Oil Steady After Trump, US Tariff Suspension
Oil prices fell as traders weighed the impact of Washington’s exemption from tariffs on smartphones and other electronics and “constructive” weekend discussions between the U.S. and Iran.
Brent crude traded near $65 a barrel, while West Texas Intermediate hovered around $61 after a modest initial gain.
Phones, computers and other popular consumer electronics were exempted from the levies late Friday — the first significant softening in Washington’s current trade conflict with Beijing — though U.S. President Donald Trump later dismissed the move as procedural, and said Sunday he would still impose tariffs on the sector.
Trump’s punitive levies have weighed on oil, with futures last week plunging to their lowest since 2021 as traders worried about the impact on global demand. OPEC+’s decision to restore output sooner than expected has added to the slump.
Meanwhile, easing tensions with Iran could provide hope for increased supply for top buyer China. Saturday’s U.S.-Iran talks in Oman marked the first high-level engagement since 2022, and signaled renewed efforts to resolve a years-long standoff over Tehran’s nuclear program. The two countries have agreed to meet again in a week.
Source: Bloomberg
