Oil is falling in price amid rumors of a possible easing of sanctions against Russia
Oil prices fell on January 20 on expectations that US President-elect Donald Trump may ease sanctions against the Russian energy sector as part of an agreement to end the war in Ukraine. This eased fears of supply disruptions amid tightening restrictions, informs Reuters.
Brent crude fell 16 cents (0.2%) to $80.63 a barrel after falling 0.62% the day before. WTI crude for April delivery was down 6 cents at $77.33 a barrel. The current one-month contract, which expires on Tuesday, added 15 cents, or 0.19%, to $78.03 a barrel after earlier falling 1.02%.
Trump is expected to announce a number of policy initiatives soon, including the lifting of a moratorium on the export of liquefied natural gas licenses from the United States. This will be part of his strategy to strengthen the economy.
According to experts, Trump’s inauguration this week creates significant uncertainty in the markets because of the expected executive orders he may sign. Given that today is a holiday in the US, many market participants are choosing to reduce risks.
