Image Source: Unsplash

• WTI price extends the recovery to around $72.10 in Tuesday’s early Asian session. 
• Tariff uncertainty might cap the WTI’s upside in the near term. 
• Iran called for OPEC to unite against potential US oil sanctions. 

West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $72.15 during the early Asian session on Tuesday. The WTI price edges higher despite ongoing tariff concerns. 

WTI price recovers some ground, even though oil traders remain worried that US President Donald Trump might start a trade war. On Monday, US President Donald Trump expanded his steel and aluminum tariffs to cover all imports, effectively canceling deals with the European Union, the United Kingdom, Japan and others.

"It's tariff uncertainty which is the name of the game. This affects risk appetite in general and has spillover effects into oil," said Harry Tchilinguiran at Onyx Capital. 

The market continues to digest the news and assess the potential impacts of tariffs on global trade. Any signs of rising trade war tensions could drag the WTI price lower as tariffs could dampen global economic growth and energy demand.

On the other hand, the escalating geopolitical tensions in the Middle East and the Russia-Ukraine conflict could underpin the black gold. Iran’s President Masoud Pezeshkian urged OPEC members to unite against possible US sanctions on the major oil producer after Trump said he would seek to drive Tehran’s oil exports to zero.

More By This Author: