Crude oil futures maintained stability on Friday morning amidst ongoing uncertainty surrounding US tariffs. As of 9.59 am, May Brent oil futures stood at $69.50, showing a slight increase of 0.06%, while April crude oil futures on WTI were at $66.35, experiencing a marginal decrease of 0.02%.
On the Multi Commodity Exchange (MCX), March crude oil futures were trading at ₹5795, a 0.19% increase from the previous close, while April futures were at ₹5790, up by 0.17%.
The announcement made by US President Donald Trump on Thursday, temporarily suspending the 25% tariffs on most goods imported from Canada and Mexico until April 2, has impacted the market. However, tariffs on steel and aluminium will go into effect on March 12.
According to a post by Dominic LeBlanc, Canada’s Finance and Intergovernmental Affairs Minister, the United States has agreed to suspend tariffs on CUSMA-compliant exports from Canada until April 2. In response, Canada will postpone the implementation of the second wave of tariffs on $125B of US products. However, energy products from Canada are subject to separate 10% tariffs, as they are not fully covered under the US-Mexico-Canada Agreement on trade.
Market analysts believe that the uncertainty surrounding US tariff decisions is influencing the global economy’s growth, which in turn is affecting the demand for commodities, including crude oil.
In the commodities market, March copper futures on MCX were trading at ₹887.15, down by 0.42%, while April jeera contracts on NCDEX were at ₹20905, showing a decrease of 0.31% from the previous close. Similarly, April turmeric (farmer polished) futures on NCDEX stood at ₹11874, down by 0.95%.
Despite these fluctuations, the market remains cautious as investors closely monitor the developments in the global economy and trade policies that could impact commodity prices.
(Source: The Hindu Business Line)