Oil prices continue to rise

Oil prices continued to rise on Tuesday on a wave of optimism sparked by the agreement negotiated by the US and China over the weekend on a temporary reduction in mutual tariffs. An additional bullish impulse was a significant weakening of the dollar after US inflation data for April came in lower than expected. The rise in oil prices was also linked to reports of further US sanctions imposed on companies facilitating the export of Iranian oil to China, as well as President Donald Trump’s declaration to exert maximum pressure on Iran in order to force its authorities to conclude an agreement on the nuclear program. In Europe, there were signals about a plan to impose sanctions on Russia in the coming days to force it to implement a ceasefire in Ukraine.

On ICE Futures Europe, Brent crude oil in the leading July contract ended up 2.6% to $66.63, the highest since April 17. On NYMEX, the price of a barrel of WTI crude oil in the leading June contract closed up 2.8% to $63.67, the highest since April 22.