WTI crude oil futures fell to $59.1 per barrel on Tuesday, erasing earlier gains, as markets remained focused on evolving US–China trade relations. US Treasury Secretary Scott Bessent said Monday that plans for President Trump to meet Chinese President Xi Jinping in South Korea later this month remain on track amid renewed trade tensions between the world’s two largest economies. Meanwhile, Trump said he is considering providing Ukraine with long-range Tomahawk missiles, raising the risk of further Russian supply disruptions. However, oil’s upside was capped as cooling tensions in the Middle East reduced risk premiums after Hamas freed Israeli hostages and Israel released Palestinian prisoners. Further pressure came from persistent worries over a supply glut amid rising output from both OPEC+ and non-OPEC+ producers.
