Crude oil prices held steady on Monday after dropping more than 4% in the previous week, as investors awaited high-level talks between the United States and Russia over the war in Ukraine.
On Monday morning, Brent crude futures were slightly higher by $0.05, trading at $66.64 per barrel, while U.S. West Texas Intermediate (WTI) slipped by $0.01 to $63.87.
U.S. President Donald Trump announced on Friday that he will meet Russian President Vladimir Putin in Alaska on August 15 to discuss a potential resolution to the Ukraine conflict. The meeting comes amid renewed U.S. pressure on Moscow, with the threat of tougher sanctions if a peace agreement is not reached.
Trump had set a deadline for Russia — which invaded Ukraine in February 2022 — to agree to terms or face secondary sanctions on its oil buyers. Washington is also urging India to scale back purchases of Russian crude.
According to UBS analyst Giovanni Staunovo, recent price declines suggest traders are lowering expectations for major supply disruptions, particularly after the U.S. imposed extra tariffs solely on India rather than all Russian oil importers. UBS has cut its year-end Brent crude forecast to $62 per barrel from $68, citing higher supply from South America and sustained output from sanctioned producers. The bank also warned that Indian demand has been softer than anticipated, as reported by Reuters.
Meanwhile, Exxon Mobil and its partners in Guyana have begun production at a fourth floating platform ahead of schedule, boosting global supply prospects. Energy Aspects estimates that Indian refiners have already purchased 5 million barrels of WTI for August shipment.
