Oil Prices Volatile Amid New US Tariffs

Oil prices have been volatile recently due to multiple geopolitical and economic factors. U.S. President Donald Trump announced a 25% secondary tariff on countries purchasing oil from Venezuela, affecting major buyers like China and India, and potentially disrupting global supply chains. This move follows recent U.S. sanctions on Iranian oil exports, further tightening global supply. Meanwhile, U.S.-brokered peace talks between Russia and Ukraine could lead to increased Russian oil supply, adding another layer of complexity to the market. Despite these pressures, oil prices have seen support from falling U.S. crude inventories and a potential easing of sanctions on Russia. Market sentiment is also shaped by potential U.S. trade policies, where Trump hinted at flexibility regarding tariffs, which could impact economic growth and energy demand.