Crude Oil Mixed on Russian Exports Restriction

By Adedapo Adesanya

Crude oil prices were mixed on Thursday as Russia moved to restrict fuel exports until the end of the year, while new US economic data tempered optimism around further interest rate cuts.

Brent futures gained 11 cents or 0.16 per cent to sell for $69.42 per barrel, while US West Texas Intermediate (WTI) futures lost 1 cent or 0.02 per cent to settle at $64.98 per barrel.

Previously on Wednesday, prices were driven by a surprise drop in US weekly crude inventories and concerns that Ukraine’s attacks on Russia’s energy infrastructure could disrupt supplies.

On Thursday, oil received more support after Russian Deputy Prime Minister Alexander Novak said the country would introduce a partial ban on diesel exports until the end of the year and extend an existing ban on petrol exports, following a spate of Ukrainian drone attacks on Russian refineries.

US Gross Domestic Product (GDP) increased at an upwardly revised 3.8 per cent annualized rate last quarter, the US Commerce Department’s Bureau of Economic Analysis said in its latest estimate on Thursday.

However, this did not signal positive for the market as a stronger than expected economic data would make the Federal Reserve more cautious about cutting interest rates.

The US central bank cut rates by 25 basis points last week, its first cut since December, and signaled more reductions ahead.

Pressure also came from bearish expectations on supply fundamentals, with more oil expected from Iraq and Kurdistan.

The Kurdistan Regional Government announced on Thursday that oil exports would resume within 48 hours after the tripartite agreement among Iraq’s oil ministry, the KRG ministry of natural resources, and producing companies.

This adds back fears of an oversupply narrative, propelling a pullback in prices.

US President Donald Trump called on Turkish President Recep Tayyip Erdogan to stop buying Russian oil and gas during his White House visit Thursday.

He stressed that Turkey’s neutrality gave it unique sway in the Russian-Ukraine war but said the best thing Mr Erdogan could do now was cut Russian energy imports.

Turkey has been one of Russia’s most important outlets since Western sanctions hit Russia’s exports. In January 2025, it accounted for roughly 25 per cent of Russia’s oil product sales, well ahead of China and Brazil at 11 per cent each.