28.08.202519:32:02UTC+00WTI Crude Gains as Peace Deal Prospects Fade

On Thursday, WTI crude futures experienced a 0.7% increase, closing at $64.6 per barrel. This rise came as initial losses were offset by diminished hopes for a peace agreement between Russia and Ukraine, which in turn, lowered expectations of increased Russian supply entering global markets. Potential relief on Moscow's crude exports seemed increasingly unlikely, while traders were on edge for comments from President Trump that could suggest more stringent sanctions. Concurrently, Ukraine has escalated its drone assaults on Russian oil facilities, disrupting their exports and adding to the ongoing uncertainty. The U.S. has also urged India to reduce its purchases from Russia following Washington's move to double the import duty to 50%. Nonetheless, the overall prospects for crude oil remain cautious, with anticipated production increases from OPEC+ and other producers likely to tip the market into a surplus by the end of the year. Furthermore, light trading activity ahead of the upcoming U.S. Labor Day holiday contributed to the day's erratic price movements.