Oil prices stabilize thanks to US-China trade progress

Oil prices held steady on October 30 as investors weighed the possibility of the US and China reaching a deal to ease trade tensions. The move followed a meeting between US President Donald Trump and Chinese President Xi Jinping in South Korea, in which Trump decided to reduce import tariffs on Chinese goods.

Oil rig in Texas, USA. Photo: THX/TTXVN

Brent crude oil prices rose 8 US cents (0.1%) to 65 USD/barrel while US light sweet crude (WTI) prices rose 9 US cents (0.1%) to 60.57 USD/barrel.

At the meeting, Mr. Trump agreed to reduce tariffs with China from 57% to 47% in exchange for Beijing resuming imports of American soybeans, maintaining rare earth exports, and strengthening controls on illegal fentanyl trafficking.

Analyst Tamas Varga of oil and gas consultancy PVM said investors viewed the deal as a move to de-escalate tensions, rather than a structural change in bilateral relations.

The US Federal Reserve (Fed) on October 30 lowered interest rates as expected by the market, contributing to improving the economic outlook. Low interest rates help reduce borrowing costs, thereby supporting economic growth and boosting oil demand.

Chief economist Claudio Galimberti of energy research firm Rystad Energy said the Fed's decision shows that monetary policy is shifting, focusing on promoting growth and supporting the economy, thereby facilitating commodities linked to economic activity.

Prices of both key oil grades are headed for a drop of around 3% in October 2025, marking the third consecutive monthly decline due to concerns about oversupply.

Investors are awaiting a meeting of the Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC+, on November 2. At this meeting, OPEC+ is likely to announce a plan to increase production by 137,000 barrels per day in December 2025.

Source: https://baotintuc.vn/thi-truong-tien-te/gia-dau-on-dinh-nho-tien-trien-thuong-mai-my-trung-20251031070733619.htm