Oil prices jump US trade hopes with China, India lift market
Oil prices extended their gains for a second straight day on Wednesday, climbing nearly 2% amid growing optimism over potential trade progress between the United States, China, and India.
On Wednesday, Brent crude futures were up 96 cents, or 1.6%, at $62.28 a barrel, while U.S. West Texas Intermediate (WTI) rose 95 cents, or 1.7%, to $58.19, News.Az reports, citing Reuters.
Market sentiment strengthened after U.S. President Donald Trump said he had spoken with Indian Prime Minister Narendra Modi, who reportedly assured him that India would limit its oil imports from Russia.
According to India’s Mint newspaper, Washington and New Delhi are close to finalizing a long-delayed trade agreement that could cut U.S. tariffs on Indian goods to 15–16% from the current 50%.
Investors are also tracking developments in U.S.-China trade talks, with officials from both nations expected to meet this week in Malaysia. Trump said he hoped to finalize a “fair deal” with Chinese President Xi Jinping during an upcoming meeting in South Korea — though he later suggested the talks might be postponed, adding some uncertainty.
Oil prices were further supported by renewed supply concerns, after a planned summit between Trump and Russian President Vladimir Putin was put on hold. Western governments have also continued pressing Asian buyers to scale back purchases of Russian crude, raising fears of tighter supply.
Meanwhile, expectations of a drop in U.S. oil inventories added to the bullish tone. The American Petroleum Institute (API) reported declines in crude, gasoline, and distillate stocks last week, while the U.S. Department of Energy said it plans to buy 1 million barrels to replenish the Strategic Petroleum Reserve (SPR).
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