Oil Rises After US-China Framework in Kuala Lumpur

Top U.S. and Chinese negotiators said they reached a “very substantial framework” in Kuala Lumpur that could avert planned 100% tariffs and delay China’s rare-earth export curbs, setting the stage for President Trump and Xi Jinping to finalize a broader deal. The prospect of a trade thaw, together with recent U.S. sanctions on Russian oil firms, sparked risk-on market moves and pushed oil higher, with Brent trading above $66 and U.S. crude (WTI) near $62. Market commentators said the deal prospect improves demand sentiment and helps offset earlier oversupply worries, but lingering excess supply risks — including Russia’s use of shadow fleets to bypass restrictions — could cap further gains. The framework remains preliminary, and investors will be watching upcoming leader meetings and the real-world impact of sanctions before concluding that a sustained recovery is under way.