Brent, WTI Recover Off Two-Month Lows as Markets Eye Alaska Trump–Putin Talks

Crude oil prices steadied on Thursday, recovering from recent two-month lows as investors awaited the outcome of high-stakes talks between former U.S. President Donald Trump and Russian President Vladimir Putin in Alaska aimed at negotiating an end to the war in Ukraine.

Brent crude oil, against which Nigerian oil is priced, edged higher to $72.14 per barrel while U.S. West Texas Intermediate (WTI) traded at $68.49 per barrel in early trade with both benchmarks rebounding from earlier sessions that had seen heightened volatility.

Market analysts noted that the geopolitical risk premium has returned to the forefront as traders assess whether the meeting could lead to the easing or removal of sanctions on Russian oil exports, a move that could reshape global supply dynamics.

The talks, scheduled for later this week, have raised expectations that a peace agreement or a significant de-escalation in the conflict could be reached.

Any breakthrough would have far-reaching consequences for oil flows, particularly to European and Asian markets.

“Crude prices have been under pressure from global demand concerns, but the geopolitical dimension tied to these talks is likely to keep volatility elevated,” said an energy market strategist.

Beyond the geopolitical developments, traders are also monitoring U.S. inventory data after the Energy Information Administration reported a smaller-than-expected draw in crude stocks, signalling mixed demand conditions in the world’s largest oil consumer.

Analysts caution that while diplomatic progress could ease supply constraints, it may also lead to a sharper correction in prices if Russian barrels return to the market more quickly than anticipated.

The Alaska meeting comes at a time when oil markets are also contending with a subdued macroeconomic outlook, with slower manufacturing activity in major economies tempering demand growth projections for the remainder of 2025.