Oil little changed after hitting one-week low, oversupply concerns linger
Brent crude futures were unchanged at $68.76 a barrel by 0036 GMT while U.S. West Texas Intermediate crude was at $66.27 a barrel, down 2 cents, or 0.03%.
Both contracts fell by more than 1% in the previous session to settle at their lowest in a week.
The Organization of the Petroleum Exporting Countries and its allies, together known as OPEC+, pumps about half of the world's oil and had been curtailing production for several years to support the market, but the group introduced a series of accelerated output hikes this year to regain market share.
In its latest decision, OPEC+ agreed on Sunday to raise oil production by 547,000 barrels per day for September.
It marks a full and early reversal of the group's largest tranche of output cuts, amounting to about 2.5 million bpd, or about 2.4% of global demand, though analysts caution the actual amount returning to the market will be less.
At the same time, U.S. demands for India to stop buying Russian oil as Washington seeks ways to push Moscow for a peace deal with Ukraine is increasing concerns of a disruption to supply flows.
U.S. President Donald Trump is threatening to impose 100% secondary tariffs on Russian crude buyers.
This follows a 25% tariff on Indian imports announced in July.
India is the biggest buyer of seaborne crude from Russia, importing about 1.75 million bpd of Russian oil from January to June this year, up 1% from a year ago, according to data provided to Reuters by trade sources.
'India has become a major buyer of the Kremlin's oil since the 2022 invasion of Ukraine. Any disruption to those purchases would force Russia to find alternative buyers from an increasingly small group of allies,' ANZ senior commodity strategist Daniel Hynes wrote in a note.
Traders are also awaiting any developments on the latest U.S. tariffs on its trading partners, which analysts fear could slow down economic growth and dampen fuel demand growth.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Express Tribune
21 minutes ago
- Express Tribune
Bangladesh to hold elections in February 2026, says Yunus
People use coloured smoke and wave flags as they celebrate the one year anniversary since student-led protests ousted Bangladesh's former Prime Minister Sheikh Hasina, at Manik Mia Avenue, outside of the parliament building, in Dhaka, Bangladesh, August 5, 2025. PHOTO: REUTERS Listen to article Bangladesh interim leader Muhammad Yunus said on Tuesday he would ask the election commission to hold a national election next February. Earlier thousands of exultant Bangladeshis gathered in Dhaka on Tuesday to mark the first anniversary of the mass protests that toppled former Prime Minister Sheikh Hasina, as the interim government unveiled a symbolic roadmap promising democratic reform. Rallies, concerts, and prayer sessions were held in the capital as people in the Muslim-majority South Asian nation celebrated what they called the country's 'second liberation'. The events culminated with Nobel peace laureate Muhammad Yunus formally reading out the 'July Declaration' – a 28-point document that seeks to give constitutional recognition to the 2024 student-led uprising, sparked by economic woes and repression, that forced Hasina to flee to India on August 5. Also Read: Dhaka shows interest in coal, limestone import 'The people of Bangladesh express their desire that the student-people uprising of 2024 will get proper state and constitutional recognition,' said Yunus, the de facto prime minister who heads the interim government installed after Hasina's ouster, as representatives of political parties looked on. People watch Muhammad Yunus, leader of Bangladeshi interim government, as he appears on a screen while reading the July Declaration, during celebrations marking the one-year anniversary of student-led protests that led to the ousting of Bangladeshi then-Prime-Minister Sheikh Hasina, at Manik Mia Avenue, outside the parliament building, in Dhaka, Bangladesh, August 5, REUTERS 'The July Declaration will feature in the schedule of the reformed constitution as framed by the government formed through the next national election,' he said. Supporters see the charter as a foundation for institutional reform, but critics have warned its impact could be largely symbolic in the absence of a legal framework or parliamentary consensus. Earlier on Tuesday, in a message to the nation, Yunus said: 'Together, we will build a Bangladesh where tyranny will never rise again,' As he paid tribute to those who sacrificed their lives. A peaceful, fair and transparent election could be held early next year, he said, pledging a return to full democratic rule amid mounting pressure for a swifter transition and growing labour unrest. 'Fallen autocrats and their self-serving allies remain active,' he added, urging unity to protect the gains of the uprising while his government holds reform talks with political parties and civil society. His interim government had launched sweeping reforms, he added, while trials for those responsible for the 'July killings' of 2024 were progressing swiftly. Mixed emotions Crowds waving flags, holding placards, and chanting slogans gathered near parliament, including some who had been injured in the protests. 'On this day in 2024, the tyrant Sheikh Hasina fled the country,' said Ahmedul Hasan, who was accompanied by his sister. 'I was here last year too. I've come again to remember that moment and join the celebrations.' Others were less exuberant. 'Even after all the bloodshed and sacrifice, a truly liberal democracy in Bangladesh still feels like a distant dream,' said Sabbir Ahmed, a college student from Jamalpur who participated in last year's protests. Read More: Bangladesh to unveil democratic reforms on coup anniversary Police were on high alert throughout the capital, with armoured vehicles patrolling the streets to deter any attempt by Hasina's banned Awami League to disrupt the day's events. 'Let this anniversary not be a day of retrospection, but a rallying cry for a brighter tomorrow,' Hasina said in an open letter to the people of Bangladesh, adding that she had never resigned from her duties as prime minister. 'Bangladesh has overcome adversity before, and we will rise again, stronger, more united, and more determined to build a democracy that truly serves its people.' Despite some opposition, it is backed by major political groups, including the Bangladesh Nationalist Party (BNP), led by former premier Khaleda Zia. Supporters see the charter as a foundation for institutional reform, but critics have warned its impact could be largely symbolic in the absence of a legal framework or parliamentary consensus.
