Oil prices ease as US and China extend tariffs deadline
Oil prices eased on Tuesday after the United States and China extended a pause on higher tariffs and data showed a rise in U.S. inflation in July.
Brent crude futures lost 28 cents, or 0.42%, to $66.35 a barrel by 10:05 a.m. ET. U.S. West Texas Intermediate crude futures eased by 43 cents, or 0.67%, to $63.53.
U.S. President Donald Trump extended a tariff truce with China to November 10, staving off triple-digit duties on Chinese goods as U.S. retailers prepared for the critical end-of-year holiday season.
This raised hopes that an agreement could be reached between the world’s two largest economies and avert a virtual trade embargo between them. Tariffs risk slowing global growth, which could sap fuel demand and drag oil prices lower.
U.S. consumer prices increased in July as tariff-induced rising costs for imported goods helped to drive the strongest gain in six months for one measure of underlying inflation.
Also potentially weighing on the oil market, Trump and Russian President Vladimir Putin are due to meet in Alaska on Friday to discuss an end to the war in Ukraine.
The U.S. has stepped up pressure on Russia to end the conflict, with Trump setting a deadline of last Friday for Russia to agree to peace in Ukraine or have its oil buyers face secondary sanctions. He has also pressed India and China to reduce their purchases of Russian oil.
Source: Reuters
