Oil prices edged higher on Tuesday (July 29th) amid optimism that the trade war between the United States and its major trading partners is easing and as President Donald Trump increases pressure on Russia over its war in Ukraine.
Brent crude futures rose 47 cents, or 0.7%, to $70.51 a barrel at 09:24 GMT, after touching their highest level since July 18th, while U.S. West Texas Intermediate crude was at $67.24, up 53 cents, or 0.8%.
Both contracts closed more than 2% higher in the previous session.
The trade agreement between the United States and the European Union, despite imposing 15% import tariffs on most EU goods, averted a full-blown trade war between the two key allies that would have impacted nearly a third of global trade and dimmed the outlook for fuel demand.
The agreement also calls for the European Union to purchase $750 billion worth of US energy over the next three years, something analysts say is almost impossible for the bloc to meet, while European companies will invest $600 billion in the US during President Donald Trump's second term.
Top economic officials from the US and China met in Stockholm for a second day to resolve long-running economic disputes and step back from the escalating trade war between the world's two largest economies. Trump also set a new deadline on Monday of "10 or 12 days" for Russia to make progress in ending the war in Ukraine. Trump has threatened to sanction Russia and buyers of its exports unless progress is made.
"Oil prices strengthened after President Trump said he would shorten the deadline for Russia to reach a deal with Ukraine to end the war, raising supply concerns," ING analysts said in a note. Market participants are also awaiting the outcome of the US Federal Open Market Committee meeting on July 29-30. The Fed is widely expected to keep interest rates unchanged but could signal a dovish tilt amid signs of easing inflation, said Priyanka Sachdeva, senior market analyst at brokerage Phillip Nova. (alg)
Source: Reuters
Oil prices stabilized on Thursday (February 12th), as the market reassigned a risk premium to US-Iran tensions despite US inventory data showing swelling domestic supplies. This movement confirms one ...
Oil prices rose on Wednesday (February 11th), supported by a combination of geopolitical risk premiums from US-Iran tensions and more solid Asian demand signals particularly from India which helped ea...
Oil remained in the green zone on Tuesday (February 10th), as the market refused to abandon the Middle East risk premium. As of 13:07 GMT (20:07 WIB), Brent rose +0.4% to $69.32/barrel, while WTI rose...
Oil prices fell about 1% on Monday as concerns about conflict in the Middle East eased slightly. The market calmed after the US and Iran agreed to resume talks on Tehran's nuclear program, reducing fe...
Oil prices moved slightly higher in a volatile session on Friday, as investors assessed the direction of nuclear negotiations between the United States and Iran. Price movements appeared sensitive to ...
Oil prices stabilized on Thursday (February 12th), as the market reassigned a risk premium to US-Iran tensions despite US inventory data showing swelling domestic supplies. This movement confirms one thing: geopolitical headlines are still more...
Gold prices weakened slightly on Thursday (February 12th), as more solid US employment data reduced market confidence in an imminent Federal Reserve interest rate cut. The strong employment data prompted market participants to shift expectations of...
The Hang Seng Index reversed its downward trend in Hong Kong on Thursday (February 12th), weakening by around 0.9% to around 27,000 after a strong session earlier. This decline halted the momentum of the short term rally, as investors began to...