Trump Administration Considers Extending Fuel Tax Exemption

The Trump administration's consideration of expanding duties on oil and diesel could increase energy costs, potentially triggering global inflationary pressures. This scenario may heighten current account deficit concerns, particularly in emerging markets and energy-importing countries like Turkey. In the short term, it is expected to reduce risk appetite, leading to volatility in oil prices and selling pressure in equity markets. Markets may begin pricing in the potential for this move to deepen trade wars.

The Trump administration's plan to expand the petroleum and diesel excise tax could slightly reduce fuel demand within the US, potentially pushing oil prices higher in the short term. As BP's global production costs rise, sales in the US market may face some pressure. With the RSI at 76, indicating overbought territory, the likelihood of a short-term correction increases. Although MACD and SMA indicators still support an upward trend, a slight decline is expected over the next 1-3 days due to the negative impact of the news. Overall, short-term resistance and a mild pullback are highly probable in the market.

The news indicates that the Trump administration is considering expanding the oil and diesel excise tax. This could mean increased costs and margin pressure for oil companies such as Chevron. Technical indicators point to overbought territory (RSI 74.8), increasing the likelihood of a short-term correction. Despite a 5.76% rise in the last 24 hours, the tax news may act as a negative catalyst, triggering selling pressure. Therefore, a downward movement is expected in the short term.

The news involves an expansion of the tax on petrol and diesel, which could lead to increased costs and demand pressure for energy companies such as OXY. Technically, the RSI is in overbought territory above 70, and the MACD has started to fall below the signal line, increasing the likelihood of a short-term correction. Profit-taking may follow the 6.5% rise over the past 24 hours. However, the price remains above the SMA20 and SMA50, indicating that the medium-term trend is still strong, so any decline is expected to be limited.