WTI crude oil futures falls below $65 per barrel, down 0.49% intraday.

WTI crude oil futures falls below $65 per barrel, down 0.49% intraday.

WTI crude oil futures fell below $65 per barrel on Tuesday, July 2, 2025, marking a 0.49% intraday decrease. The drop was largely attributed to uncertainty surrounding US trade tariffs, particularly the potential imposition of tariffs by the US on European Union (EU) imports. This uncertainty has raised concerns about the demand outlook for crude oil, impacting the commodity's prices.

At 9.55 am on Tuesday, September Brent oil futures were trading at $68.53, down by 0.98% from the previous day's close. Similarly, September WTI crude oil futures were at $65.26, down by 1.06% [1]. The August crude oil futures on the Multi Commodity Exchange (MCX) were trading at ₹5,650, down by 0.82% from the previous close of ₹5,697.

Market participants are closely watching the negotiations between the US and the EU, with a deadline of August 1 for a potential trade deal. Last week, US President Donald Trump threatened to impose a 30% tariff on EU imports by this date. In response, an increasing number of EU members, including Germany, are considering using 'anti-coercion' measures to target US services or curb access to public tenders in the absence of a deal [1].

The EU Trade Commissioner, Maros Sefcovic, has stated that a 30% tariff would "practically prohibit" transatlantic trade. Market reports suggest that steep US trade tariffs could have a significant impact on the global economy, potentially affecting the demand for commodities such as crude oil [1].

July menthaoil futures on MCX were trading at ₹893.30, up by 0.34% from the previous close of ₹890.30. On the National Commodities and Derivatives Exchange (NCDEX), August jeera contracts were trading at ₹19,265, down by 0.28% from the previous close of ₹19,320. August guargum futures on NCDEX were trading at ₹9,715, down by 0.20% from the previous close of ₹9,734 [1].

The uncertainty surrounding US trade tariffs has created a cautious environment for crude oil prices, with investors and market participants awaiting further developments. The potential impact of these tariffs on global trade and the resulting demand for crude oil will continue to influence market sentiment in the coming weeks.

References:
[1] https://www.thehindubusinessline.com/markets/commodities/crude-oil-futures-fall-amid-uncertainty-over-us-trade-tariffs/article69841176.ece