Crude prices spiked more than two percent Thursday after US President Donald Trump said he would impose heavy sanctions on two Russian oil companies.

Meanwhile equity markets rallied after Beijing said it would hold tariff talks with Washington from Friday, tempering trade fears over reports of potential US curbs on software exports to China.

Both main oil contracts jumped more than three percent -- having climbed more than two percent Wednesday -- on news of the measures after Trump said Ukraine peace efforts with Russian President Vladimir Putin "don't go anywhere".

The move was joined by another round of punishments by the European Union as part of attempts to pressure Moscow to end its three-and-a-half-year invasion of Ukraine.

Trump decided on the sanctions after plans for a fresh

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