Oil recoups some losses after US-China trade tensions

Oil prices rose on Monday after hitting five-month lows in the previous session, as investors focused on potential talks between the presidents of the United States and China that could ease trade tensions between the world's two largest economies.

Brent crude futures rose 65 cents, or 1%, to $63.38 a barrel by 1313 GMT. U.S. West Texas Intermediate crude was at $59.54 a barrel, up 64 cents, or 1.1%. Both contracts lost around 4% on Friday to settle at their lowest since May.

Market sentiment was also boosted by Palestinian militant group Hamas freeing the last 20 surviving Israeli hostages on Monday under a U.S.-brokered ceasefire deal. That was seen as a big step towards ending two years of war in Gaza as U.S. President Donald Trump proclaimed the "historic dawn of a new Middle East."

"Last week's price meltdown was largely on the back of ceasefire in Gaza and return of U.S.-China trade volatility ahead of the November 10 trade truce deadline," DBS energy analyst Suvro Sarkar said.

The selloff in markets now looked to be capped by Washington and Beijing's willingness to negotiate, he said, adding the near-term outlook hinged on the eventual outcome of the trade talks.