Oil rebounds 1% after sharp losses on US-China tensions

Oil prices clawed back some gains on Monday after hitting five-month lows in the previous session as investors hoped potential talks between the presidents of the U.S. and China could ease trade tensions between the world’s two largest economies and oil consumers. Brent crude futures rose 87 cents, or 1.39%, to $63.60 a barrel by 0045 GMT after settling down 3.82% on Friday to the lowest since May 7. U.S. West Texas Intermediate crude was at $59.77 a barrel, up 87 cents, or 1.48%, following a 4.24% loss to reach its lowest since May 7. U.S.-China trade tensions flared up last week after China expanded its rare earth export controls and drew a response from U.S. President Donald Trump on Friday to impose 100% tariffs on China’s U.S.-bound exports, along with new export controls on “any and all critical software” by November 1.