Oil prices surged on renewed trade optimism
Market participants interpreted the deal as a positive signal for broader trade negotiations, particularly ahead of high-stakes discussions between US and Chinese officials scheduled to begin this weekend.
Crude oil prices jumped sharply on Thursday, 8 May 2025, following news that the United States and the United Kingdom had reached a new trade framework, fuelling optimism over the potential for further international agreements.
Brent crude futures settled $1.72 higher, or 2.8%, at $62.84 per barrel.
West Texas Intermediate (WTI) gained $1.84, or 3.2%, to close at $59.91 per barrel.
The US administration announced that under the new arrangement, the UK would expedite the clearance of American goods through its customs procedures and lower trade barriers on a wide range of exports—including agricultural products, chemicals, energy commodities and industrial goods such as ethanol.
Market participants interpreted the deal as a positive signal for broader trade negotiations, particularly ahead of high-stakes discussions between US and Chinese officials scheduled to begin this weekend. Investors are closely watching whether Washington’s 145% tariff on Chinese imports—levied on the world’s largest crude buyer—might be reduced if progress is made.