Oil costs drop for fourth consecutive day on Russia-Ukraine peace hopes
Monday seventeenth February, 2025 07:33 AM|
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Oil costs fell for a fourth day on Monday, February 17, 2025, on expectations a Russia-Ukraine peace deal may ease sanctions disrupting provide flows and on issues that international tariff wars may sluggish financial development and weaken vitality demand.
Brent crude futures slid 20 cents, or 0.2%, to $74.59 a barrel by 1:12 am GMT.
Brent has slumped 3.1% up to now 4 classes after U.S. President Donald Trump and his administration officers introduced that they had begun discussions with Russia to finish the conflict in Ukraine.
U.S. West Texas Intermediate crude was at $70.51 a barrel, down 23 cents, or 0.3%.
WTI is down 3.8% over the previous 4 classes, and earlier on Monday dropped to as little as $70.12, its lowest since December 30, 2024.
U.S. President Donald Trump stated on Sunday he believes he may meet “very soon” with Russian President Vladimir Putin to debate ending the conflict in Ukraine.
His feedback come because the United States and Russia are getting ready for preliminary talks in Saudi Arabia within the coming days.
U.S. Secretary of State Marco Rubio additionally stated on Sunday, February 16, 2025, that Ukraine and Europe could be a part of any “real negotiations” to finish Moscow’s conflict, signalling that U.S. talks with Russia this week had been an opportunity to see how critical Putin is about peace.
“Markets are down on the prospect of a Russia-Ukraine ceasefire and potential sanction relief on Moscow,” stated Hiroyuki Kikukawa, president of NS Trading, a unit of Nissan Securities.
“Concerns over an economic slowdown from tariff wars, driven by Trump’s actions, are also weighing on prices,” he stated, predicting WTI to commerce between $66-$76 for some time as additional declines in oil costs may curb U.S. oil manufacturing.
Sanctions by the U.S. and European Union on Russian oil exports have curbed its shipments and disrupted seaborne oil provide flows.
Lifting the sanctions within the occasion of a peace deal ought to increase international vitality provides.
The danger of a world commerce conflict can be pressuring costs after Trump final week ordered commerce and financial officers to review reciprocal tariffs in opposition to nations that place tariffs on U.S. items and to return their suggestions by April 1, 2025.
U.S. vitality companies final week added oil and pure gasoline rigs for a 3rd week in a row for the primary time since December 2023, vitality companies agency Baker Hughes stated in its intently adopted report on Friday.
The oil and gasoline rig depend, an early indicator of future output, rose by two to 588 within the week to February 14, 2025.