Oil Slides on Prospect of Easing Geopolitical Risk, More Supply

Prices also decline as Trump reiterates China tarriff threat
WTI crude futures drop below $58 after losing 1.1% on Monday

OPEC Needs to Cut More to Protect Pricing, Says Sanford C. Bernstein’s Beveridge

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By Alex Nussbaum and Alex Longley

July 15, 2019 at 10:27 PM UTC

Updated on

July 16, 2019 at 8:49 PM UTC

This article is for subscribers only.

Oil slid for a second day as the U.S. raised hopes of easing tensions with OPEC member Iran, while President Donald Trump’s threat of new tariffs on China rekindled fears about demand.

Futures declined 3.3% in New York on Tuesday, adding to Monday’s 1.1% drop. U.S. Secretary of State Mike Pompeo said Iran, which has been hit by American sanctions over its weapons program, had signaled an openness to talks. The Islamic Republic’s foreign minister made similar comments, offering the first hint of a diplomatic solution since the Trump announced plans in May 2019 to squeeze Iranian oil exports.