FX.co ★ Oil Falls for Second Day

West Texas Intermediate (WTI) crude oil futures continued their decline, reaching $59.6 per barrel on Tuesday. This drop extends the losses experienced in the previous session, as concerns over an excess supply overshadow the impending sanctions on Russian oil. The market sentiment remains pessimistic, driven by forecasts of an oversupply situation unfolding from the end of this year into 2026. Both OPEC and non-OPEC producers are ramping up production amid a slowdown in demand growth. The decrease in prices was also influenced by news that Russia's Novorossiysk port had resumed oil loadings on Sunday, following a two-day shutdown due to a Ukrainian attack. Meanwhile, traders are closely monitoring upcoming U.S. sanctions against Russian oil giants Rosneft and Lukoil, set to be enforced on November 21. These sanctions have already led significant purchasers such as China, India, and Turkey to halt purchases and explore alternative sources. Additionally, other geopolitical risks could potentially support prices, including recent export disruptions in Sudan, Iran's seizure of an oil tanker in Gulf waters last week, and the possibility of U.S. military intervention in Venezuela.