Oil Prices Extend Recovery After Trump's Comments
Oil prices rose on Friday to extend sharp gains from the previous session after
U.S. President Donald Trump hinted he may intervene in the price war between Saudi Arabia and Russia at an “appropriate time”.
Benchmark Brent crude soared 7.7 percent to 30.66 a barrel after rising 14 percent on Thursday. West Texas Intermediate crude oil futures were up 8.7 percent at $28.16 a barrel, after having climbed nearly 24 percent in the previous session.
At a White House news conference, Trump on Thursday indicated he could intervene in the price war between Saudi Arabia and Russia at the appropriate time, and that he was searching for “medium ground” to break the deadlock as low prices were hurting the domestic oil industry.
A Texas Railroad Commissioner proposed joining the two countries in cutting 10 percent of crude output to stabilize the market.
According to the Wall Street Journal, the Trump administration is mulling more direct intervention to bring Moscow and Riyadh back to the table, under pressure from American oil companies to do so amid the lowest U.S. oil prices in 18 years.