Oil prices rose after rising more than 3% in the previous session as the U.S. and China agreed to start trade talks, raising optimism that tensions between the world's two largest economies could ease. West Texas Intermediate crude rose near $60 a barrel after rising the most in nearly three weeks on Tuesday. Brent crude settled above $62. U.S. Treasury and Commerce officials are due to travel to Switzerland this week for talks with Chinese officials, the first such discussions since President Donald Trump imposed sweeping tariffs. Crude is facing increasing pressure from escalating trade tensions, with OPEC+ adding to bearish headwinds with plans to further increase supply. The drop in oil prices is likely to lead to a decline in U.S. shale production, according to Diamondback Energy Inc., the largest independent U.S. oil producer in the Permian Basin. Meanwhile, the industry-funded American Petroleum Institute reported that U.S. crude inventories fell by 4.49 million barrels last week. Stockpiles also fell at the Cushing, Oklahoma, storage hub. (Newsmaker23)

Source: Bloomberg