Oil edges higher after EU new sanctions on Russia
Brent crude futures climbed 50 cents, or 0.72%, to $70.02 a barrel as of 0912 GMT, U.S. West Texas Intermediate crude futures gained 61 cents, or 0.9%, to $68.15 a barrel.
At those levels, the contracts were headed for a marginal weekly loss of 0.5% and 0.4% respectively.
Investors mulled the potential impact on global oil balances of the EU's agreement on an 18th sanctions package against Russia over its war in Ukraine, which includes measures aimed at dealing further blows to Russia's oil and energy industries.
Its latest sanctions package will lower the G7's price cap for buying Russian crude oil to $47.6 per barrel, diplomats told Reuters.
"Neither the price cap for Russian oil nor adding shadow fleet tankers on a sanction list managed to disrupt Russian oil exports so far, so the market remains sceptical of the impact of the latest sanctions," UBS analyst Giovanni Staunovo said.
Investors are awaiting news from the U.S. on possible further sanctions, after President Donald Trump earlier this week threatened sanctions on buyers of Russian exports unless Moscow agrees a peace deal in 50 days.
"Ultimately, it is now a matter of waiting for possible major changes in U.S. sanctions and tariff policy," Commerzbank analysts said in a note.
Four days of drone attacks on oilfields in Iraqi Kurdistan that shut down half the region's output have supported prices, pushing both contracts up by $1 on Thursday.
The attacks "are bound to take their toll as the region's output has been slashed from 280,000 bpd to around 130,000 barrels per day," said PVM analyst Tamas Varga.
Officials pointed to Iran-backed militias as the likely source of attacks this week on the region's oilfields, although no group has claimed responsibility.
Despite the attack, Iraq's federal government said on Thursday that Iraqi Kurdistan will resume oil exports through a pipeline to Turkey after a two-year halt.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Scottish Sun
18 minutes ago
- Scottish Sun
Donald Trump insists Gaza is not just ‘US problem' as Sir Keir Starmer prepares to push him to end war
Click to share on X/Twitter (Opens in new window) Click to share on Facebook (Opens in new window) DONALD Trump yesterday insisted Gaza is not just a 'US problem' — as Sir Keir Starmer prepared to push him to help end the 'unspeakable suffering'. The US President will host the PM at his Turnberry golf course in Scotland this morning for wide-ranging talks including on the Israel-Hamas war. Sign up for Scottish Sun newsletter Sign up 2 Donald Trump insisted Gaza is not just a 'US problem' Credit: Getty 2 Sir Keir Starmer prepared to push him to help end the 'unspeakable suffering' Credit: Getty Mr Trump said Israel would have to 'make a decision' on its next steps amid kids starving as the crisis worsens. He complained that 'nobody had even acknowledged' his recent aid funding to Gaza. And he added: 'The US is going to do more aid for Gaza, but we'd like to have other countries participate. 'It's not a US problem — it's an international problem.' No10 said Sir Keir would press the President on 'what more can be done to secure a ceasefire urgently, bring an end to the unspeakable suffering in Gaza and free the hostages who have been held so cruelly for so long.' Jordan and the UAE air dropped aid into Gaza yesterday after Israel paused its operations. Meanwhile Mr Trump hailed a trade deal in which the EU will buy £550billion of US energy and pledge a further £450billion of investment. The US will impose 15 per cent tariffs on the EU — lower than the 30 per cent he threatened, but still more than the ten per cent Britain pays. Mr Trump said it was the 'biggest deal ever made' and will be 'great for cars' and agriculture. EU chief Ursula von der Leyen said it was a 'good deal' after calling the US President 'a tough negotiator'. US and EU agree landmark trade deal after months of talks, Donald Trump says Earlier Mr Trump — who found time for a round at Turnberry, escorted by an entourage of staff and Secret Service agents in golf buggies — blasted Europe for erecting so many wind farms. He said: 'We will not allow a windmill to be built in the United States. They're killing the beauty of our scenery.' After their talks, Sir Keir and Mr Trump will attend a private dinner of politicians and businessmen in Aberdeen.
