Oil hits one-week low amid uncertainty over Trump's tariffs.
Brent crude futures fell $0,29, or 0,4%, to $79 a barrel.
By Scott DiSavino
(Reuters)- Oil prices fell to a new one-week low on Wednesday as the market assessed how tariffs proposed by U.S. President Donald Trump could affect global economic growth and energy demand.
Brent crude futures fell $0,29, or 0,4%, to $79 a barrel, while U.S. West Texas Intermediate (WTI) crude fell $0,39, or 0,5%, to $75,44.
This puts Brent crude down for the fifth consecutive day, the first time since September, and WTI crude down for the fourth consecutive day, the first time since November. Both benchmark oil indices closed at their lowest level since January 9, for the second consecutive day.
"Potential sanctions under the new Trump administration remain unclear, with potential tariffs related to Canada and Mexico now seemingly at the forefront of trader uncertainty," analysts at energy consulting firm Ritterbusch and Associates said in a note.
Trump said his administration was discussing imposing a 10% tariff on imported goods from China on February 1st, the same day he previously said Mexico and Canada could face tariffs of around 25%.
He also promised to impose tariffs on European imports, without providing further details, and threatened new tariffs against Russia if the country does not reach an agreement to end its war in Ukraine.
"The oil market's attention is slowly shifting away from US sanctions against Russia and towards President Trump's potential trade policy," said analysts at ING, adding that the energy complex has come under pressure from the growing threat of tariffs.