Oil Prices Soars To More Than 6% As Russia Attacked On Ukraine For The First Time Since 2014 

Oil Prices Soars To More Than 6% As Russia Attacked On Ukraine For The First Time Since 2014

Due to the military attack of Russia and Ukraine, the oil prices jumped to 6%. On Thursday, U.S. crude futures flowed 5.4% to trade at USD 97.04 per barrel.

In 2014, Brent crude futures were up 5.66% at USD 102.32 per barrel.

Natural gas prices are raised to 4.85%. The prices will be increased if the tension between Russia and Ukraine remains constant.

Russia has the highest gas reserves all over the world. Russia and Europe are interconnected partners if the concern is energy. 

Both depend on each other in oil trading. In 2012,  EU-Russia trade was being framed under WTO.

In the report given to CBC on Thursday, it is expected that the U.S. and the West will probably not impose sanctions, especially on energy.

“We’re not likely to see the supply side of things interrupted, even though everything else is escalating,” he added.

Ellen Wald said, who is the president of Transversal Consulting, that it is ambiguous to say whether Biden will impose sanctions or not.

Wald told, The United States imports Russian oil. Moreover, many banks had started to predict USD 100 oil was coming before the Russian Ukraine crisis.

JP Morgan said if the escalation of both countries remains constant, it will possibly trigger Western sanctions on Russia’s oil, accounting for 12 percent. The oil price could even flow to USD 150 per barrel.

Previously, the United Nations Security Council held a meeting in New York and pleaded with Russian President Vladimir Putin not to attack Ukraine.

But now, the countries will need to face the sanction by the UN and America.

However, an increase in the price of oil by the recent Ukrain Russia crisis will adversely affect other country’s economies and oil trade prices.