Global oil prices gained 1.5% in European trade on Tuesday as the dollar lost ground against major rivals, boosting greenback-denominated oil futures.

Now traders await important US crude inventory data later today from the American Petroleum Institute, expected to show a drawdown for the third straight week. 

Prices

US crude rose 1.5% to $66.92 a barrel, with a session-low at $65.32.

Brent climbed 1.75% to $70.21 a barrel, with a session-low at $68.66.

US crude prices lost 1.7% on Monday, while Brent shed 1.6%, the first loss in three days after weak Chinese data hurt demand prospects.

US Dollar

The dollar index fell 0.5% on Tuesday on track for the seventh straight session, plumbing five-month lows at 103.33 against a basket of major rivals.

The dollar’s decline comes amid mounting concerns about slower US growth, and the impact of aggressive tariff policies by Donald Trump.

OPEC+ 

Russian Deputy Prime Minister Alexander Novak told reporters that OPEC+ will go ahead with its scheduled production hike in April but could consider other steps, including a production cut, later on.

US Stocks

Later today, the American Petroleum Institute will release initial data on US crude stocks, expected to show yet another drawdown, while tomorrow, the Energy Information Administration will release the official report.

Bitcoin rose 4.5% on Tuesday on track for the first profit in six days away from four-month lows on short-covering. 

Now markets await mainline US inflation data for February, expected to provide more clues on the odds of future Fed rate cuts.

Prices

Bitcoin rose 4.5% at Bitstamp to $82,050, with November 10 lows at $76,600.

On Sunday, bitcoin lost 2.7%, the fifth loss in a row on risk aversion.

Crypto Market Value 

The market value of cryptocurrencies rose by $70 billion on Tuesday to a total of $2.750 trillion.

Wall Street

US stock indices closed down on Monday and marked the heftiest daily loss since 2022, with all major indices plumbing six-month lows amid fears about US recession.

US Rates

Fed Chair Jerome Powell said it remains to be seen whether Trump’s tariff plans will be inflationary. 

According to the Fedwatch tool, the odds of a Fed 0.25% rate cut in March stood at just 3%.

Now investors await important US inflation data this week to gather more clues.

The US dollar fell in European trade on Tuesday against a basket of major rivals, sharpening the decline for the seventh straight session and plumbing five-month lows amid concerns about US recession.

Conversely, the euro continues to shine and attract investments, hitting four-month highs on hopes for massive new German stimulus plans. 

The US labor sector also weakened unexpectedly last month, bolstering the odds of a Fed rate cut in the first half of the year.

The Index

The dollar index fell 0..5% to 103.33, the lowest since October 2024, with a session-high at 103.92.

On Monday, the index lost 0.1%, the sixth loss in a row as US treasury yields declined.

Growth Concerns 

Investors are worried about slower US growth after aggressive tariffs on major trade partners, while recent labor data and government layoffs raised more concerns. 

US Treasury Secretary Scott Bessent said the economy might slow down as it shifts from government spending to private investments, and reaches a more sustainable balance.

He believes that some tariff levels will always be necessary to fix some economic imbalances around the world and secure more stable supply chains.

President Trump said during a Fox News interview that the US is undergoing a transition phase, with return of wealth to the US through trade and economic policies, including tariffs to boost local industry.

US Rates

Fed Chair Jerome Powell said it remains to be seen whether Trump’s tariff plans will be inflationary. 

According to the Fedwatch tool, the odds of a Fed 0.25% rate cut in March stood at just 3%.

Now investors await important US inflation data this week to gather more clues.

Euro Shines 

The euro surged above $1.09 for the first time this year, hitting four-month highs and on track for more gains on hopes for more eurozone investments, especially on defense. 

The German coalition parties are preparing to pass a huge infrastructure and military spending plan to jumpstart the economy and bolster European defense against Russian threats. 

Gold prices rose in European trade on Tuesday for the first session in four, trading once again above $2900 as the dollar continues to fall while haven demand surges following massive losses in global stock markets. 

Investors now await important US inflation data for February, expected to provide fresh pricing to the odds of a Fed rate cut in March.

Prices

Gold prices rose 0.8% today to $2911 an ounce, with a session-low at $2880.

On Monday, gold lost 0.7%, the third loss in a row on profit-taking away from a week high at $2930.

The Dollar

The dollar index fell 0.5% on Tuesday, expanding losses for the seventh straight session and plumbing five-month lows at 103.33 against a basket of major rivals.

A weaker dollar makes greenback-denominated gold futures costlier to holders of other currencies. 

Investors are concerned that Donald Trump’s aggressive trade policies would hurt growth both in the US and globally.

US Rates

Fed Chair Jerome Powell said it remains to be seen whether Trump’s tariff plans will be inflationary. 

According to the Fedwatch tool, the odds of a Fed 0.25% rate cut in March stood at just 3%.

Now investors await important US inflation data this week to gather more clues.

The SPDR

Gold holdings at the SPDR Gold Trust fell 2.59 tons on Monday, the fourth drop in a row to a total of 891.75 tons, the lowest since February 20.