By Cassie Werber
LONDON--Brent crude oil prices were slightly up Tuesday morning
and U.S. oil was almost unmoved as traders shrugged off the
likelihood of increased sanctions against Russia.
Europe is Russia's largest trading partner, and it is expected
to target transactions with Russia's state banks, as well as limit
technology exports vital for the country's oil and weapons
industries, in response to the Kremlin's interference in Ukraine.
The U.S. has said it would take a similar path.
"The oil market still appears determined to ignore the numerous
sources of geopolitical tension," wrote analysts at Commerzbank in
a note to clients. "One explanation of the puzzling weakness of oil
prices could be concerns about the negative economic impact of
sanctions against Russia."
Supply remains ample, globally, despite problems getting Libyan
oil to international buyers at a price they are willing to pay.
ICE September crude was up 0.39% at $107.99 a barrel. WTI crude
on the Nymex exchange was up 0.12% at $101.79 a barrel.
The ICE's gas oil contract for August delivery was up $5.75 at
$895 a metric ton, while Nymex gasoline for September delivery was
up 160 points at $2.8415 a gallon.
Write to Cassie Werber at cassie.werber@wsj.com