Oil prices were steady on Friday but were on track for their second consecutive weekly decline, amid investor concerns over the escalating trade war between the U.S. and China.
At 10:33 GMT (4:33 a.m. CDMX), Brent futures rose by 0.6%, or 38 cents, to $63.71 per barrel, while West Texas Intermediate (WTI) in the U.S. added 0.63%, or 38 cents, to $60.45 per barrel.
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Precios del petróleo caen con fuerza por la guerra comercial con EU
The Brent and WTI are close to registering weekly drops of nearly 3% and 2.5%, respectively, after losing around 11% last week. The Brent fell below $60 per barrel at one point this week, reaching its lowest level since February 2021.
“China’s retaliatory measures, with higher U.S. tariffs, have weighed on market confidence and dragged down oil prices,” said Giovanni Staunovo, an analyst at UBS.
China announced on Friday a 125% tariff on U.S. products starting Saturday, above the previously approved 84%, following President Donald Trump’s move to raise tariffs against China to 145% on Thursday.
Trump paused this week the heavy tariffs against dozens of trade partners but a prolonged dispute between the world’s two largest economies is likely to reduce global trade volumes and disrupt trade routes, slowing down global economic growth and curbing oil demand.
“It’s an arbitrage-driven market, influenced by loss of confidence in transparent and clear policy formulation,” said Tamas Varga, an analyst at PVM.
Analysts at BMI “expect prices to remain under pressure as investors assess ongoing trade negotiations and rising tensions between Washington and Beijing.”
