WTI Crude Holds Above $66 as EU Sanctions Tighten Russian Oil Supply

WTI Crude Holds Steady Above $66.00 on Russian Sanctions and Supply Risks

WTI Gains Amid Sanction-Driven Supply Uncertainty

The West Texas Intermediate (WTI) crude oil price is trading near $66.05 in the early Asian session on Monday. The benchmark US crude price is drawing support from renewed geopolitical tensions, particularly as the European Union (EU) enacts a new round of sanctions on Russian oil exports.

EU Enforces Lower Price Cap on Russian Crude

Last week, the EU agreed to a lower price cap on Russian crude, intensifying efforts to reduce Moscow’s oil revenue amid the ongoing conflict in Ukraine. In addition to limiting Russian crude prices, the sanctions also apply to fuels refined from Russian petroleum, restrict banking operations, and target select energy firms in India and China.

Even the United Kingdom is part of this broader enforcement package, aligning with the EU’s unified stance.

US Pressure Adds to Global Supply Concerns

Further adding to the supply-side pressure, US President Donald Trump recently threatened to sanction buyers of Russian exports unless Russia commits to a peace agreement within 50 days. The aggressive rhetoric raises the risk of secondary sanctions, which could limit global availability of Russian oil and push prices higher.

API Weekly Stock Report on Watch

Looking ahead, traders will turn their attention to the American Petroleum Institute (API) Weekly Crude Oil Stock Report, scheduled for release on Tuesday. The data will offer insight into US inventory levels, which can significantly influence short-term WTI price movements.