Brent Crude Surges 3% Nearing $110: What Is Causing Oil Prices to Rise Again?

TradingKey - On October 16 ET, crude oil prices surged again, with Brent crude (UKOIL) approaching $110, up over 3.3% intraday; WTI crude (USOIL) approaching $99, up over 2% intraday.

It is reported that Representative Gregory W. Meeks, Ranking Member of the House Foreign Affairs Committee, today introduced a bipartisan bill, the "No Corrupt Russian Oil Deals Act," aimed at stopping what he called a corrupt deal struck between Trump and Putin to purchase and import Russian diesel.

Brent crude oil price daily chart, Source: TradingView

Specifically, the bill seeks to prohibit the U.S. International Development Finance Corporation from investing in Russia's energy sector, revoke general licenses issued by the Office of Foreign Assets Control (OFAC) of the U.S. Department of the Treasury and prohibit future issuances of related licenses, while requiring the Trump administration to impose sanctions on Russia's energy sector.

Meeks stated, "This deal will not lower the cost of living for Americans, who are already paying the price for Trump's self-inflicted, failed war in Iran. Instead, it will provide millions of dollars to Putin." Meeks added, "At a time when the United States should be stepping up pressure on the Kremlin, Trump is cozying up to Putin to make self-serving deals instead of standing with Ukraine. This goes against everything America stands for. Congress must act. Every member of Congress who claims to be outraged by this should support the passage of this bill."