🤑 It doesn’t get more affordable. Grab this 60% OFF Black Friday offer before it disappears…CLAIM SALE

Oil prices edge up, supported by Iran ship attack, U.S.-China trade detente

Published 14/10/2019, 01:22
© Reuters.  Oil prices edge up, supported by Iran ship attack, U.S.-China trade detente
LCO
-
CL
-

* Prices rise 2% on Friday after Iran tanker attack

* Traders eye U.S.-China pact, details of phase 1 agreement

By Florence Tan

SINGAPORE, Oct 14 (Reuters) - Oil prices were little changed

on Monday, holding onto 2% gains from Friday amid renewed

geopolitical tensions in the Middle East, while a detente in the

U.S.-China trade war buoyed market sentiment.

Brent crude futures LCOc1 rose 9 cents to $60.60 a barrel

by 1208 GMT, while U.S. West Texas Intermediate (WTI) crude

futures CLc1 was at $54.79 a barrel, up 9 cents.

Both contracts rose more than 3% last week, their first

weekly gain in three weeks.

Most of the gains were posted on Friday after an Iranian oil

tanker was attacked off Saudi Arabia's coast in the Red Sea.

Investigations are under way to determine if the tanker was hit

by missiles, which could ratchet up tensions between Tehran and

Riyadh if confirmed. The emergence of a phase 1 trade deal between the United

States and China and a goodwill move by Washington to suspend

threatened tariffs on Chinese products also lifted global

financial markets. Investors remained cautious given that few details emerged

from the talks, while it may take another five weeks for the two

countries to sign a pact.

"Traders view the deal in a tentative light as a tariff

detente falls well short of bridging the critical trust gap

which is an implicit removal of a significant chunk of existing

tariff," said Stephen Innes, Asia Pacific market strategist at

AxiTrader in a note.

"This baby-step agreement could take weeks to iron out."

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2024 - Fusion Media Limited. All Rights Reserved.