DTN Oil Update
Oil Futures Fall on Venezuela News, Pre-Weekend Selling
DAVENPORT, Fla. (DTN) -- Oil futures settled lower Friday, led by losses in crude contracts on news that the Trump administration is preparing to allow Chevron to resume pumping oil in Venezuela, marking an abrupt reversal of White House policy toward Caracas, multiple media outlets reported. Refined products also declined, pressured by pre-weekend selling and cautious sentiment around global trade.
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The front-month NYMEX WTI futures contract fell by $0.87 to $65.16 barrel (bbl), while September ICE Brent futures contract declined by $0.76 to $68.42 bbl.
August RBOB gasoline futures dropped by $0.0072 to $2.097 gallon, and the front-month ULSD futures contract eased by $0.0067 to settle at $2.4062 gallon.
The U.S. dollar strengthened by 0.286 points to 97.41 against a basket of foreign currencies.
The diesel crack spread held at $35.77 bbl, near recent highs. Front-month ULSD futures settled just above the $2.40 per gallon level, highlighting continued strength in the diesel complex. The market remains firmly backwardated, emphasizing tight supply conditions in the near term.
The gasoline crack spread advanced $0.59 during the session to settle at $22.93 bbl.
Energy market participants continued to closely monitor developments in Washington's ongoing trade discussions with several major economies, following a U.S.-Japan tariff agreement reached earlier in the week. Market participants remain attentive to the potential for further progress ahead of the Aug. 1 tariff deadline.
