Oil prices rose about 1.5% to settle at a two-week high on Monday, after the U.S. and China agreed to temporarily slash tariffs, raising hopes of an end to the trade war between the world's two biggest economies.

Oil prices have risen significantly due to a breakthrough in US-China trade negotiations, including tariff reductions, which has eased concerns about trade tensions and boosted expectations for global economic growth.

Oil jumped as much as 4% before paring gains Monday after a US-China trade truce sent the overall stock market and commodities higher. West Texas Intermediate ( CL=F) futures rallied over 2% to hover near $62.50 per barrel. Brent crude ( BZ=F ), the international benchmark, also rebounded to trade above $65.