Oil extended gains on Tuesday, lifted by hopes of improved economic activity after the U.S.-EU trade deal, a potential U.S.-China tariff truce and President Donald Trump's shorter deadline for Russia to end the Ukraine war.

The Stockholm meeting — following similar talks in Geneva and London in recent months — is set to extend a 90-day pause on those tariffs. During the pause, U.S. tariffs were lowered to 30% on Chinese goods, and China set a 10% tariff on U.S. products.

U.S. and Chinese officials meet in Stockholm to extend a tariff pause and ease trade tensions. Talks could lead to a Trump-Xi summit later this year.

Former Under Secretary of Commerce for International Trade Stefan Selig said the ongoing U.S.-China trade discussions will likely result in continued dialogue rather than a comprehensive agreement.

Cabrera, MCC Global Enterprises CEO, join 'Power Lunch' to discuss the United States' trade policies with the rest of the world.

U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng were meeting at the offices of Sweden’s prime minister for two days of talks, which Bessent has said will likely lead to an extension of current tariff levels.

President Trump and European Commission President Ursula von der Leyen announced Sunday that the US and EU had agreed to the framework of a trade deal that included a baseline tariff rate of 15% on EU goods imported into the US.