Oil prices fell for the second consecutive day on Wednesday as investors awaited the outcome of peace talks between Russia and Ukraine, amid broader concerns over supply surpluses and rising inventories.
اضافة اعلان
Brent crude futures dropped 13 cents, or 0.21%, to $62.32 per barrel by 02:21 GMT, after falling 1.1% in the previous session. West Texas Intermediate (WTI) lost 12 cents, or 0.20%, to $58.52 per barrel following a 1.2% decline on Tuesday.
The Russian government stated Wednesday that Russia and the United States had not reached a compromise on a potential peace agreement to end the war in Ukraine, after a five-hour meeting at the Kremlin between President Vladimir Putin and US envoys of President Donald Trump.
Oil markets are closely monitoring the talks to determine whether any agreement would lead to the lifting of sanctions on Russian companies, including oil giants Rosneft and Lukoil.
Tony Sycamore, a market analyst at IG, said in a note that despite concerns that the talks might end without a decisive outcome, “oversupply fears and weak demand continue to pressure crude oil prices, which need to stay above mid-$50 support levels to avoid further declines.”
The Ukraine conflict, ongoing since Russia’s 2022 invasion, has seen Ukraine regularly target Russian oil infrastructure with drone strikes. Recent attacks on export sites along Russia’s Black Sea coast have highlighted the geopolitical risks stemming from the war.
According to market sources citing data from the US Energy Information Administration (EIA), US crude and gasoline inventories rose last week. Crude stocks increased by 2.48 million barrels in the week ending November 28, gasoline stocks rose by 3.14 million barrels, and distillate inventories grew by 2.88 million barrels.
Reuters
