Brent crude crossed $100 a barrel for the first time since 2014 on account of Russia’s statement that military action is imminent in Ukraine.
WTI jumped by 4.74% to trade at $96.47, while the global benchmark for oil – Brent crude – jumped by 4.56% to $101.26 per barrel as of 24 February.
The BBC reported that prices were pushed over $100 a barrel as Russian President Vladimir Putin announced Russia would carry out a “special military operation” in Ukraine.
Meanwhile, the prime minister of NATO member Latvia, and sources familiar with US intelligence, told CNN that Russian troops have moved into the eastern region of Ukraine that Russia has now recognised as “independent.”
Oil markets in focus
Commenting on the current developments, S&P Global Platts Analytics said: “Oil markets are understandably on edge due to Russia’s outsized market position and 2.7 million b/d of crude exports to Europe, but Platts Analytics still does not anticipate a notable supply curtailment from Western sanctions or Russia holding back large volumes.”
In addition, Vandana Hari, CEO of Vanda Insights, told Platts that $100 a barrel is just a landmark. “If Russia does mount a full-scale invasion, it will blow the roof off oil prices,” she noted
