Oil closes in on US$72 as US, China reach trade truce

ArticleEnergyMay 22, 2018 - 5:07:59 AM

OIL advanced near US$72 a barrel as an economic truce between the United States and China eased fears of a trade war, and before a meeting on crude prices between the ministers of top producers Russia and Saudi Arabia.

Futures in New York rose as much as 0.9 per cent. US Treasury Secretary Steven Mnuchin said on Sunday the two nations are "putting the trade war on hold" as they work on a framework to balance trade.

Saudi Arabia's Energy Minister Khalid Al-Falih and his Russian counterpart Alexander Novak are scheduled to meet this week in St Petersburg to discuss all issues related to the oil market, including prices, according to Mr Novak.

Oil traded in both New York and London is set for a third monthly gain after geopolitical tensions in the Middle East and the US reimposing sanctions on Iran's oil exports pushed crude to levels not seen for more than three years. While the Organization of Petroleum Exporting Countries (Opec) continues to tighten global inventories, data also showed that US crude rigs, an indicator for potential shale production, remained unchanged last week...

Source: businesstimes.com

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