WTI inches higher to near $67.50 despite rising global demand concerns

• WTI price may face challenges amid rising global demand concerns following Trump's tariffs.
• Trump's new letters detail individual tariff rates ranging from 20% to 50% on eight countries, taking effect starting August 1.
• EIA Crude Oil Stocks Change reported a 7.07 million-barrel increase for previous week, against expectations of a 2.0 million-barrel decline.

West Texas Intermediate (WTI) Oil price extends its winning streak for the fourth consecutive day, trading around $67.40 per barrel during the early European hours on Thursday. However, crude Oil prices may face challenges amid rising global demand concerns, driven by the potential impact of US President Donald Trump's tariffs on global economic growth.

President Trump unveiled on Wednesday a new round of tariff demand letters, including a 50% rate on Brazil, a 30% rate on Algeria, Libya, Iraq, and Sri Lanka, and a 20% rate on goods from the Philippines, are set to hit in August, per Bloomberg.

Additionally, the Energy Information Administration (EIA) reported a 7.07 million-barrel increase in crude inventories for the week ending on July 4, against market expectations of a 2.0 million-barrel decline. This follows a previous build of 3.845 million barrels. However, distillate and gasoline inventories declined, with the latter indicating strong demand.

Meanwhile, the Organization of the Petroleum Exporting Countries and its allies, known as OPEC+, is preparing for another significant output increase in September, as eight members begin phasing out voluntary cuts and the United Arab Emirates (UAE) shifts to a higher production quota. Despite the expected rise in supply, the UAE emphasized that inventories are not accumulating, indicating that demand remains robust.

The latest Federal Open Market Committee (FOMC) Minutes from the June 17-18 meeting, released on Wednesday, indicated that only a few Federal Reserve (Fed) officials considered a reduction in the fed funds rate likely to be appropriate at some point this year. Higher interest rates make borrowing more expensive in the United States, the world's largest Oil consumer, which reduces demand for crude.