Oil markets faced a punishing selloff Thursday as crude tumbled the most since 2020, hit by the double shock of President Donald Trump’s sweeping tariff announcement and OPEC+’s unexpected decision to accelerate production increases. West Texas Intermediate (OIL.WTI) futures plunged as much as 7.4% to trade below $67 a barrel, while global benchmark Brent (OIL) plummeted over 7% to slip below $70.
Biggest Drop Since 2020. Source: Bloomberg L.P.
Tariffs Spark Growth Concerns
Trump’s “Liberation Day” tariffs created fresh doubts about global economic growth, particularly with aggressive levies against major crude importers like China and India. Although the administration exempted oil flows from Canada and Mexico, fears that the trade war will sap energy demand sent prices tumbling.
OPEC+ Surprises Markets with Supply Boost
In a significant policy shift, OPEC+ revealed plans to add more than 400,000 barrels of daily output next month, triple the amount previously planned. Sources indicate the move aims to pressure members who have exceeded production quotas while potentially replacing barrels lost from tighter US sanctions on Iran and Venezuela.
OIL.WTI (D1 Interval)
Futures prices for OIL.WTI are falling to around $66.5, erasing all the gains recorded in March during a single session. In doing so, they have tested the first of two key support levels today: around $66, marked by the consolidation zone from the first half of March. A drop below this level could open the way for bears to test $65.3, which would mean a yearly low.
Source: xStation
The material on this page does not constitute financial advice and does not take into account your level of understanding, investment objectives, financial situation or any other specific needs. All information provided, including opinions, market research, mathematical results and technical analyzes published on the Website or transmitted To you by other means, it is provided for information purposes only and should in no way be construed as an offer or solicitation for a transaction in any financial instrument, nor should the information provided be construed as advice of a legal or financial nature on which any investment decisions you make should be based exclusively To your level of understanding, investment objectives, financial situation, or other specific needs, any decision to act on the information published on the Website or sent to you by other means is entirely at your own risk if you In doubt or unsure about your understanding of a particular product, instrument, service or transaction, you should seek professional or legal advice before trading. Investing in CFDs carries a high level of risk, as they are leveraged products and have small movements Often the market can result in much larger movements in the value of your investment, and this can work against you or in your favor. Please ensure you fully understand the risks involved, taking into account investments objectives and level of experience, before trading and, if necessary, seek independent advice.
