%Oil prices are trending higher as hopes rise for a peace deal that will end the three-year-old war between Ukraine and Russia.
The Government of Ukraine has agreed to an immediate 30-day ceasefire plan put forward by the U.S., if Russia also accepts the deal.
The plan sees the U.S. immediately lift its pause on sharing intelligence information with Ukraine, and America will also resume military and humanitarian aid to that country.
The agreement comes after negotiations were held on March 11 in Jedda, Saudi Arabia between high-level American and Ukrainian officials.
News that Ukraine has agreed to a 30-day ceasefire has helped to send crude oil prices about 1% higher.
West Texas Intermediate (WTI) crude oil, the U.S. standard, is currently trading at $67.19 U.S. per barrel, while Brent crude, the international benchmark, is trading at $70.47 U.S. a barrel.
In recent days, both oil prices were trading below the key support level of $70 U.S. a barrel.
It is not known if Russia will accept the proposed 30-day ceasefire and enter into peace talks with Ukraine following three years of war between the countries.
U.S. President Donald Trump has threatened to increase sanctions on Russia to get that country to entertain steps aimed at ending the war.
Russia is the world’s third largest crude oil producer after the U.S. and Saudi Arabia, and its oil production and sales have been curtailed by sanctions imposed after it invaded Ukraine.
Crude oil prices spiked above $100 U.S. a barrel in the months after Russia’s incursion into Ukraine in early 2022.
