Crude Prices React to Political Tensions

Crude oil prices experienced a significant increase, surpassing 1% on Wednesday. This surge comes in response to United States President Donald Trump's recent threats to impose tariffs on countries purchasing Russian energy. The potential decision hinges on the outcomes of a critical meeting between Russian President Vladimir Putin and US Special Envoy Steve Witkoff, currently underway in Moscow.

Inventory Reports Add to Market Dynamics

Adding to the market's volatility, the latest American Petroleum Institute report revealed a 4.2 million barrel drop in US crude oil inventories for the week ending August 1. This development has further fueled the upward momentum in oil prices.

Price Movements at a Glance

West Texas Intermediate (WTI) for September deliveries saw a 1.50% increase, trading at $66.15 by 5:13 am ET. Similarly, Brent for October settlements rose by 1.46%, reaching $68.62.