Overview

• President Donald Trump and China’s Xi Jinping resumed trade talks at Washington’s request, raising forecasts for stronger global oil demand.
• Brent crude futures eased to $65.22 a barrel and WTI dipped to $63.22 but both benchmarks are set to post their first weekly gains in three weeks.
• OPEC+ approved a combined production increase of 411,000 barrels per day in July, prompting Saudi Arabia to cut its July crude prices for Asia to near two-month lows.
• The U.S. services sector slipped into contraction in May for the first time in nearly a year and weekly jobless claims rose, signaling cooling domestic demand.
• Canadian oil output has been trimmed by wildfires and Ottawa has continued trade negotiations with the U.S., adding further support to global crude markets.