Ammon News - Oil prices eased on Tuesday from a two-week high, weighed down by concerns about rising supplies, despite earlier optimism over the pause in the U.S.-China trade war after both countries temporarily cut tariffs.

Brent crude futures dropped 22 cents, or 0.3%, to $64.74 per barrel by 0248 GMT. U.S. West Texas Intermediate (WTI) crude fell 18 cents, or 0.3%, to $61.77.

Both benchmarks closed about 1.5% higher on Monday at their steepest settlements since April 28. The gains come during a turbulent time for global oil markets.

The U.S. and China agreed to slash steep tariffs for at least 90 days, sending Wall Street stocks, the U.S. dollar and crude prices sharply higher on Monday.

Markets were also eyeing rising supplies as a key driver for oil price weakness.

The Organization of the Petroleum Exporting Countries (OPEC) has boosted oil output by more than previously expected since April, with May output likely up by 411,000 barrels per day.

Meanwhile, on the crude oil inventory front, analyst views were mixed.
A Reuters poll showed U.S. crude oil stocks likely fell last week , but Macquarie energy strategist Walt Chancellor is expecting U.S. crude inventories to rise by 7.6 million barrels. Reuters