Oil prices rise on EU-US trade deal and Trump comments on Ukraine

US President Donald Trump said on Monday he was reducing a 50-day deadline given to Vladimir Putin to agree a deal with Ukraine. Oil prices had already risen on news of a EU-US trade deal.

Oil prices rose on Monday afternoon in Europe after US President Donald Trump said he would reduce the deadline for Russian President Vladimir Putin to reach a peace deal with Ukraine.

WTI was up around 2.2% at $66.50 a barrel, while Brent crude oil was up around 2% at $69.80, as of 15.00 CEST.

Trump issued the 50-day timeline to Putin in July, claiming that he would hit Russia with a 100% tariff if Moscow didn’t end the war in Ukraine. 

“I’m disappointed in President Putin, very disappointed in him. So we’re going to have to look and I’m going to reduce that 50 days that I gave him to a lesser number,” Trump told reporters in Scotland on Monday.

“I think I already know the answer, what’s going to happen,” Trump said. The president was preparing to meet UK Prime Minister Keir Starmer.

Oil prices had risen earlier in the day on Monday as investors reacted to news of a EU-US trade deal, announced on Sunday.

Among other provisions, the EU agreed to buy $750 billion of US energy products, including oil, LNG, and nuclear energy over three years.

The deal means that the EU will face a 15% tariff on most of its goods when Trump’s tariff deadline ends on 1 August, rather than a threatened 30% rate. European stock markets also jumped during Monday morning trading on the news, before settling in the afternoon.

Trump’s tariff threats have previously deflated oil prices this year as investors predicted that a potential economic slowdown could affect demand for oil. Geopolitical risk, on the other hand, has stoked prices in cases where investors have expected threats to supply. US attacks on Iran’s nuclear facilities, for example, prompted a spike in oil prices in June.

An OPEC+ committee meeting is taking place on Monday, where participants will decide on production policy for September.