Oil Prices Steady as Markets Await Trump-Putin Talks, U.S. Inventory Data

Oil prices held near two-month lows in Asian trading on Wednesday, with traders remaining cautious ahead of a high-profile meeting between U.S. President Donald Trump and Russian President Vladimir Putin later this week. Sentiment was also weighed by industry data showing an unexpected rise in U.S. crude inventories, pointing to potential demand weakness in the world’s largest fuel consumer.

Market snapshot:

• Brent crude (Oct): flat at $66.13 per barrel

• WTI crude (Oct): down 0.1% to $62.41 per barrel

The American Petroleum Institute reported late Tuesday that U.S. crude stocks rose by 1.5 million barrels for the week ending August 8, compared with expectations for a 0.8 million-barrel draw. The data raised concerns that fuel demand may be softening as the peak summer travel season winds down. Official Energy Information Administration figures, due later Wednesday, are expected to show a smaller draw of 300,000 barrels.

Adding to the pressure, both the EIA and OPEC forecast higher oil production in the coming months, although OPEC slightly increased its oil demand outlook for 2026. Persistent worries about oversupply and sluggish consumption have kept prices under pressure this year, despite the threat of additional U.S. sanctions on Russian crude.

Geopolitical focus:
Trump and Putin are scheduled to meet in Alaska on Friday to discuss a potential resolution to the Ukraine war. Washington has signaled the possibility of stricter sanctions on Russia’s energy sector, including hefty tariffs on major buyers such as India and China. Trump previously proposed a 50% tariff on Indian imports of Russian oil. However, the White House has cautioned against expecting a quick breakthrough, hinting at prolonged ceasefire talks and potentially more sanctions ahead.