Oil falls 1 per cent, pressured by trade war and swelling output

Oil prices fell by 1 per cent on Tuesday, weighed down by the protracted US-China trade dispute that has dragged on the global economy as well as rising OPEC and Russian oil output.

US crude was down 65 cents, or 1.19 per cent, at $54.45 a barrel by 0857 GMT, while Brent was down 47 cents at $58.19 a barrel.

The US this week imposed 15 per cent tariffs on a variety of Chinese goods and China began to impose new duties on a $75-billion target list, deepening the trade war that has rumbled on for more than a year.

US President Donald Trump said both sides would still meet for talks later this month.