Oil prices are high but could be much worse. Trump has China’s Xi to thank for that
Crude oil costs close to $100 a barrel while Brent crude topped $100 on Thursday. Prices remain high because traders worry hostilities could soon restart and the world is burning through its emergency stockpiles. Meanwhile, the United States and China extended their trade truce until January 10, 2027, following a Washington summit between President Donald Trump and Chinese President Xi Jinping. However, disagreements persist over rare earth supplies, agricultural purchases, aircraft orders, Taiwan, and chips, leaving Asian stocks sliding after the meeting.
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- ✓ Crude oil costs close to $100 a barrel because traders worry hostilities could soon restart and the world is burning through its emergency stockpiles.
- ✓ The United States and China extended their trade truce to January 10, 2027.
What changed
China announced it will halt exports in October, driving Brent crude past $100 on Thursday.
Live updates
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Oil Prices Hover Near $100 as China Halts Exports
Crude oil costs close to $100 a barrel while Brent crude topped $100 on Thursday. Prices remain high because traders worry hostilities could soon restart and the world is burning through its emergency stockpiles. Meanwhile, the United States and China extended their trade truce until January 10, 2027, following a Washington summit between President Donald Trump and Chinese President Xi Jinping. However, disagreements persist over rare earth supplies, agricultural purchases, aircraft orders, Taiwan, and chips, leaving Asian stocks sliding after the meeting.
Why it matters
Global energy markets have experienced persistent turmoil since the Iran war began in late February, driving up oil prices and straining supplies worldwide. China faces its own market pressures as domestic prices soar and supply options narrow. President Trump previously asked President Xi for help lowering domestic gas and diesel prices following their high-stakes summit.
What is confirmed
- Crude oil costs close to $100 a barrel because traders worry hostilities could soon restart and the world is burning through its emergency stockpiles.
- The United States and China extended their trade truce to January 10, 2027.
Still unconfirmed
- China will halt exports in October.
- Disagreements persist between the United States and China over rare earth supplies, agricultural purchases, aircraft orders, Taiwan, and chips.
What to watch next
- Whether China proceeds with halting exports in October
- Any resumption of hostilities in the ongoing Iran war
- Developments regarding the January 10, 2027 trade truce deadline
confidence 90%Sources used for this update (6)
- www.nytimes.com — Oil Is Flowing From the Persian Gulf, but Prices Remain High. Why?
- jen.jiji.com — Alcaraz struggles, but beats Arnaldi and flies into Tokyo quarterfinals
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- www.businessinsider.com — Oil Prices Spike As China Gives the Energy Market Another ...
- oilprice.com — Trump and Xi Buy Time, But Solve Almost Nothing - OilPrice.com
- oilprice.com — Two-Month Trade Truce Extension Leaves Markets Cold After ...
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Trump Asks Xi for Help Lowering Fuel Prices Amid Iran War
President Donald Trump has asked Chinese President Xi Jinping for help lowering domestic gas and diesel prices following a high-stakes summit in Washington. Trump claimed after the meeting that Beijing wants to buy American oil, could purchase more soybeans, will not arm Iran, and might help reopen the Strait of Hormuz. Global energy markets have experienced persistent turmoil since the Iran war began in late February, driving up oil prices and straining supplies worldwide. China faces its own market pressures as domestic prices soar and supply options narrow.
Why it matters
Global energy markets remain high due to disruptions tied to the ongoing Iran war that started in late February. Attacks on a Saudi pipeline previously pushed China's benchmark crude oil futures to record highs. China's strategic stockpiling has served as a buffer against severe price spikes, positioning Beijing as a dominant force in energy markets.
What is confirmed
- Global energy markets have faced persistent turmoil following the outbreak of the Iran war that began in late February.
- Chinese President Xi Jinping concluded a three-day state visit to Washington on Friday.
Still unconfirmed
- President Donald Trump warned that China must stop buying oil and fuel from Iran.
- Trump claimed that China wants US oil, may buy more soybeans, will not arm Iran, and could help reopen the Strait of Hormuz.
- Trump asked Xi for China's help lowering gas and diesel prices.
What to watch next
- Concrete policy actions by Beijing regarding Iranian oil imports
- Any formal agreements to reopen the Strait of Hormuz
- Movements in global oil and domestic U.S. gas prices
confidence 80%Sources used for this update (6)
- www.nbcnews.com — Meet the Press – September 27, 2026
- www.newsweek.com — Trump Asks Xi for China’s Help Lowering Gas, Diesel Prices
- www.usatoday.com — Trump and Xi's 'stalemate' summit was a glitzy gift to China
- jen.jiji.com — Philip Morris Italia: new appointments at the top of the commercial department (2)
- www.wionews.com — After high-stakes Xi meeting, Trump says China wants to buy ...
- www.themirror.com — Trump's 9-word threat to China's Xi exposed by lipreader as ...
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China's Oil Stockpiles Mitigate Global Price Spikes
Global oil prices remain high, but China's strategic stockpiling has prevented a more severe surge. While China's own benchmark crude oil futures have hit record highs following attacks on a Saudi pipeline, the country's reserves have positioned it as a dominant force in energy markets. Some analysts suggest the United States has effectively benefited from Beijing's market position to limit price increases. However, China now faces its own challenges as supply options narrow and domestic prices soar.
Why it matters
Energy security is a critical geopolitical lever for both the U.S. and China. Strategic reserves allow nations to buffer against supply shocks, such as infrastructure attacks in the Middle East. The current situation highlights a paradoxical dependency where U.S. price stability is linked to Chinese market moves.
What is confirmed
- Chinese benchmark crude oil futures have reached record high prices.
- Attacks on a Saudi pipeline contributed to the record high oil prices in China.
Still unconfirmed
- China could dominate the energy landscape due to its oil stockpiles.
What to watch next
- Further developments regarding Saudi pipeline repairs and supply restoration.
- Official statements from the Chinese government on energy supply options.
- U.S. administration commentary on energy dependency and market stability.
confidence 80%Sources used for this update (17)
- Bloomberg.com — China’s Benchmark Crude Oil Futures Have Never Been So Expensive
- The New York Times — China Stockpiled Oil, and Now It Could Dominate the Energy Landscape
- Newser — Oil Moves Put China in the Driver's Seat
- AP News — Oil prices are high but could be much worse. Trump has China’s Xi to thank for that
- Financial Times — Chinese oil prices hit record highs after attacks on Saudi pipeline
- Al Jazeera — China faces oil challenge as prices soar and supply options narrow
- Yahoo Finance — Chinese oil prices hit record high
- Marietta Daily Journal — AP News Summary at 7:34 a.m. EDT
- Marietta Daily Journal — AP News Summary at 7:19 a.m. EDT
- Fortune — 'We’ve been free-riding off Beijing in a weird way' Trump has China to thank for limiting oil prices
- Global Times — When AP says the US should thank China
- www.yahoo.com — Journalists And Advocates Demand David Ellison Denounce Trump's Media Ban
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