Oil Prices End Week Mixed Amidst Trump's Trade Threats and Production Push
After a turbulent week, oil prices settled with marginal gains on Friday as investors digested a mix of signals from President Donald Trump.
Trump's conciliatory remarks towards China eased concerns over trade wars and prompted a decline in the dollar. This made dollar-denominated commodities, including oil, more attractive.
Earlier this week, Trump had threatened tariffs on Canada, Mexico, and China. He also called on OPEC+ to lower crude prices. These comments had initially pressured oil prices since Trump's inauguration on Monday.
Despite the week's volatility, Brent oil futures are still trading higher for the year after a strong start to 2025. Cold weather in the northern hemisphere and US sanctions on Russia have supported oil markets, although some of the initial gains have since cooled.
Analysts believe Trump's goal of keeping inflation and US retail gasoline prices in check will prevent him from supporting higher oil prices.
Trump recently declared a national energy emergency to boost domestic production. He has repeatedly pressured OPEC+ to lower prices when he believes they are excessive.
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