Oil prices edged down and facilitating US-Iran tensions, eyes on China Trade Agreement
il prices dropped on Monday as concerns of conflict between both the U.S. and Iran helped ease, however, the decline was verified by the scheduled signing this week of an initial US-China trade deal that could boost requirement.
At 0120 GMT, Brent crude was down 13 cents or 0.2 percent, at $64.85 per barrel. WTI also dropped 9 cents, or 0.2 percent, a barrel of $58.95.
Prices of oil had risen after an Iranian commanding officer was killed by a U.S. drone strike and Iranian missiles were launched in retaliatory action, but then fell as the U.S. and Iran retreated from the brink of direct contradiction.
Brent’s international barometer impacted a nearly four-month high above $70 before ending below $65 last week, though the Arab world situation remains tense.
On Sunday, four Iraqi troops were critically injured in a siege on an Iraqi airbase, where US troops were based, the Iraqi army retorted.
The subject for stakeholders this week will be global uncertainty, ANZ Research said that in a statement.
Elsewhere, hopes of thawing trade relations between the U.S. and China, the world’s two biggest users of crude, have provided market relief.
A trade deal between the US and China is set to be agreed Wednesday in Washington.