Oil prices rise more than 1% in afternoon trade despite OPEC cutting its oil-demand forecast for this year, citing the impact of U.S. tariffs.
Brent and WTI are up 1.4% to $65.67 and $62.38 a barrel, respectively, supported by President Trump’s decision to give many tech products a reprieve from reciprocal tariffs and China reporting a rebound in crude imports.
Still, mounting fears of a tariff-induced recession continue to weigh on the global oil-consumption outlook, capping further price gains. OPEC cut its global economic growth expectations and said it now forecasts oil demand to grow by 1.3 million barrels a day this year from 1.45 million barrels a day previously.