Reduc (Duque de Caxias Refinery) has returned to full operation after the US government announced additional tariffs in Rio de Janeiro, Brazil on June 4, 2026.
Fabio Teixeira | Anadolu | Getty Images
Oil prices fell on Tuesday as investors weighed the possibility of more Russian energy entering global markets, while concerns over the conflict between Saudi Arabia and the Houthis limited losses.
brent crude oil futures It fell 1.48% to $105.05 per barrel. West Texas Intermediate Futures fell 1.57% to $92.27.
President Donald Trump on Monday defended his administration’s decision to temporarily ease restrictions on Russian diesel supplies, despite bipartisan criticism from U.S. lawmakers who warned the move could undermine sanctions imposed over Russia’s war in Ukraine.
Brent and WTI prices so far this year
In a post on Truth Social, President Trump said the European Union spent billions of dollars on Russian energy imports and insisted it made the right decision for Americans. The agreement will allow Russia to supply diesel to the U.S. and global markets for six months.
Goldman Sachs said additional Russian diesel supplies were unlikely to significantly ease pressure on global fuel prices, estimating that an increase of 800,000 tonnes, or about 6 million barrels, would reduce wholesale diesel prices in the U.S. Gulf Coast and Europe by just $1 to $2 per barrel.
In a note published on Monday, the bank highlighted that Russian refinery outages increased by 3 million barrels per day compared to the same period last year, limiting the Russian government’s ability to increase production.
The global diesel market remains under significant stress, with U.S. inventories down 14% year-on-year and China’s visible inventories down 11%, according to Goldman Sachs.
The bank said the shortage was due to global diesel production falling for seven straight months, with seaborne exports falling by 1.4 million barrels per day (20% year-on-year).
Yemen’s Iranian-backed Houthi militants attacked King Khalid International Airport in Saudi Arabia’s capital Riyadh on Saturday, killing 12 people and injuring more than 300.
—CNBC’s Kevin Breuninger contributed to this report.
