DTN Oil Update
Oil Extends Losses, Eyeing Largest Weekly Drop in 6 Weeks
VIENNA (DTN) -- Oil prices extended losses Friday morning after having declined for six consecutive trading days and were set for the steepest weekly drop since late June. Reports of a potential deal between Russia and the United States eased concerns around Russian crude oil supply, adding to bearish pressure.
NYMEX-traded WTI for September delivery fell $0.33 to trade near $63.55 bbl, and ICE Brent for October delivery slid $0.23 to $66.20 bbl.
September RBOB gasoline futures declined by $0.0075 to $2.0700 gallon, while the front-month ULSD futures contract rose $0.0135 to trade near $2.2803 gallon.
The U.S. Dollar Index softened by 0.144 points to 98.085.
Weak macroeconomic indicators, high tariffs and OPEC+ output hikes pressured prices just below the trough hit in late June. Earlier this week, U.S. President Donald Trump reiterated secondary tariff threats on buyers of Russian oil, announcing a doubling of tariffs for U.S. imports of Indian goods, to take effect in September. Reports about a possible deal between the U.S. and Russia have now put into question the one bullish factor which had been easing the fall in prices.
Next, market participants will be closely watching the outcome of an announced meeting between Presidents Donald Trump and Vladimir Putin, set to take place in the coming days.
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