Oil prices edged up on Friday following US President Donald Trump's announcement of a trade deal with China and renewed pressure on Federal Reserve (Fed) Chair Jerome Powell to cut interest rates.
International benchmark Brent crude rose by 0.54%, trading at $66.98 per barrel at 11.08 a.m. local time (0808 GMT), up from $66.62 at the previous session's close.
Similarly, US benchmark West Texas Intermediate (WTI) increased by about 0.61%, settling at $65.11 per barrel, compared to $64.71 in the prior session.
Prices gained after Trump said the US had signed a trade deal with China and hinted at a possible agreement with India.
"Well, we just signed with China yesterday, right? Just signed with China," Trump said at the One Big Beautiful Bill Event at the White House.
"In the China deal, we're starting to open up China. Things that never really could have happened," he added.
US and Chinese officials met earlier this month in London to discuss the tariff issue.
In April, the US began implementing significant tariffs on goods imported from China. But in May, the US and China agreed to a broad rollback of punitive tariffs for the initial 90 days.
Trump said the US may sign a deal with India as well.
Trump also said during the same event: "We're having some great deals. We have one coming up, maybe with India, a very big one, where we're going to open up India."
The easing of trade tensions between the world's two largest oil consumers and importers is seen as boosting global oil demand, and supporting prices.
Meanwhile, Trump also continued his criticism of Fed's Powell and renewed calls for lower interest rates, further supporting the rise in prices.
The US President urged Powell to cut rates, calling him "terrible," while also confirming that he is considering "three or four" people for the chair's replacement.
"I think he is terrible," Trump said of Powell in a press conference following the NATO Heads of State and Government Summit in The Hague, Netherlands.
Reports that Trump is considering naming a new Fed chair by year's end, along with speculation that the central bank could cut interest rates three times this year, weakened the dollar against other currencies and helped lift oil prices.
The Wall Street Journal, citing people familiar with the matter, reported that Trump is considering announcing Powell's replacement as early as September or October.
A person familiar with the situation said Trump's anger toward Powell may prompt him to make the announcement earlier than initially planned.
Expectations of lower US interest rates weakened the dollar against other currencies, making dollar-denominated oil cheaper for buyers using foreign currencies and increasing demand.
By Handan Kazanci
Anadolu Agency
energy@aa.com.tr