Oil prices rose slightly on Tuesday after US President Donald Trump signed an executive order delaying increased tariffs on Chinese goods for 90 days, while uncertainty over Washington-Moscow talks and concerns about persistent US inflation capped further gains.
International benchmark Brent crude rose 0.2% to $66.53 per barrel at 10.30 a.m. local time (0730 GMT), up from $66.38 at Monday’s close.
US benchmark West Texas Intermediate (WTI) increased 0.1% to $63.38 per barrel, compared to $63.28 in the previous session.
On Monday, Trump announced he had signed an order extending the suspension of higher tariffs on Chinese imports until Nov. 10.
"All other elements of the Agreement will remain the same. Thank you for your attention to this matter!" Trump said on Truth Social. The order maintains a 10% reciprocal tariff during the suspension period.
Analysts say the move could bolster energy demand by supporting economic activity, lending upward momentum to oil prices.
Meanwhile, uncertainty surrounding an upcoming meeting between Trump and Russian President Vladimir Putin continued to weigh on sentiment.
Trump said he plans to review Putin's proposal to end Kremlin's war in Ukraine during a summit in Alaska and hopes to secure a sit-down between the two leaders.
"I like to see a ceasefire very, very quickly, very quick. I'd like to see it immediately, but I'd like to see it very quickly," Trump said.
Analysts say that progress toward a ceasefire could ease supply concerns and lower prices, but the risk of no agreement keeps prices supported.
- Geopolitical tensions add upward pressure
In a related development, Ukrainian President Volodymyr Zelenskyy urged Indian Prime Minister Narendra Modi to further restrict Russian oil exports, adding additional upward pressure on prices.
The two leaders also discussed sanctions against Russia and agreed to meet at the UN General Assembly in September, according to Zelenskyy.
His comments came as India faces 50% US tariffs, partly over its purchases of Russian crude. India, alongside China, remains one of Russia's largest crude customers.
On the other hand, data showing US inflation is still above the Federal Reserve's 2% target strengthened expectations that the central bank will delay interest rate cuts, which limited price gains.
Rate reductions aimed at stimulating economic growth typically increase demand in oil-reliant sectors such as manufacturing and transportation. Analysts caution that a delay could weigh on prices by curbing demand.
By Duygu Alhan
Anadolu Agency
energy@aa.com.tr