NYMEX crude oil price bobbles over tariff talks
The light, sweet crude oil price for May increased on the New York market on the 5th April 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 Trump, and prices moved in the opposite direction. Oil prices fell slightly on the 6th April following a statement made by the president in which he asked US trade officials to consider an additional US$100 billion bump in tariffs on China imports, once again fuelling 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 Company.
Energy prices
The May light, sweet crude contract on the NYMEX rose 17¢ on the 5th April to settle at US$63.54/bbl. The June contract added 21¢ to US$63.54/bbl.
The NYMEX natural gas price for May decreased 4¢ to a rounded US$2.68/MMbtu.
The Henry Hub cash gas price on the 5th April held unchanged from the previous day at US$2.77/MMbtu.
Ultralow-sulphur diesel for May edged down less than 1¢ to remain at a rounded US$1.97/gal.
The NYMEX reformulated gasoline blendstock for May settled up less than 1¢ to US$1.98/gal.
Brent crude oil for June added 31¢ to US$68.33/bbl on London’s International Commodity Exchange. The July contract climbed 35¢ to US$67.90/bbl.
The gas oil contract for April was US$608.25/tonne, down 75¢.
Source: Oil & Gas Journal