Oil prices fell on Thursday as investors awaited trade talks between the United States and China, hoping for signs of easing tensions that have cast a shadow over global economic growth forecasts.

Brent crude futures dropped by three cents, or 0.05%, to $64.89 per barrel as of 00:32 GMT, while U.S. West Texas Intermediate (WTI) crude futures fell by 11 cents, or 0.18%, to $60.37 per barrel.

U.S. President Donald Trump and Chinese President Xi Jinping are scheduled to meet in Busan, South Korea, on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit. Markets are hopeful that the meeting will lead to an agreement that eases trade tensions, which have negatively impacted global growth expectations and fuel demand.

On Wednesday, Trump said he expects to reduce U.S. tariffs on Chinese goods in exchange for Beijing’s commitment to curb the flow of precursor chemicals used in the production of fentanyl.

This development came as economic forecasts were boosted by the U.S. Federal Reserve’s decision to cut interest rates on Wednesday, in line with market expectations. However, the Fed indicated this might be the final rate cut of the year due to the ongoing government shutdown’s impact on the availability of economic data.

In the previous session, Brent and WTI crude had posted gains of 52 cents and 33 cents, respectively, supported by optimism over trade talks and a larger-than-expected drop in U.S. crude and fuel inventories.

The U.S. Energy Information Administration reported that crude stockpiles fell by 6.86 million barrels, reaching 416 million barrels for the week ending October 24.