WTI crude oil futures climbed to $73.5 per barrel on Tuesday, supported by heightened supply risks in Libya despite lingering concerns over potential U.S. trade tariffs.
Oil rebounds on Tuesday
Protesters in Libya called for the shutdown of two major oil-exporting ports, Ras Lanuf and Es Sider, threatening to disrupt crude exports by hundreds of thousands of barrels per day beginning Tuesday. The situation raised fears of tightening global supply amid geopolitical tensions. At the same time, President Trump reiterated his support for broad tariffs of more than 2.5% on foreign-produced goods, including steel, aluminum, and copper, a move that could impact global trade and energy demand.
Rebound follows Monday decline
This rebound in oil prices followed a 2% decline on Monday, driven by weak Chinese manufacturing data, which pointed to a slowdown in the world’s largest oil importer, and a global risk-off sentiment fueled by a steep sell-off in tech stocks. Despite these headwinds, the potential for significant supply disruptions in Libya overshadowed market worries about weaker demand, contributing to the day's gains.
