Oil rises as U.S.-EU deal lifts trade optimism
Brent crude futures inched up 22 cents, or 0.32%, to $68.66 a barrel by 0035 GMT while U.S. West Texas Intermediate crude was at $65.38 a barrel, up 22 cents, or 0.34%.
The U.S.-European Union trade deal and a possible extension in U.S.-China tariff pause are supporting global financial markets and oil prices, IG markets analyst Tony Sycamore said.
The United States and the European Union struck a framework trade agreement on Sunday that will impose a 15% import tariff on most EU goods, half the threatened rate. The deal averted a bigger trade war between two allies that account for almost one-third of global trade and could crimp fuel demand.
Also, senior U.S. and Chinese negotiators will meet in Stockholm on Monday aiming to extend a truce keeping sharply higher tariffs at bay ahead of the August 12 deadline.
Oil prices settled on Friday at their lowest in three weeks as global trade concerns and expectations of more oil supply from Venezuela weighed.
Venezuela's state-run oil company PDVSA is getting ready to resume work at its joint ventures under terms similar to Biden-era licenses, once U.S. President Donald Trump reinstates authorizations for its partners to operate and export oil under swaps, company sources said.
Though prices were up slightly on Monday, the prospect of OPEC+ further easing supply curbs limited the gains.
A market monitoring panel of the Organization of the Petroleum Exporting Countries and their allies is set to meet at 1200 GMT on Monday. It is unlikely to recommend altering existing plans by eight members to raise oil output by 548,000 barrels per day in August, four OPEC+ delegates said last week. Another source said it was too early to say.
The producer group is keen to recover market share while summer demand is helping to absorb the extra barrels.
JP Morgan analysts said global oil demand rose by 600,000 bpd in July on year, while global oil stocks rose 1.6 million bpd.
In the Middle East, 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 over the Gaza conflict.
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Yahoo
8 minutes ago
- Yahoo
India indicates it will keep buying Russian oil despite Trump's threats
NEW DELHI (AP) — India has indicated that it would continue buying oil from Russia despite threats by U.S. President Donald Trump. The Indian foreign ministry said its relationship with Russia was 'steady and time-tested,' and should not be seen through the prism of a third country. Addressing a weekly presser on Friday, spokesman Randhir Jaiswal said India's broader stance on securing its energy needs was guided by the availability of oil in the markets and prevailing global circumstances. The comments follow an announcement by President Donald Trump that he intends to impose a 25% tariff on goods from India plus an additional import tax because of New Delhi's purchases of Russian oil. The threat came as the U.S. president has increasingly soured on Russia for failing to agree to a ceasefire in Ukraine and has threatened new economic sanctions if progress is not made. India bought 68,000 barrels per day of crude oil from Russia in January 2022, but by June of same year oil imports rose to 1.12 million barrels per day. The daily imports peaked at 2.15 million in May 2023 and have varied since. Supplies rose as high as nearly 40% of India's imports at one point, making Moscow the largest supplier of crude to New Delhi, the Press Trust of India reported, citing data from Kpler, a data analytics company. India's daily oil consumption is pegged around 5.5 million barrels, of which nearly 88% is met through imports. The country has historically bought most of its crude from the Middle East, but this has changed since Russia's full-scale invasion of Ukraine in February 2022. India, the world's third-largest crude importer after China and the U.S., began buying Russian oil available at discounted rates after the West shunned it to punish Moscow. The Associated Press Sign in to access your portfolio
Associated Press
8 minutes ago
- Associated Press
India indicates it will keep buying Russian oil despite Trump's threats
NEW DELHI (AP) — India has indicated that it would continue buying oil from Russia despite threats by U.S. President Donald Trump. The Indian foreign ministry said its relationship with Russia was 'steady and time-tested,' and should not be seen through the prism of a third country. Addressing a weekly presser on Friday, spokesman Randhir Jaiswal said India's broader stance on securing its energy needs was guided by the availability of oil in the markets and prevailing global circumstances. The comments follow an announcement by President Donald Trump that he intends to impose a 25% tariff on goods from India plus an additional import tax because of New Delhi's purchases of Russian oil. The threat came as the U.S. president has increasingly soured on Russia for failing to agree to a ceasefire in Ukraine and has threatened new economic sanctions if progress is not made. India bought 68,000 barrels per day of crude oil from Russia in January 2022, but by June of same year oil imports rose to 1.12 million barrels per day. The daily imports peaked at 2.15 million in May 2023 and have varied since. Supplies rose as high as nearly 40% of India's imports at one point, making Moscow the largest supplier of crude to New Delhi, the Press Trust of India reported, citing data from Kpler, a data analytics company. India's daily oil consumption is pegged around 5.5 million barrels, of which nearly 88% is met through imports. The country has historically bought most of its crude from the Middle East, but this has changed since Russia's full-scale invasion of Ukraine in February 2022. India, the world's third-largest crude importer after China and the U.S., began buying Russian oil available at discounted rates after the West shunned it to punish Moscow.
