Sanctions on Rosneft, Lukoil Push Oil Higher

U.S. sanctions on Russia’s two largest oil firms, Rosneft and Lukoil, have driven global oil prices higher, with Brent trading in the mid-$60s and WTI in the low-$60s after a fourth straight session of gains and putting both benchmarks on track for their biggest weekly rise since mid‑June. The measures sparked immediate supply concerns, a return of futures to backwardation and sharp one‑day percentage gains for front‑month contracts. Traders said some Chinese state majors have temporarily suspended purchases of Russian crude and Indian refiners face cuts to seaborne Russian cargoes, while the rouble briefly strengthened. The U.S. Treasury gave firms until Nov. 21 to wind down transactions with listed affiliates, prompting caution about enforcement and potential delays in the sanctions' impact. Market participants warned that OPEC could offset shortfalls but that the sanctions’ ultimate effect will depend on enforcement, the cost of alternative supplies and forecasts of longer‑term surplus, leaving the outlook mixed. Separately, India’s crude import bill has risen as the share of discounted Russian crude narrows and pricier alternative supplies squeeze refiners’ margins.