Reuters
18 minutes ago
- Reuters
Yemen's Houthis threaten to target ships linked to firms dealing with Israeli ports
July 27 (Reuters) - Yemen's Houthis said on Sunday they would target any ships belonging to companies that do business with Israeli ports, regardless of their nationalities, as part of what they called the fourth phase of their military operations against Israel. In a televised statement, the Houthis' military spokesperson warned that ships would be attacked if companies ignored their warnings, regardless of their destination. "The Yemeni Armed Forces call on all countries, if they want to avoid this escalation, to pressure the enemy to halt its aggression and lift the blockade on the Gaza Strip," he added. Since Israel's war in Gaza began in October 2023, the Iran-aligned Houthis have been attacking ships they deem as bound or linked to Israel in what they say are acts of solidarity with Palestinians. In May, the U.S. announced a surprise deal with the Houthis where it agreed to stop a bombing campaign against them in return for an end to shipping attacks, though the Houthis said the deal did not include sparing Israel.
BBC News
18 minutes ago
- BBC News
US-EU tariff deal: Both sides can claim victory, but devil may be in detail
After weeks of tense negotiations between their top trade officials, the EU and US have finally struck a deal - and it comes on the eve of America's latest round of tariff talks with it took leaders from Washington and Brussels to sit down face to face to reach Sunday's something we've also seen with the other deals that President Donald Trump has struck - his personal involvement is what has pushed them over the line – even when the prospects of a breakthrough did not seem matters to both sides because so many businesses and jobs depend on what the EU calls "the world's largest bilateral trade and investment relationship".Both President Trump and European Commission President Ursula von der Leyen can paint this as something of a the EU, the tariffs could have been worse at 15%, rather than the 30% that had been threatened – although it's not as good as the UK's 10% rate. For the US that equates to the expectation of roughly $90bn (£67bn) of tariff revenue for government coffers – based on last year's trade figures - plus there's $600bn of investment now due to come into the country.A lot of other big numbers have been thrown around in terms of how much the EU will invest in the US, but the devil will be in the like exactly when those investments will be made, and in what areas, are for now, deal is being sold as a landmark moment in relations between the US and the has not been easy getting to this and the 27-nation bloc have both played hardball and neither was ready to give in easily, which is why these talks went down to the neither side wanted these negotiations to drag on beyond the 1 August years, the US president has railed against what he regards as Europe's unfair trade first part of that is the deficit. Last year that meant the US bought $236bn of goods more from the EU than it sold to the takes the somewhat simplified view that this is American wealth needlessly leaving the country. The reality is that international trade is a more complex other complaint has been that the EU's strict regulations on everything from cars to chickens make it harder for American companies to sell their products in the EU than the other way we get more details of this deal, we may know how much has been done to address European Commission President Ursula von der Leyen seemed to acknowledge the need to tackle the announcing the agreement, she said: "We have to rebalance it. We have an excellent trade relation."It's a huge volume of trade that we have together. So we will make it more sustainable."This deal shows how serious President Trump is about renegotiating how the US, the world's biggest economy, does business with everyone the EU consists of 27 very different countries, it has seemed one of the trickier trade agreements to pull comes days after the US struck another major agreement with Japan - there have also been deals with the UK, Vietnam and other big ones still on the table are with the three biggest US trade partners - Mexico, Canada and with the US president in a deal-making mood, there could be more positive news for the global economy over the next 48 the third time in as many months, the US and China are holding their next trade talks in Stockholm, Sweden, on Monday and TuesdayThere is some expectation that higher tariffs could be suspended for another 90 days.A few days ago Trump said the US was "getting along with China very well" and implied that the major sticking point of rare earth metals exports had been the broad outlines of an EU agreement in the hold, Washington's trade negotiators have the wind in their sails going into talks with China has so far taken a more uncompromising approach than other US trade partners. And if talks between the world's two biggest economies falter, global trade could still be heading for choppy waters in the months ahead.
