WTI extends gains above $58.00 on hopes of a US-China deal

• WTI Oil prices extend their recovery to the mid-range of the $58.00s.
• Hopes of a trade deal between US and China have eased oversupply fears.
• Trump says he reached a deal with India's President Modi to reduce purchases of Russian Oil.

Crude prices are trading higher for the second consecutive day on Wednesday. The US benchmark West Texas Intermediate Oil is nearly $2.5 up from Monday's lows, changing at $58.40 per barrel at the time of writing, supported by hopes that a trade deal between the US and China will improve global demand.

US President Donald Trump soothed markets on Monday, announcing plans to meet Chinese Premier Xi Jinping next week. US Treasury Secretary Scot Bessent and China'0s Vice Premier He Lifeng are expected to meet in Malaysia later this week to prepare the Trump-Xi summit.

Trump also affirmed that he has signed a deal to reduce import taxes on Indian products to 15% to 16% from the current 50% in exchange for reducing their purchases of Russian Oil.
further
Data released on Tuesday by the American Petroleum Institute revealed that Oil stocks declined by 3 million barrels in the week of October 17 for the first time in the last four weeks, which provided additional support for Crude prices.

From a wider perspective, however, Oil prices remain near the multi-year lows in the area of $55.00 hit in April and May, as the soft economic outlook of the world's major economies and expectations of further supply hikes by Oil producers have boosted market concerns of an Oil glut.