Oil prices give up losses to settle higher after trump's tariff pause
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President Donald Trump's decision Wednesday to implement a 90-day pause on so-called reciprocal tariffs on most countries reassures the market that Trump is "not immune to a market
decline," said Manish Raj, managing director at Velandera Energy Partners. The recovery in oil prices "appears durable" as the president "came across as unwilling to
risk it all on his policies without due consideration of market impacts." "Trump saw his baby project of expanding U.S. oil production disappear right in front of his eyes, and
therefore had a rude wake-up call," said Raj. "The market told him loud and clear that 'drill, baby, drill' does not work at sub-$60 oil price." On Wednesday, U.S.
benchmark West Texas Intermediate crude for May delivery dropped to as low as $56.06 a barrel on the New York Mercantile Exchange, tapping its lowest level since February 2021, according to
Dow Jones Market Data. Prices rebounded to settle $2.77, or nearly 4.7%, higher at $62.35. The Energy Select Sector SPDR Fund was also up 7.5%.