Written by: Suhaib Shams
Oil prices trimmed their losses during Monday's trading, with Brent crude trading above the $108 per barrel level, amid profit-taking pressures and following a US decision to suspend some sanctions and tariffs imposed on Russia, which paves the way for increased flows of Russian fuel to global markets.
Decline in global crude contracts
Brent crude futures for December delivery fell by 1.55%, equivalent to $1.71, to settle at $108.15 per barrel. In the same context, US West Texas Intermediate crude for November delivery fell by 0.55%, recording a decline of 54 cents to reach $100.87 per barrel.
This decline came after Brent crude finished last week's trading at its highest level since May, while US crude recorded its highest close since mid-September, before prices were subjected to downward pressures exceeding 2% during the current session before those losses gradually narrowed.
Regulatory developments and fuel export agreements
Data related to the energy market showed that these developments came in the wake of the signing of an executive decree providing exemption from key sanctions and tariffs that previously aimed to tighten restrictions on Moscow against the backdrop of the ongoing conflict in Eastern Europe.
These measures coincide with moves to coordinate the supply of quantities of diesel to global markets, starting with initial levels during the current month, with notable increases expected in the coming months to meet growing needs.
