Oil prices fell on Monday after U.S. President Trump urged OPEC to cut prices to reduce Russia’s oil revenues and help end the Ukraine war. Brent crude dropped 53 cents, or 0.68%, to $77.97 per barrel, while U.S. West Texas Intermediate crude declined 50 cents, or 0.67%, to $74.16 per barrel.
Trump reiterated his call for OPEC to lower prices, claiming that reducing oil revenue for Russia could help end the war in Ukraine. He also warned of potential taxes, tariffs, and sanctions on Russia and other countries involved if the war continues.
This political tension contributed to volatility in oil markets. John Driscoll, a consultant at JTD Energy, noted that Trump’s policies, which aim to boost U.S. oil output and challenge OPEC’s market share, could lead to more market instability. However, OPEC and its allies, including Russia, have not responded yet, with OPEC+ planning to increase oil output from April.
Last week, both Brent and WTI posted their first decline in five weeks as concerns over sanctions on Russia eased. Goldman Sachs analysts suggested that sanctions have not significantly impacted Russian oil production due to higher freight rates and discounted Russian crude attracting buyers. Despite this, JP Morgan analysts cautioned that a risk premium is still justified due to ongoing sanctions on the Russian energy sector.
In other news, the U.S. reversed plans to impose sanctions on Colombia after the country agreed to accept deported migrants, avoiding disruption to its oil exports to the U.S.
Also read: U.S. to Leave WHO in 2026, Trump Confirms
