Oil Holds Steady After Trump’s Hawkish Remarks On Russia Fuel Rally

Oil prices steadied in Asian trade after their sharpest surge since July, spurred by US President Donald Trump’s warning that NATO should shoot down Russian aircraft violating allied airspace and urging Europe to halt energy purchases from Russia.

West Texas Intermediate (WTI) hovered above US$64 a barrel in early Thursday trade, following a 2.5% jump the previous session, while Brent closed at US$69.31. The remarks heightened geopolitical risk, prompting investors to unwind bearish positions.

Adding to the bullish tone, US government data showed nationwide crude inventories fell to their lowest level since January. However, concerns over oversupply resurfaced after oil companies in Iraq’s Kurdistan region agreed with Baghdad and the Kurdish regional government to resume exports, ending a two-year halt.

Oil markets have remained rangebound since August as traders weigh weak fundamentals against escalating geopolitical tensions. Ukraine has intensified strikes on Russian energy infrastructure, forcing two key Black Sea oil ports to halt loadings temporarily after drone warnings.

As of 7:20 am in Singapore, WTI for November delivery eased 0.4% to US$64.72 a barrel.

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