Meanwhile, global oil prices are seeing gains at the start of the new trading week. Investors are closely following reports about India's purchases of Russian oil and information about Ukrainian attacks on Russian energy infrastructure.
On the New York NYMEX exchange, a barrel of West Texas Intermediate (WTI) oil for delivery in January 2026 costs $60.20, which means an increase of 0.20%. In turn, Brent crude oil, listed on the London ICE exchange, is valued at $63.87 for February deliveries. per barrel, which is an increase of 0.19%.
Read also: News of the death of oil and gas is premature. This is how demand will grow
Russia gives discounts
Indian refineries, which had suspended purchases of Russian oil for several months, started importing it again, taking advantage of reduced prices. Russia agreed to a $5 discount. per barrel, while in October it offered a discount of $3. These purchases are made by intermediaries who are not subject to sanctions. India's two largest state-owned refineries, Indian Oil Corp. and Bharat Petroleum, have already contracted for Russian oil for January delivery.
Last week, Vladimir Putin visited India, during which Russia and India agreed on a new framework for economic cooperation. Indian Prime Minister Narendra Modi announced that both countries have adopted an economic cooperation program that aims to develop and diversify trade by 2030. The Russian President, in turn, assured that his country is ready for “uninterrupted fuel supplies” to India.
Ukraine attacks
Meanwhile, the situation in eastern Ukraine is attracting the attention of market analysts. Ukrainian armed forces carried out attacks on the Ryazan Oil Refinery and the Alchev Metallurgical Plant, located in the Russian-occupied territory of the Luhansk Oblast. The Ryazan Refinery, one of the largest in Russia, with an annual processing capacity of 17.1 million tons, produces, among others: gasoline, aviation fuel and diesel oil. These facilities are used to supply the Russian armed forces.
A chance for balance
Experts indicate that tensions related to oil supplies may offset market concerns about global oversupply of the raw material. Higher supply from OPEC+ countries and producers outside the alliance, such as the United States, Brazil and Guyana, could eclipse the moderate demand growth for oil.
