Oil prices pared earlier gains on Friday following U.S. President Donald Trump's tariff increase on $200 billion worth of Chinese goods took effect, escalating the trade dispute between the world's two biggest economies and oil consumers.
Prices had risen more than 1 percent earlier in the day as optimism mounted that the tariffs would be averted after U.S. Trump said he received a "beautiful letter" from Chinese President Xi Jinping.
With no move from the Trump administration to reverse the hikes, U.S. Customs and Border Protection imposed the new 25% duty on affected U.S.-bound cargoes leaving China after 12:01 a.m. EDT (04:01 GMT) on Friday.
Brent crude futures were at $70.41 a barrel at 05:23 GMT, up 2 cents from their last close, after rising to as high as $71.23 a barrel.
U.S. West Texas Intermediate (WTI) crude futures were at $61.78 per barrel, up 8 cents, after rising to as high as $62.49 a barrel earlier in the day.
Source : Reuters