WTI Crude Oil Price Falls Amid U.S.-India Tensions and Supply Concerns

New York, NY – West Texas Intermediate (WTI), the U.S. crude oil benchmark, was trading at $63.85 on Friday during early Asian trading hours. The price decrease comes amid concerns over oversupply and U.S. pressure on India to stop importing Russian oil.

On Wednesday, the U.S. doubled tariffs on many imports from India to 50%, following President Donald Trump’s promise to penalize India for buying discounted Russian oil. This decision exacerbated supply fears, which weighed on WTI prices.

Oil traders are closely monitoring India’s response to the U.S. pressure regarding its Russian oil purchases. Meanwhile, Reuters reported on Thursday that Russia conducted rocket and drone attacks on Ukraine, resulting in at least 21 deaths in Kyiv.

The Ukrainian military reported that it deployed drones to strike two Russian oil refineries overnight. The escalating tensions between Russia and Ukraine could drive WTI prices up in the short term.

Additionally, data released on Wednesday by the U.S. Energy Information Administration (EIA) revealed that crude oil inventories fell more than expected last week. This weekly report indicated strong demand in the world’s largest oil consumer, which could sustain WTI prices.

Crude oil stocks in the U.S. dropped by 2.392 million barrels for the week ending August 22, compared to a decline of 6.014 million barrels the previous week. Analysts had predicted a reduction of 2.0 million barrels.

This information is intended for general guidance only and should not be interpreted as investment advice, recommendations, or offers for any transactions in financial instruments.