Oil Extends Rally as Lower Russia Flows Outweigh Tariff Concerns
Oil extended the biggest gain in almost four weeks as traders closely follow signs that US sanctions are impacting Russian crude supplies.
Brent climbed above $76 a barrel, after closing 1.6% higher on Monday. Russian output last month slipped further below the nation’s OPEC+ quota, people familiar with the data said. Chinese refiners are also being offered Russian crude at bigger discounts as the sanctions take hold.
That has overshadowed concerns that President Donald Trump’s expanding tariffs could hurt major economies and global consumption of petroleum products.
President Trump has also said Israel should call off its ceasefire agreement with Hamas if hostages aren’t returned this weekend, risking another escalation of hostilities. Both have accused each other of violating the terms of the deal.
The US president most recently ordered a 25% tariff on all US aluminum and steel imports, including from Canada and Mexico, the country’s top two foreign suppliers. The levies take effect on March 12, according to a pair of proclamations issued by the White House late Monday.
Brent for April settlement rose 1% to $76.88 a barrel at 10:17 a.m. in London. WTI for March delivery was 1% higher at $73.26 a barrel.
Source: Bloomberg
