09:12 AM EDT, 08/07/2025 (MT Newswires) -- Oil prices rose off a two-month low early on Thursday following five losing sessions after U.S. President Donald Trump imposed secondary sanctions on India to discourage the country's purchases of Russian oil.

West Texas Intermediate crude for September delivery was last seen up US$0.35 to US$64.70, rising off the lowest since June 9, while October Brent oil was also up US$0.35 to US$67.24.

Trump on Wednesday said he will double tariffs on imports from India to 50% on Aug. 27 because the country continues to import oil from Russia, even as reports say the president will soon meet with Russian President Vladimir Putin to discuss a ceasefire in its war on Ukraine.

"The tariffs will cover over $87bln of Indian exports to the US and will go into effect within 21 days. Despite historically warm relations between President Trump and Prime Minister Modi, the action brings the total India tariff to 50%, which ranks amongst the highest rates placed on a country to date," Helima Croft, Head of Global Commodity Strategy and MENA Research at RBC Capital Markets, noted.

Strong summer demand is also supporting prices, as the Energy Information Administration on Wednesday said U.S. commercial oil inventories fell by a more than expected 3.0-million barrels last week while gasoline stocks fell by 1.3- million barrels.

However rising supply is checking gains after OPEC on the weekend agreed to end the return of 2.2-million barrels per day of production cuts with a final 548,000 bpd tranche of supply to market in September, even as the global economy slows amid U.S. tariff wars.