Oil Prices Jump by 5%, Reaches $100 after attack on Ukraine
Oil prices have jumped by more than 5% after Russia’s military attack on Ukraine.
Oil prices have jumped by more than 5% after Russia’s military attack on Ukraine. On Thursday, U.S. crude futures surged 5.37% to trade at $97.05 per barrel. Brent crude futures were raised by 5.78% at $102.44 per barrel, crossing the $100 level for the first time since 2014. On the other hand, natural gas prices have increased by 6.49%. Spot gold price has climbed by 1.81% last trading at $1,942.01.
The Russian Attack
On Thursday, Russian President Vladimir Putin launched at attack on Ukraine said that after months of military buildup along the border they both share.
As reported by NBC news agency, explosions were heard in Ukraine’s capital of Kyiv.
Matthew Smith, lead oil analyst for the Americas at Kpler said, “We’re not likely to see the supply side of things interrupted, even though everything else is escalating."
Ellen Wald, president of Transversal Consulting said, “Will they sanction Russian oil or gas? Because this would mean significant pain for even U.S. consumers. The United States does import Russian oil. In fact, there’s oil headed to the U.S. as we speak."
“Now that we’ve actually got this military operation happening on the ground, you have the prospect of physical inability to shift oil out of certain areas, particularly the Black Sea. So, I think we’re now seeing that factoring into prices as well,” she said.
