WTI Crude Oil Prices Rise on Expectations for a Phase One Trade Deal Soon

WTI crude oil prices are making gains into Tuesday over positive comments from the US and China suggesting that they could soon come together to sign the phase one trade deal. At the time of writing, WTI crude oil is trading at around $57.95 per barrel.

Chinese daily Global Times quoted sources close to the Chinese government that both the US and China are close to arriving at a consensus towards the partial trade deal. Minor differences surrounding removal of tariffs still remain to be sorted out, but the sources expressed hope that it could be resolved soon.

The strengthening in crude oil prices was also supported by a rally on Wall Street with SPX and NASDAQ closing at record highs at the end of Monday’s session. Meanwhile, latest reports reveal that OPEC and its allies could consider extending curbs in crude production beyond the current deadline of March 2020 until at least mid-2020 in an attempt to stem the decline in crude oil. OPEC+ meets at the headquarters in Vienna on December 5-6.