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Oil Extends Slide on Reports of Ukraine Peace Push and Firmer Dollar

Fresh U.S. curbs on Rosneft and Lukoil take effect today, clouding the outlook for Russian crude flows.

Overview

  • Brent fell about 1.5% to roughly $62.45 a barrel and WTI dropped to about $58.02, marking a third straight down session.
  • Traders weighed reports of a U.S.-led Russia–Ukraine peace initiative that could lift Russian supply, pressuring prices.
  • Sanctions targeting Rosneft and Lukoil came into force on Friday, with Lukoil reported to face a December 13 deadline to sell assets.
  • A stronger U.S. dollar and uncertainty over near-term Federal Reserve rate cuts further dampened commodity sentiment.
  • Both crude benchmarks were set for weekly losses of more than 2.5% on oversupply concerns, with Indian MCX crude futures also declining.