• 2 minutes Oil Price Could Fall To $30 If Global Deal Not Extended
  • 5 minutes Middle East on brink: Oil tankers attacked off Oman
  • 8 minutes CNN:America's oil boom will break more records this year. OPEC is stuck in retreat
  • 9 hours Here We Go: New York Lawmakers Pass Aggressive Law To Fight Climate Change
  • 5 hours The Inconvenient Truth Of Electric Cars
  • 1 hour Iran downs US drone. No military response . . Just Completely Destroy their Economy. Can Senator Kerry be tried for aiding enemy ?
  • 4 hours Oil Demand Needs to Halve: Equinor
  • 9 hours Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 12 hours Ireland To Ban New Petrol And Diesel Vehicles From 2030
  • 11 hours Is $60/Bbl WTI still considered a break even for Shale Oil
  • 6 hours Solar Panels at 26 cents per watt
  • 4 hours The Plastics Problem
  • 12 hours Wonders of Shale - Gas, bringing investments and jobs to the US
  • 13 hours NATO Article 5: Attack on one member is attack on all. Members all must come to defense . . . NOT facilitate financial transactions to circumvent and foil US Sanctions. Somebody please tell Angela.
  • 5 hours Huge UK Gas Discovery
  • 9 hours Hydrogen FTW... Some Day
  • 7 hours Section 232 Uranium
  • 5 hours Green vs. Coal: Bavaria Seeks Fast-Track German Coal Exit in Snub to Merkel Plan
Alt Text

Oil Just Had Its Worst Run Since 2008

Oil prices have entered bear…

Alt Text

Have Canadian Oil Prices Hit The Sweet Spot?

Canadian oil prices have recovered…

Alt Text

OPEC’s Struggle To Avoid $40 Oil

Saudi Arabia cannot afford to…

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 Resilient Despite Trade Talk Failure

Reports of a new policy paper published by the Chinese government pushed oil prices lower in Asian trade this morning, dragging benchmarks downward. Prices quickly rebounded, however, on Saudi reassurances that OPEC + would continue to manage crude oil supplies.

S&P Global Platts cited reports from other media saying the policy paper held U.S. President Trump responsible for the recent breakdown in trade negotiations, which hardly bodes well for the future of the negotiations. Prices tumbled on the news, but rebounded as Saudi stoked market optimism with vague promises of continued production quotas.

Just days after the last report on how well trade talks between Washington and Beijing were going President Trump complained on Twitter they were going too slowly and threatened new tariffs. He went through with the threat—to increase tariffs from 10 percent to 25 percent on US$200 billion worth of Chinese goods—and the retaliatory move came promptly, with China raising tariffs on U.S. liquefied natural gas.

Following this latest exchange of tariffs, Chinese refiners and commodity traders began shunning U.S. crude oil, refusing to commit to long-term contracts, which in itself weighed on oil prices. The other factor that pressured oil was the renewed concern for global economic growth as a result of the trade rout between the world’s largest economies. Related:  Why Battery Metals Are Bafflingly Cheap

"In its White Paper on US-China trade talks unveiled on Sunday, while China said it is still open to negotiation, they will not give ground on the issues of principle and will also fight to the end if necessary," S&P Global Platts quoted analysts from OCBC as saying today.

Meanwhile, President Trump also threatened tariffs against Mexico, which, Reuters reported, has deepened the pessimistic mood among traders and investors. Trump said he will impose 5-percent tariffs on Mexican goods next Monday if Mexico doesn’t stop illegal immigration across the border between the two.

At the time of writing, Brent crude was trading at US$62.70 a barrel with West Texas Intermediate changing hands at US$54.45 a barrel. Both benchmarks were up over 1% from opening.

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