Overview

• Oil prices climbed nearly 1% on July 24 as optimism around a U.S.-EU trade agreement and a significant U.S. crude inventory draw lifted markets.
• U.S. Energy Information Administration figures showed crude stocks fell by 3.2 million barrels to 419 million, more than doubling analysts’ expectations.
• European Union and U.S. officials are close to finalizing a deal that could apply a 15% tariff on bloc imports with carve-outs, building on the recent Japan accord.
• The U.S. Energy Secretary said he will consider sanctions on Russian oil following the EU’s approval of an 18th sanctions package aimed at constraining Moscow’s revenues.
• Future supply risks hinge on possible Venezuelan output if Chevron resumes drilling and on the outcome of U.S.-China discussions in Stockholm to extend their tariff truce.