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Crude prices eased on Tuesday as the market balanced fading optimism over Russia–Ukraine peace efforts with fresh evidence of oversupply, including rising US inventories and stable OPEC+ production expectations.

Brent crude futures for February settled at $62.45 a barrel, down $0.72 or 1.14%. WTI for January closed at $58.64 a barrel, falling $0.68 or 1.15%.

An early lift from renewed Kremlin engagement dissipated after President Vladimir Putin issued fresh warnings to Europe and threatened tighter control over Ukraine’s maritime access following recent drone attacks, diminishing hopes for diplomatic progress.

Bearish sentiment deepened after US API data reported a 2.48-million-barrel build in crude stocks, accompanied by higher gasoline and distillate inventories, amplifying concerns over weakening demand ahead of Wednesday’s official data release.

Geopolitical risks—including weekend damage to a Caspian Pipeline Consortium loading point and a separate tanker incident off Turkey—offered only limited support. Meanwhile, OPEC+’s decision to maintain output levels through Q1 2026 reinforced expectations of a comfortably supplied market.

Written by: Aiman Haikal