• 3 minutes Boris Johnson taken decision about 5G Huawei ban by delay (fait accompli method)
  • 6 minutes This Battery Uses Up CO2 to Create Energy
  • 10 minutes Phase One trade deal, for China it is all about technology war
  • 12 minutes Trump has changed into a World Leader
  • 6 hours Shale Oil Fiasco
  • 28 mins Might be Time for NG Producers to Find New Career
  • 3 hours Angela Merkel take notice. Russia cut off Belarus oil supply because they would not do as Russia demanded
  • 7 hours Environmentalists demand oil and gas companies *IN THE USA AND CANADA* reduce emissions to address climate change
  • 3 hours We're freezing! Isn't it great? The carbon tax must be working!
  • 1 day China's Economy and Subsequent Energy Demand To Decelerate Sharply Through 2024
  • 1 day Swedes Think Climate Policy Worst Waste of Taxpayers' Money in 2019
  • 1 day Wind Turbine Blades Not Recyclable
  • 1 day Prototype Haliade X 12MW turbine starts operating in Rotterdam
  • 6 hours US Shale: Technology
  • 9 hours Indonesia Stands Up to China. Will Japan Help?
  • 1 day Denmark gets 47% of its electricity from wind in 2019
Alt Text

Asian Oil Buyers Unfazed By Iran Crisis

Oil prices rose and fell…

Alt Text

Is Iran Preparing To Send Oil Back To $100?

Brent oil prices have failed…

Alt Text

Oil Tanks As Trump Claims Iran Is Standing Down

Oil prices fell on Wednesday…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Oil Jumps On Trump-Xi Trade Truce

Crude oil began trading today with a 5-percent gain following favorable reports from G20, where Presidents Trump and Xi agreed on a 90-day truce and Russia’s Vladimir Putin said Russia will extend its cooperation on production with OPEC into 2019.

Effectively, this means Russia will take part in the production cuts that are to be discussed at the Vienna meeting of OPEC+ this week, although Putin added that the size of the cut Russia will enforce has yet to be determined.

The Trump-Xi truce, for its part, had a favorable effect on prices especially because it envisaged China opening its markets for more energy imports, among others. Also, the two sides agreed to freeze tariffs where they are for three months, while negotiations continue. While crude oil has not been included in the tariff lists, the possibility of this happening has made traders jittery. Now, for three months at least, they will have one less thing to worry about.

In fact, they may have two things less to worry about as after Putin’s statement regarding the production cuts, these are now much more likely: after scoring the continued support of Russia it would be easier for Saudi Arabia to convince the rest of OPEC to cut. Still, there are four more days until the Vienna meeting and nothing is certain yet. If cuts are agreed, analysts expect them at 1-1.4 million bpd.

Meanwhile, West Texas Intermediate received an additional boost from an announcement by Alberta’s Premier, Rachel Notley, that the province will cut crude oil production by over 300,000 bpd in order to clear excess supply in storage and arrest the decline in prices. The cut will be in place temporarily, until the excess clears and then it will be reduced to less than 100,000 bpd, to be in place until end-2019.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage




Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play