RE: BP...Onwards & Upwards22 Aug 2025 09:30
Oil.com
Commodity analysts from ING said in a note earlier today that “The less likely a ceasefire looks, the more likely the risk of tougher sanctions.” This would be bullish for oil in the near term, especially after the entry into effect of U.S. secondary tariffs on India for its continued purchases of Russian oil.
“If tariffs push India away from buying Russian oil, and Russia can’t divert this supply to other buyers, domestic producers would be forced to reduce supply,” ING’s Warren Patterson and Ewa Manthey wrote. “However, this is less of a concern if India continues with its Russian crude purchases.”
When President Trump first threatened India with secondary tariffs, the government in New Delhi took a defiant stance but Indian refiners did reduce their purchases of Russian oil temporarily. Now, Indian state refiners have returned to the spot market for purchases of Russian oil as discounts for Moscow’s crude grades deepened to as much as $3 per barrel.