Oil Prices Jump more than 4% in Stunning Swing

Oil prices rose more than 4% in a stunning reversal on Wednesday after President Trump announced a temporary suspension of tariffs on countries that did not retaliate, while increasing tariffs on Chinese imports.

West Texas Intermediate (WTI) crude rose more than 4% to settle at $62.35 a barrel, recovering losses of more than 5% in early trading. 

Brent crude, the international benchmark, settled above $65 after falling below $60 during the session.

Latest Oil Prices:

WTI Crude $62.74 +0.39 +0.63%

Brent Crude $65.73 +0.25 +0.38%

Murban Crude $66.97 +0.36 +0.54%

Louisiana Light $62.34 -1.06 -1.67%

Bonny Light $78.62 -2.30 -2.84%

Mars US $72.90 -1.12 -1.51%

Gasoline $2.045 +0.007 +0.34%

Natural Gas $3.732 -0.084 -2.20%

This reversal came after Trump announced a 90-day temporary suspension of his plans for reciprocal tariffs, maintaining the 10% tariffs that went into effect last weekend on most countries worldwide.

Trump tweeted: “At my strong suggestion, these countries have not retaliated in any way against the United States, and I have authorized a 90-day temporary suspension and substantially reduced reciprocal tariffs during this period, at 10%, effective immediately.”

Trump also added that he would unilaterally raise tariffs on China to 125% due to the “disrespect shown by China.”

Earlier today, China—the largest importer of crude oil—announced it would impose an 84% tariff on U.S.-made goods, sparking fears of a recession and slowing demand.

On Wednesday afternoon, with the S&P 500 and the Nasdaq Composite up 10% following the tariff pause, Goldman Sachs analysts wrote: “We are returning to our previous non-recession baseline forecast of 0.5% GDP growth and a 45% probability of a recession.”

Until the late afternoon rally, crude oil was hovering at four-year lows, trading below $60.

Oil remains down about 13% since Trump unveiled sweeping retaliatory tariffs on April 2.

Crude oil prices also came under pressure after the Organization of the Petroleum Exporting Countries (OPEC) announced last week that it would increase its production in May, raising concerns about a supply glut.