Skip to content

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved.

Oil prices rally as investors hope for progress in US-China trade talks

Oil prices climbed $1 higher on Monday as investors pray for an end to the ongoing trade war between the world’s two largest economies.

Oil Source: Bloomberg

Oil prices climbed $1 higher, driven by investors hoping for progress in US-China trade talks which are scheduled to recommence on Thursday.

Brent crude rose by $1.09 a barrel to $59.46 on Monday, representing a 1.8% increase, while the US West Texas Intermediate (WTI) rallied by $1.06 to $53.87, up 2%.

Looking to go long or short oil? Open a demo or live account with IG

US-China officials commence negotiations this week

Top officials from China and the US will meet on Thursday to commence the latest round of trade talks with the aim of breaking the deadlock between the world’s two largest economies.

‘The two sides will look to build on the deputy-level talks of the past weeks,’ White House spokeswoman Stephanie Grisham said in a statement.

‘Topics of discussion will include forced technology transfer, intellectual property rights, services, non-tariff barriers, agriculture, and enforcement.’

Supply fears continue

Oil prices have remained supported by supply fears from major exporters, with civil unrest in Iraq – the second-largest OPEC producer – and the recent attack on Saudi Aramco’s facilities expected to severely disrupt oil production.

3.43 million barrels per day (bpd) of oil from Iraq’s Basra terminals are likely to be disrupted if anti-government protests continue, Ayham Kamel, Eurasia Group’s practice head for Middle East and North Africa, said in a note.

‘Any oil production disruption would occur at a time when Saudi Arabia has lost a significant part of its energy system redundancies (spare capacity),’ he said.

IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.

No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. Please see important Research Disclaimer.

Please also note that the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.

Seize a share opportunity today

Go long or short on thousands of international stocks.

  • Increase your market exposure with leverage
  • Get spreads from just 0.1% on major global shares
  • Trade CFDs straight into order books with direct market access
Learn more

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Tuesday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

<h3>How much does trading cost?</h3>
<h3>Find out about IG</h3>
<h3>Plan your trading</h3>

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.