Oil markets rallied for the second day on Tuesday, with Brent climbing above $69 per barrel on optimism that a trade dispute between the U.S. and China, the two biggest crude consumers in the world, will be resolved without significant repercussions to the global economy.
But prices continue to remain within recent ranges as oil markets still observe an abundance of supply that puts pressure on producers to keep their prices competitive in order to lose market share.
Brent crude futures stood at $69.04 per barrel, 39 cents or 0.6 percent higher from their last close. U.S. WTI crude futures traded at $63.81 per barrel, up 39 cents or 0.6 percent from their last settlement.
The increases came after a more than two percent increase on Monday during European and U.S. trade hours, however, there was a recovery from a 2 percent drop on Friday.
On Tuesday, Chinese President Xi Jinping pledged to open the nation’s economy further and reduce import tariffs, in an address that was perceived as conciliatory on the increasing tensions between China and the U.S.
The material has been provided by InstaForex Company – www.instaforex.com