Business Recorder
an hour ago
- Business Recorder
TSX boosted by mining stocks, Fed rate cut optimism
Canada's main stock index rose on Tuesday, rebounding after Friday's selloff, with investors optimistic about the U.S. Federal Reserve cutting interest rates in September. The Toronto Stock Exchange's S&P/TSX composite index rose 1.8% by 10:05 ET (0205 GMT) to 27,495.10 points, after three straight sessions of declines. Global stocks were lifted after traders ramped up bets of a U.S. rate cut in September to almost 94%, according to CME Fedwatch, following last week's soft U.S. nonfarm payrolls data. 'People see (unemployment numbers) as being the rationale for a reduction in interest rates at the Fed, and that's essentially positive for stock markets,' said Thomas Caldwell, Chairman at Caldwell Securities. 'Earnings are coming across fairly well and so the world is moving on, but there's this undercurrent of what will be the longer term damage of tariffs and this upending of world trade.' On the day, material stocks were among top gainers, with gold mining stocks adding 6%. Kinross Gold Corp gained 9% to the top of the index while Novagold, IAMGOLD and Seabridge Gold were up more than 5% each. First Quantum Minerals' shares rose 4.4% after the miner signed a $1 billion deal with Royal Gold. Tech stocks rose 2.8%, boosted by e-commerce platform Shopify's 5.43% climb after brokerage Benchmark raised its target price ahead of earnings on Wednesday. Electronics firm Celestica rose 3% and cybersecurity firm Blackberry climbed 3.4%. All sectors were in the green after TSX posted its biggest decline since April in Friday's selloff. Data showed Canada's merchandise trade deficit widened in June to C$5.9 billion ($4.24 billion) with imports outpacing exports. Canadian ministers are set to start discussing trade with Mexican President Claudia Sheinbaum on Tuesday. U.S. President Donald Trump put a 35% tariff on goods imported from Canada last week.
Business Recorder
an hour ago
- Business Recorder
Indian jeweller Titan eyes shifting some manufacturing to Gulf as US trade tensions escalate
DUBAI: India's biggest jeweller and watchmaker Titan is exploring shifting some manufacturing to the Middle East Gulf to maintain low-tariff access to U.S. markets amid trade tensions between Washington and New Delhi, Managing Director C.K. Venkataraman said on Tuesday. Titan, part of the Tata Group conglomerate, announced this month plans to acquire a majority stake in Dubai-based luxury retailer Damas, which operates 146 stores across the Gulf. In light of the deal, valued at $283 million, Venkataraman told Reuters the region is being considered 'as a manufacturing base to export to the U.S.' His comments reflect how global companies may seek new routes to navigate trade barriers, as the U.S. levies or threatens tariffs on international trade partners. Last month, U.S. President Donald Trump slapped a surprise 25% tariff on imports from India and threatened further hikes this week over India's purchases of Russian oil. In contrast, the United Arab Emirates faces a 10% tariff under Trump's baseline rate. Indian jeweller Titan to buy large stake in Dubai's Damas Titan's Tanishq brand has several U.S. stores and is planning a major expansion, while its diamond-focused label CaratLane launched in the U.S. in October, the company said. Titan began talks to buy Damas in 2024, before U.S. trade policy shifts came into focus. Shifting some manufacturing to a Gulf Cooperation Council country would be a way to mitigate recent rises in U.S. tariffs, Venkataraman said in a video call with Reuters. The U.S. is a less feasible manufacturing base due to cost and skills constraints, especially for artisan-made jewellery, he said. 'If the tariffs remain like what they are currently threatened to be, then any arbitrage on a tariff … any significant arbitrage would be meaningful for us to consider,' Venkataraman said.
