WTI Crude Rises to $65.95 on Trade Optimism and Surprise U.S. Inventory Draw

WTI Crude Nears $66 on US-EU Trade Hopes and US Inventory Draw

West Texas Intermediate (WTI), the benchmark for U.S. crude oil, rose sharply on Friday, reaching approximately $65.95 during early European trading. The rally is driven by optimism around a potential US-European Union trade agreement and a larger-than-expected draw in U.S. crude oil inventories, signaling strong demand.

US-EU Trade Talks Boost Market Confidence

Investor sentiment improved following reports that the U.S. and the EU are progressing in tariff negotiations. The two parties are rumored to be working on a deal that mirrors the recent U.S.-Japan agreement, which could impose a 15% tariff on most EU imports to the U.S.

A successful resolution is expected to ease global trade tensions, lifting the outlook for global economic growth and increasing demand for energy—particularly crude oil.

US Crude Stockpiles Drop by 3.169 Million Barrels

The U.S. Energy Information Administration (EIA) reported that crude oil inventories fell by 3.169 million barrels for the week ending July 18. This drop surpassed market expectations of a 1.4 million barrel decline and followed a previous weekly drawdown of 3.859 million barrels.

This unexpected inventory reduction underscores strong crude demand in the U.S., the world’s largest oil consumer, further fueling bullish momentum in the energy market.

Related Read: EIA Weekly Petroleum Status Report – Full Breakdown

Key Takeaways

• WTI price hits $65.95 amid bullish sentiment.
• US-EU trade optimism adds to market momentum.
• Crude stock draw beats forecasts, indicating rising demand.
• Traders remain hopeful for a risk-on rally in energy commodities.

Stay updated on real-time commodity movements and trade negotiations at Tredu.comWTI Crude Nears $66 on US-EU Trade Hopes and US Inventory Draw

West Texas Intermediate (WTI), the benchmark for U.S. crude oil, rose sharply on Friday, reaching approximately $65.95 during early European trading. The rally is driven by optimism around a potential US-European Union trade agreement and a larger-than-expected draw in U.S. crude oil inventories, signaling strong demand.

US-EU Trade Talks Boost Market Confidence

Investor sentiment improved following reports that the U.S. and the EU are progressing in tariff negotiations. The two parties are rumored to be working on a deal that mirrors the recent U.S.-Japan agreement, which could impose a 15% tariff on most EU imports to the U.S.

A successful resolution is expected to ease global trade tensions, lifting the outlook for global economic growth and increasing demand for energy—particularly crude oil.

US Crude Stockpiles Drop by 3.169 Million Barrels

The U.S. Energy Information Administration (EIA) reported that crude oil inventories fell by 3.169 million barrels for the week ending July 18. This drop surpassed market expectations of a 1.4 million barrel decline and followed a previous weekly drawdown of 3.859 million barrels.

This unexpected inventory reduction underscores strong crude demand in the U.S., the world’s largest oil consumer, further fueling bullish momentum in the energy market.

Related Read: EIA Weekly Petroleum Status Report – Full Breakdown

Key Takeaways

• WTI price hits $65.95 amid bullish sentiment.
• US-EU trade optimism adds to market momentum.
• Crude stock draw beats forecasts, indicating rising demand.
• Traders remain hopeful for a risk-on rally in energy commodities.

Stay updated on real-time commodity movements and trade negotiations at Tredu.com