Oil Prices Rise on US-China Tariff Truce Extension Amid Global Trade Hopes

Oil prices rose modestly as U.S. President Donald Trump extended a tariff truce with China by 90 days, easing fears that an escalation in their trade dispute could harm economic growth and reduce fuel demand in the world's two largest oil consumers. Brent crude futures increased to around $66.90 per barrel, while U.S. West Texas Intermediate crude rose to about $64.18. The tariff extension has raised hopes of a broader agreement between the U.S. and China, potentially avoiding a trade embargo that would negatively impact global growth and oil prices. Investors are also focused on an upcoming meeting between Trump and Russian President Vladimir Putin aimed at negotiating an end to the war in Ukraine, which could influence Russian oil supply and sanctions. Additionally, U.S. inflation data and expectations of a Federal Reserve interest rate cut are contributing to the positive outlook for crude prices. Market analysts note that any peace deal between Russia and Ukraine would reduce risks of supply disruptions currently impacting the oil market.