November WTI crude oil is up 1.63%, and November RBOB gasoline is up 1.60%. Prices rose due to easing trade tensions between the US and China. President Trump’s consideration of arming Ukraine also affected prices. Crude and gasoline plunged last Friday due to trade tensions with China.

Tensions in the Middle East have cooled, reducing the risk premium in crude prices. OPEC+ agreed to increase crude production by 137,000 bpd, lower than market expectations. Reduced crude production in Russia due to Ukrainian attacks on refineries has supported oil prices.

An increase in crude oil stored on tankers is bearish for oil prices. Iraq’s agreement to resume oil exports from the Kurdish region may boost global oil supplies. Concerns over the war in Ukraine potentially leading to sanctions on Russian energy exports have supported crude prices.

US crude oil inventories are below seasonal averages, and production is near record highs. The number of active US oil rigs has fallen sharply in the past 2.5 years. The outlook for higher crude production in Iraq is bearish for oil prices.

Disclaimer: The article was for informational purposes and the author did not have any positions in the mentioned securities.

Read more at Yahoo Finance: Crude Prices Recover as US-China Trade Tensions Ease