; Distilleted stock decreased by 565,000 barrels; And gasoline production has come down to 239,000 barrels
OPEC+ will complete its largest voluntary production cut next month after the members-nations agree at the end of this week to promote production in September per day in September. The group agreed to the rollback of 2.2 million BPD deductions. The group peak is trying to capitalize on summer demand which will end in September.
Allegedly, the demand for oil in Asia is not as strong as it is believed to be due to the ongoing trade war with the US. Chinese refiners are increasing their stockpiles to reduce imports.
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