Oil prices slipped on Monday as investors prepared for new tariff announcements from U.S. President Donald Trump and awaited the outcome of Russia-Ukraine peace talks.
Brent Oil Futures expiring in May fell 0.4 percent to $71.88 per barrel as of 21:57 ET (01:57 GMT), while West Texas Intermediate (WTI) crude futures lost 0.3 percent to $67.67 per barrel.
Both contracts had recorded two consecutive weekly gains on Friday following new U.S. sanctions on Iranian oil.
Markets weigh fresh Trump tariff risks; Russia-Ukraine peace talks
President Trump is set to implement reciprocal tariffs on April 2, aiming to match the tariffs that other countries impose on U.S. goods. The impending tariffs have created uncertainty among global investors. Media reports over the weekend suggested that Trump is expected to adopt a narrower, more targeted approach to trade tariffs next month. Rather than imposing industry-wide tariffs, Trump will reportedly focus on specific countries that account for a significant share of the U.S.’s trade imbalance.
According to media reports, the administration is considering tariffs on around 15 percent of nations with persistent trade imbalances. Likely targets include G-20 nations, along with India, Japan, China, and Vietnam.
Moreover, investors were assessing the development of U.S.-brokered Russia-Ukraine peace talks. If successful, the peace talks could lead to an increased supply of Russian oil, potentially exerting downward pressure on oil prices. A U.S. delegation will meet Russian officials on Monday to advance peace talks. Reuters reported that discussions will include a potential Black Sea ceasefire and broader peace efforts in Ukraine.
The discussions follow meetings with Ukrainian diplomats on Sunday and occur as President Trump intensifies his efforts to halt the war.
OPEC+ production cut announcement caps losses
Oil-producing nations, including Russia and other allies, known as OPEC+, have announced that seven member nations will implement additional oil production cuts to compensate for previous overproduction. These reductions, ranging from 189,000 to 435,000 barrels per day (bpd), are set to continue until June 2026, according to a new schedule on OPEC’s website. This move is expected to more than offset the group’s planned monthly production increases scheduled to commence in April.
