Oil climbs 2% as Fed rate cut, Trump-Putin talks loom


Brent crude futures rose US$1.21, or 1.8%, to settle at US$66.84 a barrel, while US West Texas Intermediate (WTI) crude rose US$1.31, or 2.1%, to settle at US$63.96.

NEW YORK: Oil prices climbed about 2% to a one-week high on Thursday after US President Donald Trump warned of "severe consequences" if his talks with Russian President Vladimir Putin on Ukraine fail, and on optimism that a likely US interest rate cut next month could spur oil demand.

Central banks, like the US Federal Reserve, use interest rates to control inflation. Lower rates reduce consumer borrowing costs and can boost economic growth and demand for oil.

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