Oil Falls on Soft US Demand Outlook

WTI crude futures slipped toward $63 per barrel on Thursday, giving back gains from the prior session, as investors weighed softening US fuel demand with the summer driving season nearing its end, while monitoring potential supply shifts as India faces steep US tariffs. US crude stockpiles fell by 2.39 million barrels to 418.3 million, above forecasts, while Cushing inventories dropped by 838,000 barrels, reflecting firm demand ahead of Labor Day. Still, analysts noted the holiday often signals the end of peak driving and weaker consumption. Traders also monitored India’s response to US pressure to curb Russian oil imports after tariff hikes, though analysts expect India to keep buying in the near term, limiting the global impact. Losses were partly offset by intensified Russia-Ukraine attacks on energy infrastructure and optimism over a potential US rate cut to support demand.