At the time of writing, U.S. WTI crude futures were up nearly 3%, rising $68.5 per barrel.
Crude oil prices declined by nearly 3% on Friday after President Donald Trump said he has a “major” announcement on Russia coming up next week.
At the time of writing, U.S. West Texas Intermediate (WTI) crude futures were up nearly 3%, rising $68.5 per barrel.
Brent crude futures surged 2.5%, rising to $70.31 per barrel.
The United States Oil Fund LP (USO) fell 1.49%, while the ProShares Ultra Bloomberg Crude Oil (UCO) declined 3.13% at the time of writing. Stocktwits data shows retail sentiment around both the ETFs has been in the ‘bearish’ territory over the past week.
Friday’s crude oil surge comes amid President Donald Trump reigniting the tariff war, having sent over two dozen letters to close allies and other trade partners. The list includes Canada, Japan, South Korea, and Brazil, among others, even as the European Union awaits clarity from the White House on trade.
Trade uncertainty weighed on the equity markets, leading to a decline in investor sentiment, with the SPDR S&P 500 ETF (SPY) hovering 0.3% in the red at the time of writing.
Supporting the rise in crude oil prices is an increase in attacks by the Houthi rebels in the Red Sea.
Earlier last week, the Organization of the Petroleum Exporting Countries (OPEC) announced a higher-than-expected increase in production targets for August.
On Saturday, the OPEC+ group announced an increase of 548,000 barrels per day (bpd) in crude oil production for August, higher than the 411,000 bpd increase in May, June, and July.
However, analysts at ING suggest that the output hikes by OPEC+ are nearing the end.
“Potentially, there might be one more increase for September before the group takes a pause,” the firm said in a recent note. While it expects the supply to be in surplus in the fourth quarter, the markets are currently “relatively tight through the northern hemisphere summer.”
For updates and corrections, email newsroom[at]stocktwits[dot]com.
For serious investors with a serious sense of humor.