MARKET WATCH: NYMEX crude oil price bobbles over tariff talks

The light, sweet crude oil price for May increased on the New York market Apr. 5 as reports that the US would be willing to negotiate a trade resolution with China helped ease market fears of a trade war between the countries.

The light, sweet crude oil price for May increased on the New York market Apr. 5 as reports that the US would be willing to negotiate a trade resolution with China helped ease market fears of a trade war between the countries.

However, fast-forward several hours and add new commentary from US President Donald Trump, and prices moved in the opposite direction. Oil prices fell slightly Apr. 6 following a statement made by the president in which he asked US trade officials to consider an additional $100 billion bump in tariffs on China imports, once again fueling fears of a trade war.

“If China shows its willingness to impose tariffs on crude, it will send a shock wave through markets,” said Min Byungkyu, a global strategist at brokerage firm Yuanta Securities Co., in an Apr. 6 Bloomberg Markets report.

Energy prices

The May light, sweet crude contract on the NYMEX rose 17¢ on Apr. 5 to settle at $63.54/bbl. The June contract added 21¢ to $63.54/bbl.

The NYMEX natural gas price for May decreased 4¢ to a rounded $2.68/MMbtu. The Henry Hub cash gas price on Apr. 5 held unchanged from the previous day at $2.77/MMbtu.

Ultralow-sulfur diesel for May edged down less than 1¢ to remain at a rounded $1.97/gal. The NYMEX reformulated gasoline blendstock for May settled up less than 1¢ to $1.98/gal.

Brent crude oil for June added 31¢ to $68.33/bbl on London’s International Commodity Exchange. The July contract climbed 35¢ to $67.90/bbl. The gas oil contract for April was $608.25/tonne, down 75¢.

The Organization of Petroleum Exporting Countries’ basket of crudes was $65.18/bbl, up 70¢.

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