The global price of crude oil on Thursday fell by 1 percent amid an escalating trade war between the United States of America under President Donald Trump and other countries.
Brent futures settled $1.07, or 1.5 percent, lower at $69.88 a barrel.
U.S. West Texas Intermediate crude futures fell $1.13, or 1.7 percent, to $66.55 a barrel on Thursday.
This comes as the International Energy Agency reported that global oil supply could exceed demand by around 600,000 barrels per day in 2025, with global demand now expected to rise by just 1.03 million bpd, off last month’s forecast by 70,000 bpd.
The report cited deteriorating macroeconomic conditions, including escalating trade tensions.
Recall that Trump on Thursday threatened a 200 percent tariff on wine, cognac, and other alcohol imports from Europe, further heightening fear of global trade barriers and tension.
The escalating trade war comes at a time when US, Russian, and Ukrainian authorities remain uncertain over a proposal for a Russia-Ukraine ceasefire.
