Oil Prices Decline Amid Trade Tensions, While EU Gas Stabilizes

Oil prices extended losses for a third consecutive session as traders weighed the impact of potential tariffs on global economic activity. Brent crude futures dipped 0.8% to $68.68 a barrel, while WTI crude fell 0.9% to $66.57. The September WTI contract, now the active benchmark, traded 0.8% lower at $65.43.

Market participants remain cautious ahead of the August 1 deadline for US tariff implementation, with EU diplomats preparing retaliatory measures against proposed 30% levies on European goods. A softening dollar provided some support, making crude purchases more attractive in other currencies. Distillate margins stayed resilient due to tight inventories, offering modest price support.

European natural gas markets found footing after three days of declines, while US crude stockpiles showed a modest draw of approximately 600,000 barrels according to analyst estimates, suggesting sustained fuel demand despite trade tensions.