From Yahoo Finance: 2025-05-12 06:30:00

Oil prices surged as China and the US agreed to lower tariffs on each other after trade talks. Brent crude rose 3.7%, copper 1.4%, and other commodities rallied. Top mining companies’ shares soared while gold fell. The truce brought relief to markets hurt by tariffs, with China reducing tariffs on US goods to 10%.

The announcement came after talks in Geneva involving US Treasury Secretary and Chinese delegation. Commodities have been volatile since Trump announced tariffs in April. Oil prices are down 13% due to OPEC supplies. Companies like Glencore and Rio Tinto saw shares rise, with copper prices rebounding and soybean futures surging.

Soybean futures hit a high after the announcement, aiding in re-opening stalled crop flows between China and the US. Gold prices fell as tensions eased between India and Pakistan, avoiding a full-blown war. The reduced tariffs are seen as reducing fears of economic fallout, but uncertainty remains about the future of US-China trade relations.

Read more: Oil Leads Commodity Rally After US-China Truce as Gold Retreats