Additional Trade Conflicts With U.S. Cause Oil To Decline – 30 May, 2019

Ongoing conflict as well as an increase in U.S. crude output caused oil prices to fall, putting them on track for their steepest monthly drop since November. U.S. President Donald Trump vowed to slap tariffs on all goods from Mexico, adding to the ongoing trade disagreements between the U.S. and China, causing a lot of uncertainty over slower economic growth and triggering a possible recession. International Brent crude futures were down by 59 cents or 0.9% to $66.28 per barrel. U.S. West Texas Intermediate crude futures were down 51 cents or 0.9% to $56.08 per barrel, just shy of its March low of $655.66 per barrel. U.S. crude production has returned to its record 12.3 million barrels per day output, despite a smaller than expected decline in stockpile. The U.S. has also vowed to place sanction on any country importing oil from Iran.