Oil prices decline as Russia sanctions are eased

Oil prices declined following US President Donald Trump's decree removing certain sanctions and tariffs on Russia's energy exports, while attacks in Saudi Arabia and Yemen keep supply disruption concerns alive in the markets. Brent crude fell 0.45 percent to $109.06 per barrel, while US crude also followed a downward trend.

Brent crude futures fell 0.45 percent to $109.06 per barrel, while the November US crude (WTI) contract dropped 0.33 percent to $103.32, and the December contract fell 0.47 percent to $98.08. The International Energy Agency (IEA) announced that Russia's crude oil production increased by 65,000 barrels per day in September to reach 8.43 million barrels, but remained about 870,000 barrels per day below the same period last year. KCM Trade Chief Analyst Tim Waterer stated that a potential increase in Russian diesel supply could theoretically ease the market, but investors are focusing on the risks of new attacks targeting energy infrastructure in the Gulf region.

Iran-backed Houthis announced on Monday that they carried out attacks on Aramco facilities in Saudi Arabia, the Shaybah oil field, and several airports. Saudi authorities did not immediately confirm the claims, and Reuters could not independently verify the attacks. In an attack on a security forces training camp in the Shabwah governorate of Yemen, 58 people lost their lives and more than 200 people were injured. These developments and attack risks in the region remained influential in keeping oil prices above $100, while a preliminary Reuters poll expects US crude inventories to have declined last week.