Crude oil declined, settling below $66 per barrel, as investors turned their attention to the face-to-face talks between Trump and Putin. This meeting could potentially reshape the flow of crude oil from Russia, a major oil-producing nation.

Putin ramped up his charm offensive, praising Trump's efforts to help end the war in Ukraine. The U.S. president downplayed expectations of a breakthrough in the conflict, which has lasted over three years, stating there was a 25% chance the summit could fail.

Russia is the world's second-largest crude oil exporter, trailing only Saudi Arabia.

"We assess that tonight's meeting is unlikely to yield major results," said Arne Lohmann Rasmussen, chief analyst at A/S Global Risk Management. "In the short term, the U.S. is unlikely to impose new sanctions; unless talks collapse, the possibility of sanctions being eased cannot be ruled out."

Oil prices have fallen by around 10% this year due to market concerns over the impact of Trump's trade policies on crude demand and OPEC+'s rapid production recovery. Expectations of a record supply glut by 2026 have also weighed on prices.

WTI crude fell 1.8%, settling at $62.80 per barrel.

Brent crude settled 1.5% lower at $65.85 per barrel.