Trump on Monday said he believed China was sincere about wanting to reach a deal, while Chinese Vice Premier Liu He said China was willing to resolve the dispute through “calm” negotiations, settling global markets.
“While ‘de-escalation’ and the expectation of a temporary truce in the trade war may be what is lifting sentiment and oil prices this morning, the resolution of the U.S.-China trade rift will take time,” said Harry Tchilinguirian, global oil strategist at BNP Paribas in London.
“Oil prices appear to be getting a reprieve from the last week’s U.S. and Chinese announcements of retaliatory trade measures.”
Oil prices have fallen around 20% from 2019 highs reached in April, in part because of worries that the U.S.-China trade war is hurting the global economy, which could dent demand for oil.
