Global oil markets took another hit on Thursday, August 7, with Brent crude and U.S. West Texas Intermediate (WTI) both logging their sixth consecutive daily loss.
The decline pushed prices to their lowest levels in nearly two months, as hopes for a diplomatic breakthrough in the Ukraine war eased geopolitical risk concerns.
Brent crude futures settled down 46 cents, or 0.7%, at $66.43 a barrel, while U.S. crude futures fell 47 cents, or 0.7%, to $63.88. Both benchmarks touched eight-week lows during the session.
The drop came after the Kremlin confirmed that Russian President Vladimir Putin would meet with U.S. President Donald Trump to discuss ending the conflict in Ukraine. Traders saw the planned talks as a potential game-changer that could remove one of the key geopolitical premiums keeping oil prices elevated.
Oil markets often react sharply to geopolitical developments, especially those involving major producers like Russia.
The Ukraine war has been a major factor in keeping prices volatile, but signs of peace talks tend to push prices down as traders price in lower supply disruptions.
The latest comments from Moscow suggest progress in negotiations, prompting some market participants to exit bullish positions and take profits.
Beyond the geopolitical headlines, oil prices are also facing technical selling pressure after failing to hold above key support levels earlier in the week. With prices now firmly below $67 for Brent and $64 for WTI, analysts warn that momentum could drive further short-term declines.
Energy traders are also watching global demand trends closely. Recent signs of slowing economic growth in major markets, combined with ample supply from OPEC+ producers, have added to the bearish tone.
While peace talks in Ukraine are dominating headlines, the market’s next moves will likely depend on actual progress in negotiations, and not just announcements.
Also, OPEC+ production strategy for the rest of the year and global demand outlook amid economic slowdown concerns will be major factors for the market.
For now, oil remains under pressure, and traders say it will take either a significant supply disruption or a surge in demand to reverse the current downtrend.
