Oil prices edged lower on Thursday as expectations of a Ukraine-Russia ceasefire raised prospects of easing Western sanctions on Russian supply. However, trading remained thin due to the US Thanksgiving holiday. Brent crude fell 12 cents to $63.01 a barrel, while US West Texas Intermediate (WTI) slipped 5 cents to $58.60. Both benchmarks had risen around 1 per cent on Wednesday as investors weighed oversupply risks against potential progress in peace talks. US envoy Steve Witkoff is set to visit Moscow next week to discuss a plan to end the nearly four-year-old war, the deadliest in Europe since World War Two. However, a senior Russian diplomat said Moscow would make no major concessions. Analysts noted the market remains vulnerable. Priyanka Sachdeva, senior market analyst at Phillip Nova, said any serious progress in peace talks could release more Russian barrels into an already oversupplied market, keeping crude prices skewed to the downside. India's Russian oil imports are expected to reach a three-year low in December. Supporting crude prices, however, are expectations of a US Federal Reserve interest rate cut in December, which could boost demand. Kelvin Wong, senior market analyst at OANDA, forecast WTI to trade between $56.80 and $60.40 until year-end amid thin liquidity and limited market drivers. Attribution: Reuters
