WTI drifts lower as US expands influence over Venezuela’s Oil flows

WTI Outlook and Oversupply Concerns

West Texas Intermediate (WTI) continues its decline for a second consecutive day as it faces downward pressure attributed to the US decision to sell Venezuelan oil on the global market. This announcement raises significant concerns regarding oversupply, further complicating the pricing outlook for WTI. With the potential for increased supply entering the market, traders must consider how this will affect demand dynamics. The market is closely watching the evolving political situation in Venezuela and the US energy policies that may influence oil flows. As the US expands its influence and availability of Venezuelan crude, we can expect sustained downward pressure on WTI prices in the short term, raising risks for further declines.