Crude oil and gasoline prices dropped today, with WTI crude down -1.70% and RBOB gasoline down -1.53%. Dollar strength, US tariff concerns, and global economic growth fears are weighing on prices. However, the S&P 500 hitting a new high boosted confidence in economic outlook and energy demand.

Positive global economic news supports oil prices. US initial unemployment claims and Chicago PMI exceeded expectations, Eurozone unemployment remained low, and Japan’s industrial production rose unexpectedly. President Trump’s ultimatum to Russia and EU sanctions on Russian oil also impacted crude prices.

OPEC+ is considering a pause in production increases due to concerns about a global oil glut. In contrast, recent increases in production by OPEC+ members, including Saudi Arabia, aim to reduce prices and penalize overproducing members. Iraq’s plan to resume oil exports could further impact oil prices negatively.

Increased crude oil stored on tankers and US oil rig count hitting a 3.75-year low add bearish pressure on oil prices. However, US crude oil inventories are below the seasonal average, with production slightly below record levels. The energy market remains volatile amid global economic and geopolitical factors.

Read more at Yahoo Finance: Crude Prices Fall on Concern Tariff Policies Will Slow Energy Demand