"A strike against sanctions": the price of russian oil has risen above the $60 per barrel "ceiling" for the first time

On July 12, the price of russian Urals oil rose above the $60 per barrel ceiling agreed by the Group of Seven (G7) countries at the end of last year for the first time.

Source. Bloomberg writes about this, calling it a blow to the West's sanctions policy and a likely victory for russia in the economic confrontation.

The publication notes that moscow is likely to have to further increase discounts on its oil.

The $60 per barrel limit was intended to stop the transportation of russian oil by Western ships and insurance of such transportation by Western companies if it is sold for more than the ceiling.

According to Bloomberg, citing data from Argus Media, the day before, the price of Urals crude oil shipped from the port of Novorossiysk rose to $60.78 per barrel. This indicates the successful actions of moscow, which has assembled a fairly large "shadow fleet" to transport oil without the need for the services of companies from the G7 countries, the newspaper writes.

However, some buyers, especially India, see this as a threat to themselves.

"Indian banks have been very cautious in recent months for fear of being hit by secondary sanctions and have been requiring refineries to prove that the price on a free-on-board basis was below $60 to make payments," Vanda Hari, founder of Vanda Insights, told Bloomberg.

To retain Asian buyers, russia will likely have to offer higher discounts, the expert suggested. Or resellers will have to cut their profits, she added.

According to Argus, cited by The Wall Street Journal, on the evening of July 12, the price of Urals fell to $59.98 per barrel.