Oil prices rose slightly on Friday to rebound from recent string of losses after U.S. President Donald Trump and Chinese President Xi Jinping have expressed optimism about resolving their bitter trade disputes.
Global benchmark Brent crude for January delivery rose by 31 cents or 0.43 to $73.20 a barrel, while U.S. West Texas Intermediate (WTI) crude futures were up marginally at $63.70 a barrel.
U.S. President Donald Trump said he had a “long and very good” conversation with Chinese President Xi Jinping on trade and North Korea, and that the two planned to meet at the upcoming G-20 summit.
Xi said on CCTV state television that he hoped China and the United States would be able to promote a steady and healthy relationship, and that he was willing to meet with Trump in Argentina on the trade issue.
The optimism for a potential trade deal between the U.S. and China helped spur a global relief rally in equity markets.
Traders are also bracing for the imposition of U.S. sanctions on Iran that will come into effect on November 5 at midnight.
Media reports suggest that the U.S. has agreed to let eight countries – including Japan, India and South Korea – keep buying Iranian oil in exchange for continued import cuts.