Oil eases as traders monitor Russian diesel deal, Saudi attacks
USO•Oil prices fell more than 1.5% as traders weighed possible additional Russian diesel supplies against attacks on Saudi Arabia and shipping risks. Brent was down 1.69% at $104.85 a barrel, while U.S. West Texas Intermediate fell 1.27% to $92.55.
1. Oil prices retreat
Brent crude futures fell $1.80 to $104.85 a barrel by 1253 GMT, while U.S. West Texas Intermediate crude futures dropped $1.19 to $92.55. Both benchmarks had risen nearly $2 in the previous session, with Brent settling at its highest since September 15.
2. Supply and security risks
President Donald Trump said Russia had agreed to supply diesel to global markets, and his administration temporarily lifted U.S. sanctions on Russian fuel. Analyst Tamas Varga said Russia’s promise to supply 3 million to 3.5 million tons per month by year-end was unlikely to be fulfilled given the state of its refining sector. Attacks on Saudi Arabia and reports of tanker attacks near the Strait of Hormuz kept supply concerns in focus. OPEC raised its forecast for global oil demand growth in 2027.
