WTI Crude Oil Trades Cautiously Near $64 as US Tariff Expiration Looms

WTI Crude Oil Trades Cautiously Near $64 as US Tariff Expiration Looms

West Texas Intermediate (WTI) crude oil prices remain under pressure as they hover around $64.00 per barrel during Friday’s early session. The oil market is taking a risk-off stance as investors brace for the July 9 deadline—the expiration of the 90-day suspension of US reciprocal tariffs.

Oil Market Nervous Ahead of Tariff Cliff

US President Donald Trump’s return to the White House reignited tariff tensions, giving the market just a 90-day window to renegotiate bilateral trade agreements. With the deadline now just days away, market participants are growing increasingly concerned over a lack of new deals, save for a modest agreement with the United Kingdom (UK).

The potential reactivation of reciprocal tariffs could directly impact global demand and fuel costs, weighing heavily on WTI futures.

Ceasefire in the Middle East Eased Supply Concerns

Earlier this week, crude prices experienced a sharp pullback after Trump announced a ceasefire between Israel and Iran. This development removed the immediate threat of a potential closure of the Strait of Hormuz, which handles nearly 25% of global oil shipments, easing supply fears.

Fed Dovish Expectations Offer Some Relief

Despite the tariff-related overhang, dovish sentiment around the Federal Reserve’s future policy stance offers some support. Expectations of a rate cut later this year weaken the US Dollar (USD) and bolster demand for USD-denominated commodities like oil.

WTI Technical Snapshot:

• Current Price: ~$64.00
• Support: $63.73 (2-week low)
• Resistance: $65.50 / $66.60
• Bias: Cautiously bearish in short term

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