Global oil prices experienced a 2% decline on Tuesday, marking a third consecutive day of losses as market participants assessed the implications of U.S. sanctions on Russia’s major oil firms and potential output adjustments by OPEC+. Brent crude futures fell by $1.36 (2.1%) to $64.26 per barrel, while U.S. West Texas Intermediate (WTI) crude dropped $1.29 (2%) to $60.02. The downturn follows last week’s significant gains, driven by U.S. President Donald Trump’s decision to impose Ukraine-related sanctions on Russia’s Lukoil and Rosneft, two of the country’s largest oil producers. However, Germany’s economy minister revealed that Rosneft’s German operations would be exempt from sanctions, easing immediate supply concerns. Phil Flynn, senior analyst at Price Futures Group, noted that the waiver introduced uncertainty, reducing fears of a dramatic supply squeeze. Meanwhile, Lukoil announced plans to sell its international assets, marking a significant response to Western sanctions. Indian refiners have paused new orders for Russian oil, awaiting clarity from the government and suppliers. OPEC+ is reportedly considering a modest output increase in December, raising questions about the group’s spare capacity. Saudi Aramco’s CEO highlighted robust crude demand, particularly from China, while analysts suggested that rising OPEC+ output could offset potential Russian supply disruptions. Investors are also monitoring potential U.S.-China trade developments, with Trump and Chinese President Xi Jinping set to meet in South Korea later this week.