Investing.com - Oil prices gained on Friday after trading lower overnight amid concerns of intensifying trade war between China and the U.S.
Reports on Friday said U.S. President Donald Trump wants to move ahead with a plan to impose the tariffs as soon as a public-comment period concludes next week. The report came after the U.S. and China imposed tariffs on $16 billion worth of goods on each other. The two countries also slapped each other with a $34 billion worth of imports in July.
Brent Oil Futures for November delivery gained 0.04% to $78.05 at 12:15AM ET (04:15 GMT), on track to record a 4% rise in August while Crude Oil WTI Futures for October delivery also rose 0.09% to $70.31 and is set to record a 2% gain for the month.
"You have to wonder if it (crude) can sustain these prices in a world where President Trump doubles down on his battle with the EU and China at the same time," said Greg McKenna, chief market strategist at futures brokerage AxiTrader.
"Assuming the trade war is about to escalate again, the questions traders will be wondering about is global growth (and) demand for crude," McKenna said.
The looming U.S. sanctions against Iran's oil exports and the expected disruptions to supply from Venezuela also remained in focus.
Traders expect a drop of crude supply in November when the U.S. sanctions against Iran will take effect.
Iran produced around 3.65 million barrels per day of crude in July, making it the third biggest producer within the OPEC, behind Saudi Arabia and Iraq.
Meanwhile, China's Shanghai crude oil futures, launched in March, will see delivery of their first contract on Friday.