US crude oil rises to 125 USD/barrel, the highest in 13 years as the West may ban Russian oil
The oil and gas terminal at the port of Odessa in Odessa, Ukraine, on Saturday, January 22, 2022.
Christopher Occhicone | Bloomberg | beautiful pictures
US crude rose more than 8% in early trading on Sunday evening as the market continued to react to supply disruptions stemming from Russia’s continued invasion of Ukraine and the possibility of Russia banning oil and gas. natural gas.
West Texas Intermediate crude futures contractthe US oil standard, traded 8% higher to above $125 a barrel, its highest level since mid-2008. At one point prices went as high as $130 a barrel.
international standards, Brent Crude Oiltraded 9% higher to $128.60, its highest price since 2008.
Again Capital’s John Kilduff said: “Oil is rising on the prospect of a total embargo on Russian oil and products. “The already high gasoline prices will continue to be jarring. Prices in some states will push up to $5 pretty quickly.”
US and its allies are considering banning imports of Russian oil and natural gas, Secretary of State Antony Blinken said in an interview with CNN’s “State of the Union” on Sunday.
“We are currently talking with our European partners and allies to jointly consider the prospect of banning Russian oil imports while ensuring that there is an adequate supply of oil across the globe,” he said. world markets”. “It was a very active discussion when we talked.”
While Western sanctions against Russia have so far allowed the country’s energy trade to continue, most buyers are avoiding Russian products. According to JPMorgan’s analysis, 66% of Russia’s oil is having difficulty finding buyers.
US average for a gallon of gas top $4 on Sunday, according to AAA, in a fast moving due to conflict. The base cost of oil accounts for more than 50% of the gas costs consumers place on their cars.
—With reporting by Pippa Stevens, Samantha Subin and Patti Domm.
