Oil took a more than 2 per cent round-trip on Tuesday, tumbling after President Donald Trump fired national security adviser John Bolton.
Brent crude, the global benchmark, erased a 1.9 per cent gain to trade as much as 0.4 per cent lower, before bouncing back to be up 0.5 per cent at $62.90 a barrel.
That has kept oil hovering at its highest level in a month, as renewed hopes of a speedy resolution to the US-China trade war and receding concerns about a recession have tempted investors back to riskier and growth-sensitive assets.
Saudi Arabia’s removal over the weekend of its powerful energy minister who was replaced by King Salman’s son, Prince Abdulaziz bin Salman, also boosted oil prices in recent days.
West Texas Intermediate, the US oil benchmark, was down 0.2 per cent at $57.71 a barrel. It had been up as much as 1.9 per cent before the announcement of Mr Bolton’s departure and dropped to be down as much as 1 per cent.