BEIJING – Oil prices rebounded slightly on Wednesday after falling to one-month lows in the previous session, as optimism grew over a potential peace deal between Ukraine and Russia. The deal could ease international sanctions on Russian energy exports, influencing global supply.
Read More: Oil prices slide on peace talks
Brent crude futures rose 19 cents, or 0.3%, to $62.67 a barrel, while U.S. West Texas Intermediate (WTI) crude gained 14 cents, or 0.24%, to $58.09 a barrel as of 0114 GMT. Both contracts had settled down 89 cents on Tuesday.
Ukraine peace deal speculation-driven oil price rout still entirely a paper sentiment phenomenon.
Brent crude prompt timespreads, which reflect actual near-term market tightness, have risen through the week and ain’t budging yet.
Phys oil not yet buying the deal. pic.twitter.com/6tvzFKjYIL
— Rory Johnston (@Rory_Johnston) November 25, 2025
The recent dip followed remarks by Ukrainian President Volodymyr Zelenskiy, who told European leaders that only a few points of disagreement remained in a U.S.-backed framework to end the war with Russia. IG market analyst Tony Sycamore noted that if finalized, the agreement could rapidly dismantle Western sanctions, potentially pushing WTI prices toward $55.
️ Oil prices climbed on Wednesday after sliding to a one-month low in the previous session, though an expected supply glut and a potential Russia-Ukraine peace deal capped gains, – Reuters
Brent crude futures rose 27 cents, or 0.43%, to $62.75 a barrel at 0412 GMT, while U.S.… pic.twitter.com/alFfkTutrK
— Dzis Maksym (@DzisMaksym) November 26, 2025
U.S. President Donald Trump announced that his representatives will meet separately with Russian President Vladimir Putin and Ukrainian officials, while Zelenskiy may travel to the United States soon to finalize the deal. Meanwhile, Russian oil exports to key buyers like India are expected to hit a three-year low in December, amid tightened sanctions by Britain, Europe, and the United States.
#Watch | Oil prices are recovering as hopes of a Ukraine–Russia peace deal weigh on supply concerns, while softer US retail and inflation data boost expectations of a December Fed rate cut#OilPrices #GoldUpdate #FedRateCut #Commodities pic.twitter.com/Ism5BOj2nd
— Zee Business (@ZeeBusiness) November 26, 2025
Crude prices also received modest support from expectations of a potential U.S. Federal Reserve interest rate cut in December. Recent economic data, showing weaker retail spending and softer inflation, suggest the Fed may lower rates, which could boost economic growth and oil demand.
Read More: Oil prices edge higher as oversupply worries ease
Traders remain cautious, monitoring developments in Ukraine peace talks and U.S. monetary policy. Analysts note that while optimism supports oil, the risk of lower prices remains if talks proceed smoothly and sanctions are eased.