Oil prices drop while the deadline for commercial tariff of August 1 of Trump is looming
By Georgina McCartney
The prices of Houston (Reuters) -it decreased Thursday while the price deadline of American president Donald Trump of August 1 is looming on investors, with the uncertainty of the surrounding countries to negotiate a trade agreement with the United States
Brent raw in the long term for September expired Thursday and settled 71 cents, or 0.97% to $ 72.53 per barrel. Us West Texas Intermediate Gross for September set 74 cents, or 1.06%, to $ 69.26. Future American gross fell more than $ 1 earlier in the session.
The two benchmarks had recorded 1% of gains on Wednesday.
Countries that have not negotiated a trade agreement or received a price letter from the Trump administration will hear the United States about commercial conditions by the end of the day, the White House announced on Thursday.
The United States has concluded agreements with two thirds of its 18 best business partners.
Trump said that he and Mexican president Claudia Sheinbaum had agreed to extend a trade agreement between their country for 90 days and continue the talks during this period in order to sign a new agreement.
“Mexico will continue to pay a 25% fentanyl rate, a 25% price on cars and a 50% price on steel, aluminum and copper. In addition, Mexico has agreed to end its non -tariff trade barriers immediately, many of which,” Trump said in a social position.
The news of the extension weighed on gross term contracts, said John Kilduff, associated with Again Capital in New York.
“Overall, the prices are negative for the demand for oil in the future, and this situation with Mexico gives a boost on the road,” said Kilduff.
American inflation increased in June while prices increased prices of imported goods such as home furnishings and leisure products, supporting the opinions that prices would take in the second half and delay the federal reserve to reduce interest rates until less October.
A drop in interest rates reduces consumers’ borrowing costs and can stimulate economic growth and oil demand.
Meanwhile, US production of crude oil reached a record of 13.49 million barrels per day in May, showed data from the US Energy Information Administration.
American raw production increased by 24,000 b / d in May from the previous file in April, Eie data showed.
US inventories of crude oil increased by 7.7 million barrels to 426.7 million barrels over the week ending on July 25, driven by lower exports, EIA announced on Wednesday. Analysts expected a draw of 1.3 million barrels. [EIA/S]
Petrol actions have dropped 2.7 million barrels to 228.4 million barrels, far exceeding forecasts for a draw of 600,000 barrels.
