WTI extends its decline below $76.50 as Trump vows to boost oil output

FXStreet
Updated Jan 21, 2025 01:13
Mitrade
coverImg
Source: DepositPhotos


  • WTI price trades in negative territory near $76.15 in Tuesday's early Asian session. 


  • US President Donald Trump promised to boost US crude production, weighing on the WTI price. 


  • The upbeat Chinese economic data could cap the downside for the black gold. 


West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $76.15 on Tuesday. The WTI price attracts some sellers as traders await a flurry of executive orders from US President Donald Trump following his inauguration.


Trump announced on Monday that he would immediately declare a national energy emergency, promising to fill up strategic reserves and use the authority to rapidly approve new oil, gas, and electricity projects that would normally take years to get permits.


Trump’s administration will push for more oil and gas production as well as consumption in the United States, which might drag the WTI price lower. “The inflation crisis (in the US) was caused by massive overspending and escalating energy prices, and that is why today I will also declare a national energy emergency. We will drill, baby, drill. America will be a manufacturing nation once again,” Trump said.


The upside for the WTI price might be capped amid the easing tension in the Middle East. On Sunday, Hamas and Israel swapped hostages and inmates, marking the start of a truce after 15 months of conflict.


On the other hand, the encouraging Chinese economic data could support black gold, as China is the world's biggest crude importer. China’s economy grew 5.4% YoY in the fourth quarter (Q4) of 2024, compared to a 4.6% expansion in Q3. This reading came in stronger than the 5% expected by a wide margin. 

* The content presented above, whether from a third party or not, is considered as general advice only.  This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.

goTop
quote
Do you find this article useful?
Related Articles
placeholder
WTI drops to near $57.70 as fears of weakening global demand intensifyWest Texas Intermediate (WTI) Oil continues to decline for the second consecutive day, trading near $57.70 during early European hours on Wednesday.
Author  FXStreet
4 hours ago
West Texas Intermediate (WTI) Oil continues to decline for the second consecutive day, trading near $57.70 during early European hours on Wednesday.
placeholder
USD/CAD finds some support near 1.4200 mark as Oil prices plunge to fresh multi-year lowThe USD/CAD pair continues with its struggle to move back above the 100-day Simple Moving Average (SMA) and attracts fresh sellers during the Asian session on Wednesday.
Author  FXStreet
6 hours ago
The USD/CAD pair continues with its struggle to move back above the 100-day Simple Moving Average (SMA) and attracts fresh sellers during the Asian session on Wednesday.
placeholder
Instruments to Watch in April as Trump's Reciprocal Tariffs Take Effect!Trump's tariffs announcement triggered high volatility to assets like gold and bitcoin. Here are some opportunities you want to keep an eye on in April.
Author  Mitrade
10 hours ago
Trump's tariffs announcement triggered high volatility to assets like gold and bitcoin. Here are some opportunities you want to keep an eye on in April.
placeholder
WTI slumps below $57.25 as escalating US-China trade tensions spark demand fearsWest Texas Intermediate (WTI), the US crude oil benchmark, is trading around $57.25 during the early Asian session on Wednesday. The WTI price extends the decline near a four-year low due to US President Donald Trump’s trade war rhetoric, growing recession fears in the US and weak global demand.
Author  FXStreet
11 hours ago
West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $57.25 during the early Asian session on Wednesday. The WTI price extends the decline near a four-year low due to US President Donald Trump’s trade war rhetoric, growing recession fears in the US and weak global demand.
placeholder
WTI tumbles to a four-year low near $60.00 amid Trump’s tariff woes West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $60.30 during the early Asian session on Monday. The WTI price falls to its lowest point since April 2021 amid the fears that US President Donald Trump’s global tariffs would push the United States (US) into a recession.
Author  FXStreet
Apr 07, Mon
West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $60.30 during the early Asian session on Monday. The WTI price falls to its lowest point since April 2021 amid the fears that US President Donald Trump’s global tariffs would push the United States (US) into a recession.
Real-time Quote