Overview

• Brent crude is trading at $66.53 per barrel, and WTI at $63.60, maintaining gains from the U.S.-China tariff pause agreement.
• The U.S. and China agreed to reduce tariffs for 90 days, temporarily cutting duties on key imports, which helped lift crude prices by nearly 3%.
• OPEC+ has increased oil production by 411,000 barrels per day in May, adding pressure to global supply levels.
• A weaker U.S. dollar, following lower-than-expected inflation data, has made oil more affordable for other currency holders, supporting demand.
• Market analysts remain cautious about sustained price gains due to unresolved trade issues and the potential mismatch between supply increases and refining capacity.