FX.co ★ Oil Nudges Higher

WTI crude oil futures climbed, nearing $61 per barrel on Thursday, marking the fourth consecutive session of gains. This increase was driven by diminishing geopolitical tensions, alleviating some of the downside risks associated with energy demand. President Trump announced he would delay imposing new tariffs on Europe following advancements in reaching a framework agreement concerning the Arctic region, while categorically dismissing the prospect of military action. Further bolstering oil prices was a declared force majeure at a significant Kazakh oilfield, with production at two substantial fields potentially remaining halted for another week. Additionally, sluggish Venezuelan exports pointed to a slow recovery in output. Nevertheless, concerns about oversupply tempered these supply risks, as the International Energy Agency reiterated that global oil supply is anticipated to outpace demand considerably this year, even after a modest upward revision of its demand growth forecast. Industry reports also indicated an increase in US crude stockpiles by approximately 3 million barrels in the past week.