On Tuesday, August WTI crude oil closed down $0.99 (-1.47%) at $66.43, while August RBOB gasoline fell $0.0300 (-1.41%). This marks the second consecutive session of declines, with gasoline hitting a two-week low, amid concerns that President Trump’s tariff policies may slow global economic growth and energy demand.
Notably, the U.S. Richmond Fed manufacturing index plunged by 12 points to an 11-month low of -20 in July, contrary to expectations of a rise to -2. Meanwhile, Iraq plans to resume oil exports from its northern Kurdish region through the Iraq-Turkey pipeline, aiming to supply 230,000 barrels per day once operations resume. OPEC+ is set to increase crude production by 548,000 barrels per day starting August 1, exceeding prior expectations of a 411,000 bpd increase.
Additionally, Baker Hughes reported a decrease in the number of active U.S. oil rigs, down by 2 to a 3.75-year low of 422 rigs as of July 18. The consensus forecast for Wednesday’s EIA crude inventories anticipates a decrease of 1.5 million barrels.
