BRICS Summit Calls for Restraint Amid Energy Crisis

The BRICS summit called for maximum restraint to address the energy crisis, which is reaching critical economic tipping points. Diplomacy was presented as the preferred path toward resolution rather than escalation, potentially supporting the latest pullback in crude oil prices.

WTI broke above its 7-month declining resistance near $94 and Brent rallied toward its 7-month declining resistance near $108. The Energy Select Sector SPDR Fund (XLE) broke above its 2008-2026 resistance, reflecting rising inflationary risks and transportation disruptions contributing to food-price inflation.

Indian Prime Minister Narendra Modi stated at the summit, 'We have to transform this pyramid of privilege into a platform of partnership.' This shift toward resolution could help limit pressure on global economic growth and reduce the risk of disruptions to oil exports, shipping routes, and energy flows through the Strait of Hormuz.