Global oil prices have dropped further, driven by signs of easing trade tensions between China and the United States and anticipation of an upcoming OPEC+ meeting.
On Friday (May 2), Brent crude fell by 42 cents (0.7%) to $61.71 per barrel, while West Texas Intermediate (WTI) dropped by 46 cents (0.8%) to $58.78 per barrel.
China’s Ministry of Commerce announced on Friday that Beijing is evaluating Washington’s proposal for trade talks, raising hopes of reduced trade friction.
Harry Tchilinguirian, Head of Research at Onyx Capital Group, commented that there is some optimism regarding U.S.-China relations, although the signs remain temporary.
Earlier, on Wednesday (April 30), Brent crude fell by 75 cents (1.17%) to $63.50 per barrel, while WTI declined by 79 cents (1.31%) to $59.63.
In April, Brent and WTI prices dropped by 15% and 17% respectively—their steepest monthly declines since November 2021.
According to a Reuters survey, tariffs imposed by former U.S. President Donald Trump have raised concerns of a potential global economic downturn this year. Another survey revealed that China’s factory activity contracted in April at the fastest pace in 16 months.