The U.S. administration said on the 6th (local time) that it could further ease sanctions on Russian crude oil.
U.S. Treasury Secretary Scott Bessent said in an interview with Fox Business that day, after mentioning a recent step allowing India to buy Russian crude oil, "We could also lift sanctions on other Russian crude oil."
Earlier, the U.S. Treasury issued a general license allowing Indian corporations to purchase Russian crude oil and petroleum products. The step applies to crude oil and petroleum products loaded onto tankers and at sea before Mar. 5 and is valid only temporarily for 30 days through Apr. 4.
Minister Bessent said, "The Treasury agreed to allow our allies in India to begin purchasing Russian crude oil already at sea," describing it as intended to ease a temporary global supply disruption of crude oil.
He added that, because of sanctions by the international community including the United States, Russian crude oil currently lingering at sea amounts to hundreds of millions of barrels, and said, "The Treasury can essentially lift those sanctions to create supply."
The U.S. government took this step because international oil prices have been surging since the United States and Israel launched a large-scale military operation against Iran on the 28th of last month. With passage through the Strait of Hormuz—used by about 20% of the world's energy volumes—effectively blocked, and on news of production cuts by Middle Eastern countries such as Kuwait, supply fears are feeding a sharp rise in prices.
On the New York Mercantile Exchange that day, West Texas Intermediate (WTI) for April delivery settled at $90.90 a Barrel, up 12.21% per barrel. May delivery Brent futures, the global oil benchmark, also settled at $92.69 per barrel on the ICE Futures exchange in London, up 8.52%.