SINGAPORE: Crude prices slipped on Monday after the United States refrained from imposing additional measures to curb Russian oil exports, following a meeting between U.S. President Donald Trump and Russian President Vladimir Putin last Friday.
Brent crude futures fell 26 cents, or 0.39%, to $65.59 a barrel by 0028 GMT, while U.S. West Texas Intermediate (WTI) crude dropped 18 cents, or 0.29%, to $62.62.
Trump’s talks with Putin in Alaska signaled closer alignment with Moscow on pursuing a peace deal rather than prioritizing a ceasefire in Ukraine. On Monday, Trump is scheduled to meet Ukrainian President Volodymyr Zelenskiy and European leaders in an effort to quickly end what has become Europe’s deadliest conflict in eight decades.
The U.S. president also indicated that he was not immediately considering retaliatory tariffs on countries such as China, which continue to purchase Russian oil, though he suggested such measures could be reviewed “in two or three weeks.” The remarks helped ease fears of a sudden disruption in Russian supply.
China, the world’s largest crude importer, remains Russia’s biggest oil buyer, followed by India.
“The focus has been on secondary tariffs targeting major importers of Russian energy, but President Trump signaled a pause in taking further steps, particularly toward China,” RBC Capital analyst Helima Croft said in a note. “For now, the status quo holds,” she added, noting that Moscow shows no sign of backing down on territorial claims, while Ukraine and European leaders are resisting land-for-peace proposals.
Meanwhile, markets are awaiting comments from Federal Reserve Chair Jerome Powell at this week’s Jackson Hole symposium for signals on the timing of interest rate cuts that could fuel fresh stock market highs.
“Powell is likely to stay cautious and data-dependent, especially with another payrolls and inflation report due before the Fed’s Sept. 17 meeting,” IG market analyst Tony Sycamore wrote.
Source: Reuters
