Trump Speaks Out on Russia, Oil Prices Immediately Move!
Global oil prices recorded a slight increase on Monday (July 15), after rallying more than 2% last weekend. Investors are currently weighing the impact of potential new US sanctions on Russia, which could disrupt global supply, as well as increased oil production by Saudi Arabia, which has limited price increases.
Brent crude oil rose 21 cents, or 0.3%, to $70.57 per barrel at 06:51 GMT, extending Friday's 2.51% gain. Meanwhile, West Texas Intermediate (WTI) crude oil rose 20 cents to $68.65 per barrel, after previously surging 2.82%.
This increase occurred after US President Donald Trump announced he would send Patriot missile systems to Ukraine and is scheduled to make a key statement regarding Russia today. Additional pressure comes from a bipartisan sanctions bill in the US Congress, which is awaiting Trump's support. The European Union is also close to agreeing on an 18th package of sanctions against Russia, including a reduction in the price cap on Russian oil.
However, the market is also clouded by rising Saudi Arabian production, which the IEA said exceeded its June OPEC+ quota by 430,000 barrels per day, and China's oil imports, which rose 7.4% year-on-year. While summer demand is expected to be strong, analysts at ANZ and J.P. Morgan warned that high oil inventories in Asia could put downward pressure on prices in the coming weeks.
Source: (ayu-newsmaker)
