WTI consolidates around mid-$65.00s, just above one-week low set on Monday

• WTI struggles to gain any meaningful traction amid a combination of diverging forces.
• Concerns about lower Russian supply offset OPEC+'s supply increase and lend support.
• The emergence of some USD buying caps Crude Oil prices and warrants caution for bulls.

West Texas Intermediate (WTI) US Crude Oil prices extend the sideways consolidative price move heading into the European session on Tuesday and remain close to a one-week low touched the previous day. The commodity currently trades just above mid-$65.00s, nearly unchanged for the day, amid mixed fundamental cues.

The Organization of the Petroleum Exporting Countries and its allies - together known as OPEC+ - agreed on Sunday to raise oil production by 547,000 barrels per day for September. This comes despite a weak demand outlook. Moreover, Friday's weaker-than-expected US jobs report fueled economic concerns amid US President Donald Trump's erratic trade policies, which, in turn, act as a headwind for Crude Oil prices.

Meanwhile, worries about the potential for lower supply from Russia due to US sanctions mitigate the aforementioned negative factor and hold back traders from placing aggressive bearish bets around the commodity. In fact, US President Donald Trump warned of increasing levies on India over its purchases of Russian crude, ahead of the looming deadline for Moscow to come to the table for a ceasefire with Ukraine.

This, in turn, warrants some caution before placing aggressive directional bets around Crude Oil prices. Traders now look to the release of the US ISM Services PMI, which could influence the US Dollar (USD) and provide some impetus to the commodity. In the meantime, the growing acceptance that the Federal Reserve (Fed) will resume its rate-cutting cycle in September could cap the intraday USD positive move.