Oil Prices Rise On Fresh Iran Sanctions, Big Drop In US Crude Inventories
Oil prices extended gains in Asian trade on Wednesday as the US imposed new sanctions on Iran amid ongoing nuclear talks, while investors digested a weekly report showing a big drop in US crude inventories.
Market sentiment was further boosted by US President Donald Trump walking back an earlier threat to fire Federal Reserve Chairman Jerome Powell and expressing confidence in the country’s trade relations
Brent crude futures expiring in June rose 1% to $68.12 a barrel at 9:07 p.m. ET (01:07 GMT), Brent crude futures expiring in June rose 1% to $68.12 a barrel, while West Texas Intermediate (WTI) crude futures also rose 1% to $63.58 a barrel.
Both contracts closed nearly 2% higher on Tuesday.
President Donald Trump on Tuesday eased tensions with the Federal Reserve, walking back an earlier threat to fire Chairman Jerome Powell. The move came after days of mounting criticism from the president, who has repeatedly urged the central bank to cut interest rates more aggressively.
Trump also expressed optimism about the potential for trade negotiations with China, saying a potential deal could lead to “substantial” tariff reductions. But it “won’t be zero,” he added.
Trump reiterated that the U.S. is “doing great with China” and other countries.
Source: Investing.com