Oil Maintains Gains Amid Expectations of a Ceasefire Between Russia and Ukraine

SadaNews - Oil maintained its gains after President Donald Trump urged Russia to quickly reach a ceasefire with Ukraine or face potential economic sanctions, raising concerns about a disruption in crude supplies from one of the "OPEC+" producers.

Brent crude stabilized near $70 a barrel after closing up 2.3% in the previous session, marking the largest increase in two weeks. West Texas Intermediate crude traded at around $67.

Trump stated he would set a new deadline of 10 to 12 days for Moscow to end hostilities, warning of "secondary sanctions" if an agreement is not reached.

Trump's move follows the latest round of sanctions imposed by the European Union on Russia, which included sanctions on the Indian company "Nayara Energy".

Anticipation for Trade Agreements

Global markets are also focused on the U.S. deadline for trade agreements by August 1, alongside the upcoming "OPEC+" meeting that will decide the supply policy for September.

Oil is on track to record monthly gains amid signs of tight inventories in some areas and strong demand during the northern hemisphere summer, which is the peak consumption season. However, there are concerns about a potential oversupply by the end of the year as supplies increase.

Regarding Russia, Trump expressed frustration on Monday over President Vladimir Putin's refusal to accept earlier calls for a ceasefire. The American president had initially given Moscow a 50-day deadline to reach a ceasefire, which was set to expire on September 2.