* China unveils retaliatory tariffs on U.S. goods
* Investors await U.S. policy clues from Fed Chair's speech
By Bozorgmehr Sharafedin
LONDON, Aug 23 (Reuters) - Oil prices fell sharply on Friday after China unveiled retaliatory tariffs against about $75 billion worth of U.S. goods, marking the latest escalation of a protracted trade dispute between the world's two largest economies.
Brent crude futures LCOc1 , the international benchmark for oil prices, fell 88 cents to $59.04 a barrel by 1327 GMT.
U.S. West Texas Intermediate (WTI) crude futures CLc1 slid by $1.33 to $54.02.
"Policymakers and investors remain cognizant of the economic headwinds that are gathering force, given that the U.S.-China trade conflict threatens to drag on for longer," said FXTM market analyst Han Tan.
China's commerce ministry said it would impose additional tariffs of 5% or 10% on a total of 5,078 products originating from the United States, including agricultural products such as soybeans, crude oil and small aircraft. attention was also focused on a speech by U.S. Federal Reserve chief Jerome Powell at a meeting of global central bankers at Jackson Hole, Wyoming, hoping for news on whether it will cut interest rates for a second time this year to boost the U.S. economy. St. Louis Federal Reserve Bank President James Bullard said policymakers will have a "robust debate" about cutting U.S. interest rates by half a percentage point at their next policy meeting in September. concern over the possibility of recession, U.S. manufacturing industries registered their first month of contraction in almost a decade. have blamed the hesitant tone (for oil prices) on an end-of-summer lull. Yet, in truth, the sense of unease stems from ongoing worries about the global economy," said Stephen Brennock of oil broker PVM.
Harry Tchilinguirian, of BNP Paribas (PA:BNPP), said the market had some other bearish data, noting a rise in Saudi Arabian oil exports while Russia's crude output moved above its quota under an OPEC+ agreement. He also pointed to Russian oil major Rosneft ROSN.MM helping to ship Venezuelan oil to China and India.
OPEC, Russia and other producers have, since Jan. 1, implemented a deal to cut output by 1.2 million barrels per day. The alliance, known as OPEC+, renewed the pact in July, extending the curbs to March 2020 to avoid a build-up of inventories that could hit prices.
Iran's foreign minister said talks held on Friday with French President Emmanuel Macron about a landmark 2015 nuclear deal were "productive". has said it will scale back compliance with the pact unless the Europeans find a solution enabling Tehran to sell its oil despite U.S. sanctions.
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