Oil Extends Recovery From Lows After Trump Changes Course
Oil extended its recovery from a four-year low as President Donald Trump’s partial suspension of tariff plans sparked a global relief rally.
West Texas Intermediate rose above $63 a barrel, after reversing course on Wednesday to surge 4.7%, its best one-day gain since October. With financial markets in turmoil, Trump abruptly announced a 90-day pause on higher tariffs that have hit dozens of trading partners, while also raising duties on China to 125% after Beijing retaliated.
Oil along with other commodities, equities and bonds have been pushed lower by the U.S. tariff push, which has been undermined by warnings of a global recession that will hurt energy demand. At the same time, the OPEC+ alliance has committed to easing output curbs at a faster pace than expected, stoking concerns about a supply glut. Wednesday’s rise in crude prices came despite figures showing U.S. commercial inventories rose to their highest since July.
WTI for May delivery rose 1.3% to $63.13 a barrel as of 7:25 a.m. in Singapore.
Brent for June delivery closed 4.2% higher at $65.48 a barrel on Wednesday.
Source: Bloomberg