Oil prices rise after EU bans most Russian oil imports

A land drilling oil rig, manufactured by Megha Engineering and Infrastructures Ltd. (MEIL) and operated by Oil and Natural Gas Corp., during a media tour in Bhimavaram, Andhra Pradesh, India, on Tuesday, March 8, 2022. MEIL has supplied 10 land drilling oil rigs to ONGC, with three already in operation, according to a company statement. Photographer: Sumit Dayal/Bloomberg

Oil prices rose in early Asian trade on Tuesday after European Union leaders said they had agreed to cut 90% of oil imports from Russia by the end of this year.

Brent crude futures for July, which will expire on Tuesday, gained 63 cents to $122.30 a barrel at 0012 GMT.

U.S. West Texas Intermediate (WTI) crude futures were trading at $117.65 a barrel, up $2.58 from Friday's close. There was no settlement on Monday due to a U.S. public holiday.

The ban on Russian oil is expected to tighten a global crude market which has already been facing supply constraints amid post-pandemic demand recovery.