Oil prices dropped by about 1% on Thursday due to U.S. President Donald Trump's escalating trade war with China, although he announced a 90-day halt on tariffs for other nations. Brent futures decreased by 1.1% to $64.73 a barrel, while U.S. West Texas Intermediate crude futures declined by 0.8% to $61.86. The previous day, the benchmarks had surged by 4% after plummeting by as much as 7%. Trump increased the tariff rate for China to 125%, up from the previously set 104% tariff. China responded by placing an 84% tariff on U.S. goods starting Thursday. Additionally, U.S. crude inventories unexpectedly rose by 2.6 million barrels in the week ending April 4, nearly double the projected 1.4-million-barrel increase. The Keystone oil pipeline from Canada to the U.S. remained halted following an oil spill in North Dakota. Its operator, South Bow, was assessing plans for resuming operations.