Brent Oil Nears $108 a Barrel... Prices Keep Climbing Despite Ceasefire Deal

On the 12th (local time), Brent crude, the North Sea oil that serves as the international price benchmark, rose 2% to near $108 a barrel, while U.S. West Texas Intermediate (WTI) climbed more than 2% to about $94 a barrel. International oil prices continued their upward march despite President Trump's announcement of an energy ceasefire agreement. The burden of real-world energy prices in the United States has also grown. According to the American Automobile Association (AAA), the average U.S. diesel price stood at $6.26 per gallon on the 12th, up roughly 80% since the start of the year.

On the 11th, U.S. President Donald Trump announced on Truth Social that an energy ceasefire between Russia and Ukraine had taken effect immediately. However, Russia resumed its attacks on Ukrainian energy facilities shortly after the announcement, raising questions about the ceasefire's effectiveness — a development that drove oil prices higher.

President Trump said on the 10th that after a phone call with Russian President Vladimir Putin, he had agreed to supply more than 300,000 tons of Russian diesel to the U.S. and global markets. The U.S. Treasury Department said it would suspend for six months the fuel-related sanctions imposed after Russia's 2022 invasion of Ukraine to enable the deal. The agreed volume amounts to about 2.25 million barrels — less than a single day's diesel consumption in the United States.

The International Energy Agency (IEA) estimated in a September report that Russia's gasoline output had fallen 20% from 2025 levels, with diesel production down about 30%. The Russian government had restricted fuel exports to secure domestic supply, and said it would lift some export restrictions to implement the agreement. However, no specific supply schedule or transportation plan has yet been made public.