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Oil prices slipped on Friday, pausing a strong rally in the previous sessions, as doubts emerged over how strictly the Trump administration would enforce newly announced sanctions against Russia’s largest energy producers.

Brent crude futures settled 5 cents, or 0.1%, lower at $65.94 a barrel. 

West Texas Intermediate declined 29 cents, or 0.5%, to $61.50 a barrel. 

Both benchmarks had extended gains of more than 5% early in the session before reversing in late trade. Despite the modest drop, both contracts still finished the week over 7% higher, marking the strongest weekly performance since mid-June.

Market participants turned cautious as initial enthusiasm over the sanctions faded, with traders reassessing the likelihood of meaningful disruptions to global supply. The measures target Russia’s two largest oil producers, which together account for more than 5% of global output, potentially complicating near-term trade flows.

The OPEC signalled readiness to increase output if required to offset potential shortfalls, while the US reiterated that further actions remained on the table. In response, Russia dismissed the sanctions’ likely impact and emphasised its strategic importance in the global energy market.

Meanwhile, the EU formally adopted its 19th sanctions package, introducing a ban on Russian LNG imports and adding several Chinese refining and trading entities to its restricted list.

Attention now shifts to next week’s US–China summit, where both sides are expected to address long-standing trade frictions that could influence broader risk sentiment and near-term demand expectations.

Written by: Aiman Haikal