Oil Prices Rise After Tariff Delay and OPEC+ Talks

Oil prices rose modestly after U.S. President Donald Trump extended the deadline for 50% tariffs on EU imports from June 1 to July 9, following a call with European Commission President Ursula von der Leyen. The delay eased immediate trade war concerns and boosted global market sentiment, lifting both oil and equity futures. Gains were tempered by oversupply worries, as OPEC+ is considering a 411,000 barrel-per-day production increase for July. A drop in U.S. oil rig counts to a 3-1/2 year low and limited progress in U.S.-Iran nuclear talks also supported prices by reducing fears of increased supply. Geopolitical risks, including escalations in the Russia-Ukraine conflict and ongoing tensions in the Middle East, contributed to a risk premium in oil markets. Analysts caution that oil prices will remain volatile, driven by future trade headlines and OPEC+ policy decisions.