Crude oil prices surged today, with August WTI crude oil (CLQ25) up by $1.76 (2.64%) and August RBOB gasoline (RBQ25) rising by $0.0270 (1.25%). This increase follows speculation that President Trump might announce sanctions on Russian energy exports on Monday, amidst escalating tensions related to the conflict in Ukraine.
A Bloomberg report indicated that OPEC+ is considering pausing production increases beyond September’s planned rise of 548,000 barrels per day due to concerns about a potential global oil glut. The International Energy Agency noted a significant surplus in the market, with global inventories accumulating at a rate of 1 million barrels per day.
On the bearish side, the stronger dollar, heightened trade tensions, and a reported decline in US oil rigs—which fell to 425, a 3.75-year low—are impacting market sentiment. Recent U.S. data shows crude oil inventories are 8.0% below the seasonal 5-year average, signaling ongoing volatility in oil prices.
