Oil prices rose slightly on Monday in global markets as U.S. President Donald Trump postponed a planned tariff hike on European Union imports, calming trade concerns and supporting energy market sentiment. The uptick was further driven by geopolitical risks stemming from the ongoing Russia-Ukraine conflict.
Brent crude, the international oil benchmark, inched up by 0.01% to $64.46 per barrel, while U.S. West Texas Intermediate (WTI) crude gained 0.2% to settle at $61.69 per barrel, up from $61.56 in the previous session.
The White House confirmed that Trump had extended the deadline for a proposed 50% tariff on EU imports to July 9, following a phone conversation with European Commission President Ursula von der Leyen. The EU signaled readiness to continue negotiations, with von der Leyen saying the bloc needed time “until July 9” to finalize a possible trade agreement.
The postponement, which had previously been scheduled for implementation on June 1, marks a temporary easing of U.S.-EU trade tensions. However, core issues—such as subsidies and regulatory alignment—remain unresolved.
Market analysts noted that the delay offers a short-term boost to global economic confidence and energy demand outlooks, adding modest support to oil prices.
Meanwhile, the Russia-Ukraine war continues to inject volatility into the market. Ukrainian officials reported at least 12 fatalities and over 60 injuries following a second night of intense Russian drone strikes. Ukraine’s Air Force claimed it intercepted 266 of 298 drones and 47 missiles, while Russia stated the strikes targeted defense and communication infrastructure.
The renewed violence has heightened supply concerns, contributing to upward pressure on oil prices due to elevated geopolitical risk premiums.
Despite the gains, some investors remain cautious about a potential oversupply. The OPEC+ coalition—comprising OPEC members and allied producers—is scheduled to meet on June 1, where a production increase may be on the agenda.
