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On Friday, 6 June, oil prices declined slightly, but ended the week in the black for the first time in three weeks. The optimism in the market is driven by the resumption of trade talks between US President Donald Trump and Chinese leader Xi Jinping, which has fuelled expectations of increased demand from the world’s two largest economies, Reuters reports.
▪️ Brent lost 19 cents (-0.3%), dropping to $65.15 per barrel.
▪️ WTI fell by 20 cents (-0.3%) to $63.17 per barrel, after rising by almost 50 cents on Thursday.
Despite a slight decline, Brent gained 2.1% over the week, while WTI gained 4%, ending a two-week decline.
According to China’s Xinhua news agency, Washington initiated the resumption of the dialogue. Trump called the conversation with Xi “very positive” and said that the United States was “in a very good position” to negotiate a trade deal.
Canada, for its part, is also continuing negotiations with the United States. According to Industry Minister Melanie Joly, Prime Minister Mark Carney is in direct contact with President Trump.
The market remains sensitive to geopolitical risks: analysts at BMI (Fitch Group) point to possible tightening of sanctions against Venezuela and the threat of an Israeli strike on Iranian infrastructure as factors that could push prices up.
