FX.co ★ Oil Pares Gains

WTI crude oil futures steadied at around $61 per barrel on Monday, paring earlier advances as traders assessed a blend of geopolitical, trade, and supply influences. Geopolitical tensions in the Middle East continue to capture attention, particularly following the deployment of a US aircraft carrier strike group. This move has intensified concerns about a possible escalation involving Iran, which could jeopardize energy supplies from the region. In the realm of trade, apprehensions persist as President Trump warned of implementing 100% tariffs on Canadian imports if a trade agreement with China was concluded. However, Canadian Prime Minister Carney clarified that the Canadian government has no plans to pursue such an agreement, pointing out that the recent deal merely addresses tariff reductions on a selective number of sectors. In parallel, chilling weather conditions in the United States have surged the demand for heating, thereby lending some price support. However, this gain was partially countered by the resumption of Kazakhstan's oil exports following the repair of an offshore mooring facility. Additionally, Russia-Ukraine negotiations concluded without a resolution, though both countries have consented to resume discussions the following weekend.