Economy
Oil Recovers Losses After Trump Says China Trade Deal Still On
(Bloomberg) — Oil pared losses after falling from a three-month high as a White House official said the U.S.-China trade deal was in place, clarifying his earlier remarks that sowed confusion about whether the agreement was over.
Futures in New York initially dropped as much 2.4% as oil was swept up in a broader market rout after Trade Adviser Peter Navarro said “it’s over,” when asked in a Fox News interview about the trade agreement with China. Prices recovered after he clarified that the remarks were about trust, rather than the trade deal, with President Donald Trump following up with a tweet that said the deal was “fully intact.”
The relationship between the U.S. and China had been on shaky ground, even after they agreed on their phase-one trade deal. In the latest developments, the U.S. imposed constraints on four more Chinese media companies, while the Asian nation blocked poultry imports from a Tyson Foods Inc. plant where hundreds of people tested positive for the virus.
“Trump would be very reluctant to officially walk away from the deal in an election year, given the potential impact it would have on markets,” said Warren Patterson, head of commodities strategy at ING Bank NV. “Attention in the oil market will turn back quickly to efforts from OPEC+ to re-balance the market” after the clarification that the trade deal was still fully intact, he said.
Oil has rallied since plunging below zero in April and is now trading at levels last seen before Russia and Saudi Arabia engaged in a damaging, although short-lived, price war. The kingdom’s Energy Minister Prince Abdulaziz bin Salman said last week that OPEC+ is on track to rebalance the market, and some of the world’s largest traders are seeing a rapid recovery in demand.
-
Uncategorized2 months ago
Oman Oil Marketing Company partners with Ihsaan Association to support its activities
-
OER Magazines1 month ago
Signature, October 24
-
Alamaliktistaad Magazines1 month ago
Al-iktisaad, October 24
-
Commodities2 months ago
Gold Rangebound as Investors Brace for Key US Economic Data
-
Oil & Gas2 months ago
OQEP Appoints United Securities as Liquidity Provider Ahead of Landmark MSX Listing
-
Magazines4 weeks ago
OER, October 24
-
Lifestyle2 months ago
Royal Opera House Muscat Welcomes First Shows of its 2024/25 Season
-
Oman1 week ago
Shell Oman Partners with Oneroad Automotive Gives Away 2 Forthing Cars as Part of its ‘Win Big’ Campaign