Oil markets waver as Trump shifts focus from Ukraine crisis
Oil prices on the New York fuel exchange "don't know which direction they should go" after two days of increases. The market has started to perceive signals that U.S. President Donald Trump is retreating from his efforts to end the war in Ukraine. Meanwhile, Iran is reported to be steadfast in its nuclear ambitions, according to brokers.
A barrel of West Texas Intermediate crude for June delivery costs $62.72 on NYMEX in New York, marking a 0.05% increase. Brent on ICE for July is priced at $65.36 per barrel, reflecting a decrease of 0.27%.
The market has started to perceive signals that the President of the United States, Donald Trump, is retreating from his efforts aimed at bringing an end to the conflict between Russia and Ukraine.
The U.S. President stated on Monday that his conversation with Russian President Vladimir Putin went very well, asserting that Russia and Ukraine will begin negotiations for a ceasefire immediately. He noted, however, that the terms would be arranged by the two parties involved.
Russia and Ukraine will immediately start negotiations toward a Ceasefire and, more importantly, an END to the War, Trump wrote on Truth Social.
"The conditions for that will be negotiated between the two parties, as it can only be, because they know details of a negotiation that nobody else would be aware of," he added.
Donald Trump indicated that he informed Ukrainian President Volodymyr Zelensky, European Commission President Ursula von der Leyen, French President Emmanuel Macron, Italian Prime Minister Giorgia Meloni, German Chancellor Friedrich Merz, and Finnish President Alexander Stubb about the conversation.
"The Vatican, as represented by the Pope, has stated that it would be very interested in hosting the negotiations. Let the process begin!" Trump wrote.
Peace negotiations for a ceasefire between Ukraine and Russia might proceed without U.S. involvement.
"Talks with the U.S. will lead nowhere"
Meanwhile, there's no resolution in sight for the nuclear dispute between the U.S. and Iran, which could lead to stricter restrictions on Iranian oil exports.
Iran maintained its stance on Monday regarding the potential for uranium enrichment.
Deputy Foreign Minister Majid Takht-Ravanchi stated that talks with the U.S. over Iran's nuclear programme will "lead nowhere" unless Washington abandons this demand.
- Our position on enrichment is clear and we have repeatedly stated that it is a national achievement from which we will not back down - Takht-Ravanchi declared.
However, Iranian Foreign Ministry spokesperson Esmail Bargei criticized U.S. officials for making public statements that diverge from what had been agreed in bilateral talks, accusing them of unnecessarily complicating the negotiation process.
Iran: The nuclear programme has peaceful intentions
U.S. Special Envoy for the Middle East Steve Witkoff reiterated on Sunday that any new U.S.-Iran nuclear agreement must include a ban on uranium enrichment by Tehran.
The United States argues that - with this capability - Iran will continue its nuclear weapons development. The authorities in Tehran assure that the Iranian nuclear programme is solely for peaceful purposes.
Robert Rennie, an economist at Westpac Banking Corp., noted that under current circumstances, reaching a nuclear agreement between the U.S. and Iran could be a lengthy process with uncertain results. He also commented on the oil market, stating that Brent crude appears overpriced in the $66–67 per barrel range and should ideally decline to around $60–65.
Last week, during his visit to the Middle East, U.S. President Donald Trump stated that a nuclear agreement with Iran is very close. He simultaneously emphasised that Tehran must "act quickly" on this matter.
