Crude Prices Climb on Russian Supply Concerns

Core Insights - Crude oil and gasoline prices have experienced a significant rally, with crude reaching a 1.75-month high due to concerns over Russian crude supplies and geopolitical tensions [2][4] - The U.S. government's push for countries to stop purchasing Russian crude is aimed at reducing global supplies and supporting higher oil prices [3][4] - Ukraine's intensified attacks on Russian oil infrastructure are further constraining Russian crude exports, contributing to tighter global oil supplies [5] Group 1: Price Movements - November WTI crude oil closed up +0.74 (+1.14%) and November RBOB gasoline closed up +0.0341 (+1.74%) [1] - Crude oil prices are supported by a weaker dollar and positive economic indicators from the U.S., such as the better-than-expected personal spending report [2] Group 2: Geopolitical Factors - President Trump is lobbying countries, including Turkey and Hungary, to cease purchases of Russian crude to pressure Russia regarding the Ukraine conflict [3][4] - Escalating tensions between Russia and NATO are contributing to rising crude prices, with European diplomats prepared to take military action against Russian aircraft [3][4] Group 3: Supply Constraints - Ukraine's attacks on Russian refineries have halted approximately 300,000 barrels per day (bpd) of refining capacity, significantly impacting Russian crude exports [5] - The total refined-product flows from Russia have dropped to 1.94 million bpd in early September, marking the lowest monthly average in over 3.25 years [5]