The Hill
an hour ago
- The Hill
US deadlines in Ukraine are a gift to Putin and Xi
President Trump's announcement this week of a shortened window of '10 to 12 days' for Russian President Vladimir Putin to reach a ceasefire agreement in Ukraine reflects a continued evolution in his rhetoric. His growing frustration with Moscow and his willingness to speak plainly about Russia's escalation send a signal that many in the U.S. and Europe have been waiting to hear. But while the shift in tone signals growing frustration, it has not translated into action. Russia reads the action as a continued pause in pressure, which it has used to intensify its offensive against Ukrainian homes and hospitals. Russian forces are now making their fastest territorial gains in more than a year, and their attacks are becoming more sophisticated. Swarm tactics using Iranian-designed Shahed drones, now mass-produced and adapted inside Russia with Chinese parts, are overwhelming Ukraine's air defenses at an alarming rate. In just one day last month, Russia launched 728 drones, decoys and missiles in a single coordinated wave. Ukrainian interceptors and radar crews are doing heroic work, but they are stretched to the limit. The U.S. has tools at its disposal that remain unused. For months, a bipartisan sanctions bill, co-authored by Sens. Lindsey Graham (R-S.C.) and Richard Blumenthal (D-Conn.) and backed by 85 senators, a veto-proof majority, has been ready to move. The legislation would impose steep secondary tariffs on countries like China, India and Brazil that continue to buy Russian oil and gas, and would significantly raise the cost of doing business with Moscow. But in July, Senate leadership pulled the bill from consideration after President Trump suggested he would act if Russia failed to move toward peace within 50 days. Senate Majority Leader John Thune (R-S.D.) said he would 'hold off' on advancing the bill, signaling that Congress would defer to Trump's timeline. House leaders followed suit. That decision was a mistake. While it is encouraging to see President Trump express increasing resolve, deferring congressional action in the hope that Putin will suddenly negotiate has only given Moscow more time and space to escalate. Every week of delay is a missed opportunity to tighten the financial pressure on Putin's war machine. And the clock is not just ticking in Ukraine. The broader contest involves China, too. Beijing's role in this war has become increasingly visible. Chinese companies are supplying entire weapons systems, not just components. Chinese-made drones and decoys are helping Russia saturate Ukrainian airspace. Chinese officials have even welcomed delegations from occupied Ukrainian territories and continue to sell heavy machinery to companies operating there. European officials report that China's foreign minister recently told the EU that Beijing does not want Russia to lose the war and fears that a Russian defeat would allow the U.S. to focus more squarely on Asia. Ukraine has responded accordingly. In early July, Kyiv arrested two Chinese nationals on espionage charges after they allegedly attempted to steal information about Ukraine's Neptune missile program. Days earlier, President Volodymyr Zelensky imposed sanctions on five Chinese firms accused of supporting the Russian war effort. These are not symbolic gestures, they are signs that Ukraine is increasingly realistic about the stakes and about China's alignment with Moscow. Support for Ukraine is not a distraction from U.S. competition with China. It is a critical part of it. Weakening Putin's military capacity weakens a key pillar of China's global strategy. And allowing Russia to continue its aggression without consequence would embolden Beijing's worst instincts from the Taiwan Strait to the South China Sea. To its credit, the Trump administration has begun voicing stronger concerns about Beijing's role. In the recently concluded round of trade talks, senior U.S. officials reportedly raised objections to China's purchase of sanctioned Russian oil and its sale of more than $15 billion worth of dual-use technology to Moscow. These are important warnings — but without follow-through, they risk being absorbed into the pattern of delay that Moscow and Beijing are already exploiting. The Graham-Blumenthal sanctions bill should move forward. It represents the most serious effort yet to impose real costs not only on Russia, but on the network of countries (especially China) helping it survive sanctions. It complements, rather than competes with, the administration's efforts to pressure Moscow. And it sends a message that the U.S. is serious about backing up its warnings with action. Countdowns can be useful. They create urgency. But urgency without follow-through is no substitute for strategy. What matters now is not how many days remain on the clock, but whether we are using each one to act. Jane Harman is a former nine-term congresswoman from California and former ranking member of the House Intelligence Committee, who most recently served as chair of the Commission on the National Defense Strategy. She is the author of 'Insanity Defense: Why Our Failure to Confront Hard National Security Problems Makes Us Less Safe.'
