WTI Rises Above $63.00 Ahead of Trump–Putin Summit in Alaska

WTI Rises Above $63 as Markets Brace for High-Stakes Trump–Putin Summit in Alaska

West Texas Intermediate (WTI), the U.S. benchmark for crude oil, climbed to $63.20 per barrel during early Friday trading in the Asian session, reflecting cautious optimism among investors ahead of a high-profile meeting between former U.S. President Donald Trump and Russian President Vladimir Putin. The summit, scheduled to take place later in the day in Alaska, could have significant implications for the ongoing war in Ukraine, global energy flows, and crude oil markets.

Trump's Ultimatum to Putin Raises Geopolitical Stakes

Tensions are running high as Trump has reportedly issued a direct ultimatum to Russia, demanding a full ceasefire in Ukraine within 10 to 12 days. Failure to comply, he warned, would trigger a new wave of economic sanctions. In addition to targeting Russia directly, Trump has also threatened to impose secondary tariffs on countries that continue purchasing Russian oil—namely China and India, two of the largest buyers of Russian crude since the start of the Ukraine conflict.

Such moves could significantly reshape the global oil trade, limit Russian export revenues, and reroute crude flows across major markets—all of which are contributing to increased volatility and upward pressure on oil prices.

Oil Inventories Rise, but Traders Focus on Geopolitics

Earlier in the week, U.S. crude inventories showed a larger-than-expected build, which under normal circumstances might have put downward pressure on prices. However, the market is currently far more sensitive to geopolitical risk than supply-demand fundamentals.

The possibility of new sanctions, disrupted trade flows, or a diplomatic breakthrough is keeping traders on edge. Any indication of a failed negotiation or hardened stance from either side during the Alaska summit could further drive up oil prices in the short term.

Market Outlook Hinges on Summit Outcome

With the global energy market already grappling with tight supplies and fragile demand dynamics, the outcome of the Trump–Putin meeting is expected to be a key catalyst for oil price movements in the coming days. Analysts warn that heightened rhetoric or policy surprises could fuel speculative activity, especially given the current lack of clarity around the direction of U.S. foreign policy and its alignment with energy strategy.

As of now, traders are treading cautiously, and oil prices may remain supported at elevated levels until more concrete developments emerge from the summit.