WTI Oil retreats below $65.00 as concerns about global trade resurface

• Crude prices trim gains and drift below $65.00 following a new round of US tariffs.
• Strong US data and easing hopes of immediate Fed cuts are also pressuring Oil prices.
• From a wider perspective, however, the price of the WTI crude remains about 3.6% higher on the week.

Crude prices are trimming previous gains on Friday, as a new tariff salvo from US President Donald Trump has brought fears of a decline in global demand. The price of the US benchmark WTI has retreated to the $64.75 area during the European morning session, from three-week highs, at $65.30 on Thursday.

Just when the market was already turning the page of tariffs, Trump stirred the pot, announcing 100% levies for imports of branded pharmaceuticals, 25% on heavy-duty trucks, and 50% on kitchen cabinets. It is still unclear how these tariffs will be implemented and on which countries, but the announcement has already revived fears of a decline in global trade and, consequently, a decrease in demand for oil.

Crude prices were also affected on Thursday by the solid US macroeconomic figures. Strong US data eases pressure on the Fed to lower interest rates further in the coming months, which would weigh on the growth of the world's largest economy and limit its energy consumption.

The price of the US Benchmark WTI Oil, however, remains on track to its sharpest weekly gain in months, on the back of a 3.6ª% rally from lows near $61.50.

Data by the Energy Information Administration showed an unexpected drawdown on US crude commercial stockpiles, providing additional support to an already optimistic Oil trend as the reiterated Ukrainian attacks on some of the main Russian oilfields have been crippling the capacity of one of the world's major crude producers over the last week.