Gas Prices Set to Skyrocket After Oil Soars Beyond $100 Per Barrel
(by Thomas Catenacci | The Daily Caller) – The worldwide price of crude oil skyrocketed to more than $100 per barrel for the first time since 2014 as Russia launched a full-scale offensive against Ukraine.
The Brent crude index, the global oil benchmark, hit $101.66 per barrel Thursday morning, surging more than 4% overnight. The U.S. WTI index skyrocketed nearly 7% to $98.69 per barrel Thursday, its highest level since 2014.
On Wednesday evening, Russian President Vladimir Putin announced a “a special military operation” in separatist regions of Ukraine. The announcement was followed by reports of Russian troop movements near Ukraine and rockets being fired into several regions, including near the capital city of Kyiv.
“At this stage it is anything but clear what could bring the Russian president to his senses, therefore the situation, the equity and oil markets will remain volatile,” PVM Oil Associates senior analyst Tamas Varga said in a brief Thursday, CNBC reported.
“Even if prices drop back below $100/bbl due to abating tension in Eastern Europe, the retracement might prove short-lived and product tightness could keep oil prices at elevated levels in months to come,” Varga said.
Between January 2021 and November 2021, Russia exported the second-largest amount of oil to the U.S., behind only Canada. Russia is also a key player in the global oil market and is Europe’s largest supplier. Read Full Article >