Crude oil prices on July 29, 2025 edged higher, bolstered by encouraging global trade developments and ongoing talks that may extend U.S.-China tariff truce, although broader economic concerns kept gains modest.
Brent crude rose roughly 0.34% to $70.28 per barrel, while West Texas Intermediate (WTI), the U.S. benchmark, climbed about 0.33% to settle at $66.93 per barrel.
The gains followed a surge of over 2% in both benchmarks in the previous session, driven by news of a U.S.–EU trade deal and ongoing high‑level trade diplomacy.
Despite the uptick, another Reuters report showed oil prices slightly retreating later in the session, with Brent dipping to $69.98 and WTI to $66.60, as markets awaited signals from the U.S. Federal Reserve’s two-day policy meeting on interest rates.
Market volatility is largely shaped by a mix of geopolitical tensions, global supply dynamics, and demand outlooks. A recent Reuters poll of 40 analysts revealed Brent is now projected to average $67.86 per barrel in 2025, up from $66.98, while U.S. crude is forecast at $64.51, given rising geopolitical risk, including flare‑ups in the Middle East, and supply concerns around Russian output and sanctions.
Yet longer-term views are more muted. S&P Global Commodity Insights analysts warn WTI could dip into the upper $40s later in the year, with Brent projected between $50‑$60 into 2026, driven by increasing OPEC+ production, rising non-OPEC+ supply, and tepid demand growth.
Goldman Sachs added a bullish note in mid‑July, lifting its forecast for Brent to $66 per barrel in the second half of 2025 (and WTI to $63), citing tightened OECD inventories, supply risks, and unplanned production constraints in regions such as Russia At the same time, Goldman reaffirmed its 2026 outlook of $56 for Brent and $52 for WTI.
Analysts argue that markets remain finely balanced. OPEC+ has gradually scaled back production cuts, and U.S. inventory draws have reversed into builds, placing pressure on price levels.
With mixed signals from demand in China and slackening economic growth in Europe and the United States, oil remains vulnerable to swings in sentiment.
In sum, as of July 29, 2025, crude oil benchmarks reflect a delicate equilibrium. Brent’s price near $70/barrel and WTI close to $67 hinge on positive trade developments and cautious geopolitical stability, yet analysts caution persistent oversupply and weak demand could weigh heavily on markets later in the year.
Written By Ian Maleve
