Oil Prices Steady as Trump and Putin Prepare for Alaska Talks

il prices held steady on Thursday as traders awaited the outcome of Friday’s U.S.-Russia meeting in Alaska, where President Donald Trump is set to press Vladimir Putin for peace in Ukraine.

Brent crude rose 35 cents (0.53%) to $65.98 a barrel by 09:57 GMT, while U.S. West Texas Intermediate (WTI) gained 35 cents (0.56%) to $63.00.

Both benchmarks hit two-month lows on Wednesday after the U.S. government and the International Energy Agency (IEA) issued bearish supply forecasts.

Trump warned of “severe consequences” if Russia does not agree to peace, hinting at possible sanctions and secondary tariffs on countries like China and India that buy Russian oil. Analysts say such measures could add upward pressure to prices, though some doubt the U.S. will take steps that could sharply disrupt supplies.

Expectations of a U.S. Federal Reserve rate cut in September also supported prices, as lower borrowing costs can boost economic growth and oil demand. Markets are almost certain a cut is coming after July inflation rose only moderately.

However, gains were capped after U.S. crude inventories unexpectedly rose by 3 million barrels last week, according to the Energy Information Administration.