Oil Prices React to False Tariff Relief News

Oil futures experienced a brief surge on Monday, reversing earlier losses, following incorrect reports that the United States might pause tariffs on all countries except China for 90 days. This news, mistakenly attributed to United States National Economic Council Director Kevin Hassett, was quickly denied by the White House.

Market Response to the News

West Texas Intermediate (WTI) for May's deliveries saw a significant increase of 3.73% at 10:19 am ET, reaching $63.09 per barrel. Similarly, Brent for June's settlements climbed by 2.67% to $66.61 per barrel. However, after the White House's denial, WTI prices dropped by 0.28% at 10:52 am ET to $61.28 per barrel, while Brent remained steady at $64.72 per barrel.

Impact of Misinformation on Oil Markets

This incident highlights how sensitive oil markets are to geopolitical news and the potential for misinformation to cause significant price volatility. Investors and traders are advised to verify news from multiple sources before making decisions.