FX.co ★ Oil Gains as EU Proposes New Sanctions on Russia

On Monday, WTI crude oil futures climbed to $62.6 per barrel following a three-day downturn, driven by the anticipation of further EU sanctions against Russia. On Friday, the EU put forward its 19th sanctions package aimed at increasing pressure on Moscow to halt the conflict in Ukraine. This new set of sanctions features a ban on Russian LNG imports into the EU beginning on January 1, 2027, as well as targeting 118 additional shadow vessels and various Chinese and foreign companies involved in purchasing Russian oil. However, gains in oil prices remained constrained due to ongoing concerns about an abundant supply and declining demand. Meanwhile, Iraq has reportedly bolstered its oil exports amid the gradual relaxation of voluntary production cuts as per the OPEC+ agreement, exacerbating supply tensions.