Published May 14, 2025
By Becky Obaro
Oil prices dipped on Wednesday as traders eyed a potential jump in U.S. crude inventories, though prices held near two-week highs amid relief after the United States and China agreed to temporarily lower their reciprocal tariffs.
The two largest economies agreed on Monday to pause their trade war for at least 90 days, with the United States cutting tariffs to 30% from 145% and China slashing duties on U.S. imports to 10% from 125%.
Brent crude futures fell 34 cents, or 0.51%, to $ 66.29 a barrel by 8:29 WAT. U.S. West Texas Intermediate (WTI) crude slipped 32 cents, or 0.5%, to $63.35. Both benchmarks had climbed more than 2.5% in the previous session.
Crude stocks were up by 4.3 million barrels in the week ended May 9, market sources told Reuters, citing American Petroleum Institute figures on Tuesday.
The market is also watching U.S. President Donald Trump’s Gulf trip, begun on Tuesday with an appearance at an investment forum in Riyadh, where he said the U.S. would lift longstanding sanctions on Syria and secured a $600-billion pledge of Saudi investment.
On Tuesday, the United States slapped fresh sanctions on about 20 companies it said were helping Iran’s Armed Forces General Staff and its front company, Sepehr Energy, send Iranian oil to China.
The sanctions follow a fourth round of U.S.-Iran talks in Oman to tackle disputes over Iran’s nuclear programme.
