08:55 AM EDT, 07/10/2025 (MT Newswires) -- Oil prices fell for the first time in four sessions early on Thursday on rising U.S. inventories and expectations capricious U.S. tariff policies are likely to slow global growth.

West Texas Intermediate crude oil for August delivery was last seen down US$0.51 to US$67.87 per barrel, while September Brent crude was down US$0.43 to US$69.76.

The drop comes as supply is on the rise with OPEC+ continuing the return of 2.2-million barrels per day of production cuts. The cartel added a third tranche of 411,000 barrels per day on July 1 and agreed to boost output by 548,000 in August.

The new supply is boosting global oil inventories, with the Energy Information Administration on Wednesday reporting U.S. commercial oil inventories rose by 7.1-million barrels, even as gasoline stocks fell by 2.7-million barrels despite higher production of the fuel, showing summer driving demand remains robust.

Fresh tariff threats from U.S. President Donald Trump is also unsetting the market. Trump this week said he plans to impose a 50% levy on copper imports, while sending letters to a handful of trading partners threatening to impose high tariffs unless they can reach a trade deal with the United States by Aug.1.

"President Trump unveiled a new round of tariff demand letters, including a 50% rate on Brazil-a country with which the U.S. recorded a goods trade surplus in 2024-citing the treatment of former President Jair Bolsonaro as justification. The move underscores the growing risk that Trump is willing to weaponize tariffs to address virtually any issue that captures his attention, trade-related or not," Saxo Bank noted.