Sino-American Trade Talk Hopes Cause Oil Prices To Rise – 13 February, 2019

Optimism that a trade agreement between the U.S. and China will be reached caused oil prices to rise with hopes that talks will improve global economic outlook. International Brent crude oil futures rose 0.6 percent and 37 cents to $63.98 per barrel. U.S. west Texas Intermediate crude futures rose 26 cents and 0.5 percent to $54.16 per barrel. President Trump’s comments that trade talks were going “very well” boosted prices, with the 90 day trade truce coming to an end on March 1st possibly being extended, and hopes that the leaders of both countries will be meeting by the end of March. In January, Chinas imports of crude rose 4.8 percent to roughly 10.03 million barrels per day in the third straight month of over 10 million bpd imports. U.S. crude production has stayed over the record 11.9 million bpd, with the oversupply having weighed on prices.