Oil prices fell over 3 per cent on Thursday after US President Donald Trump announced new tariffs, sparking concerns of a global trade war that could slow economic growth and reduce fuel demand. Brent crude dropped $2.66, or 3.55 per cent, to $72.29 a barrel, while US West Texas Intermediate (WTI) crude fell $2.69, or 3.75 percent, to $69.02 by 0918 GMT. Trump's decision on Wednesday to impose a 10 per cent tariff on most goods, along with higher duties on products from several countries, caught markets off guard and raised fears of inflation and economic stagnation. While oil, gas, and refined products were excluded from the new tariffs, analysts have revised their price forecasts, with UBS lowering its 2025-26 oil price outlook by $3 per barrel to $72. The market now braces for further volatility as countries negotiate or retaliate with additional tariffs. The US Energy Information Administration (EIA) reported a surprising 6.2 million barrel increase in US crude inventories last week, defying expectations of a 2.1 million barrel decline. Attribution: Reuters Subediting: M. S. Salama
