UPDATE 1-Oil drops after U.S. President Trump threatens new China trade tariffs
April 6 (Reuters) – Oil prices fell on Friday after U.S. President Donald Trump’s threat of new tariffs on China reignited fears of a trade war between the world’s two biggest economies.
President Trump said on Thursday he had ordered U.S. trade officials to consider tariffs on $100 billion more of imports from China, escalating tensions with Beijing. crude LCOc1 for June delivery was down 32 cents, or 0.5 percent, at $68.01 per barrel at 0410 GMT.
U.S. West Texas Intermediate crude for May delivery CLc1 was down 35 cents, or 0.6 percent, at 63.19 a barrel.
Shanghai September crude futures ISCc1 were untraded due to public holidays in China, after falling 0.8 percent on Wednesday. Shanghai trading will resume on Monday.
While oil market watchers were wary of the brewing trade war between the United States and China, they did not expect to see steep falls amid signs of tightening supplies.