WTI price edges higher to near $66.05 in Monday’s Asian session.
The EU agreed to a lower price cap for Russia's crude as part of a package of sanctions against Moscow.
Traders await the API weekly crude oil stock report due on Tuesday.
West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $66.05 during the early Asian trading hours on Monday. The WTI gains ground as traders assess the impact of new European sanctions on Russian oil supply. The American Petroleum Institute (API) weekly crude oil stock report will be released later on Tuesday.
The European Union (EU) last week agreed to a lower price cap for Russian crude as part of a package of sanctions against Moscow. The sanctions include restrictions on fuels made from Russian petroleum, further banking restrictions, and a ban on a major oil refinery in India and a few Chinese firms. The UK joined the EU's efforts.
The EU sanctions followed US President Donald Trump's threats last week to impose sanctions on buyers of Russian exports unless Russia agrees to a peace deal in 50 days.
US crude oil inventories fell last week, suggesting robust summer demand. The US Energy Information Administration (EIA) weekly report showed crude oil stockpiles in the US for the week ending July 11 fell by 3.859 million barrels, compared to a rise of 7.07 million barrels in the previous week. The market consensus estimated that stocks would decline by 1.8 million barrels.
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