Oil prices drop on expectations of ceasefire in Ukraine unlocking Russian supply

Oil prices fell on Thursday on expectations of a Ukraine‑Russia ceasefire which could pave the way for the unwinding of Western sanctions against Russian supply, though trading was set to remain thin due to the US Thanksgiving holiday. Brent crude futures shed 21 cents, or 0.3%, to $62.92 a barrel as of 0108 GMT, while U.S. West Texas Intermediate crude futures dropped 21 cents, or 0.4%, to $58.44 a barrel. Both contracts settled about 1% higher on Wednesday as investors assessed oversupply risk and the prospect of a Russia-Ukraine peace deal. U.S. envoy Steve Witkoff is set to travel to Moscow next week with other senior U.S. officials for talks with Russian leaders on a possible plan to end the nearly four-year-old war in Ukraine, the deadliest in Europe since World War Two. Still, Russia will make no big concessions on a peace plan, a senior Russian diplomat said on Wednesday, after a leaked recording of a call involving Witkoff showed he had advised Moscow on how to pitch to U.S. President Donald Trump.