6 Mar 2025
Crude oil traded near its lowest in years on Wednesday after the US tariffs announcement.
Brent Crude Oil dropped by 6.5% this week to $68.34, the lowest since December 2021.
OPEC+, the alliance between oil producing nations from the Organization of the Petroleum Exporting Countries (OPEC), led by Saudi Arabia, will produce more oil between April 2025 and September 2026. It had reduced production from November 2023.
Along with this, the US tariffs levied on Canada, China, and Mexico, and allegedly, Kazakhstan’s ongoing overproduction, caused the crude oil prices to decline. Crude inventories grew by 3.6 million barrels to 433.8 million last week.
The US also ended oil producer Chevron’s license to operate in Venezuela and export oil. This decision may reduce the supply by 200,000 barrels per day.
Also, the US tariffs may cause a correction of around ₹3,000 per tonne in Indian steel prices. Discounted steel exports from Japan, China, and South Korea hit a record high in FY2025.
Never miss another post from SalestorrsNews150. Follow Salestorrs on WhatsApp, LinkedIn, Facebook, X, and Instagram.