Oil prices strengthened on Monday, climbing more than 1%, as traders reacted to renewed geopolitical risks and OPEC+’s decision to keep production targets unchanged through the first quarter of 2026. Brent settled at $63.17, up $0.79, while WTI finished at $59.32, up $0.77.
The market found support from a combination of fresh Ukrainian drone attacks on Russian-linked tankers in the Black Sea, temporary disruptions at the Caspian Pipeline Consortium’s Novorossiysk terminal, and concern that sanctions pressure on Russia could intensify if peace negotiations stall. The CPC incident briefly halted one mooring point, and although loadings later continued, traders viewed the strike as a reminder of how vulnerable Russian export infrastructure has become.
Analysts noted that the possibility of reduced Russian flows remains a major driver of sentiment. The latest attacks on tankers headed to Novorossiysk added to the nervousness, particularly after Ukraine stepped up operations in the Black Sea over the past week.
Prices were also supported by OPEC+’s decision to hold output steady next quarter, easing some concern about the pace at which the group has been restoring production. After several months in which the narrative centered on a looming supply glut, the decision helped stabilize expectations for early-2026 supply growth.
Additional geopolitical volatility came from Washington after President Trump declared Venezuelan airspace closed, injecting uncertainty around potential flight or shipping restrictions involving the OPEC member. While Venezuelan output remains relatively limited compared to Russia, the announcement added another layer of tension to an already sensitive market.
Despite Monday’s gains, crude futures are coming off their fourth consecutive monthly decline, pressured by expectations of rising global supply. Analysts said the combination of elevated geopolitical risk and OPEC+ restraint is helping offset those concerns—at least temporarily—heading into the final weeks of the year.