Crude oil prices fall after Trump comments on Ukraine-Russia energy ceasefire

Crude oil prices declined on October 12 amid expectations of increased Russian energy supplies following US President Donald Trump’s comments about a possible energy ceasefire between Ukraine and Russia. Brent futures fell 1.47% to $103.18 per barrel, while WTI dropped 1.68% to $90.31 per barrel.

Trump said Ukraine and Russia had agreed to halt strikes on energy infrastructure. However, Ukrainian President Volodymyr Zelenskyy said Kyiv was still waiting for details of the agreement, while the Russian side had not commented on it at the time of publication.

Expectations of higher Russian diesel supplies also weighed on the market. According to Trump, Russia could supply an additional 500 thsd tons of diesel in November, followed by another 1 mln tons. Global diesel consumption is estimated by the IEA at around 29 mln barrels per day.

The IEA also urged member countries to assess the need for additional diesel releases from strategic reserves. Countries that have not yet fully met their commitments to release fuel stocks are accelerating the process, with diesel receiving priority.

Despite the decline in prices, the conflict in the Middle East continues to keep Brent above $100 per barrel. Goldman Sachs raised its December Brent price forecast to $90 per barrel from $85, noting that further supply adjustments could ease prices, while renewed escalation remains a significant upside risk.

Tags: Russia, prices, USA, crude oil, Ukraine