Oil Prices Experience Surge Due to U.S. Sanctions Against Russia
Oil prices rallied for a third consecutive day, with Brent crude surpassing $81 per barrel for the first time in four months. This surge is driven by U.S. sanctions intended to disrupt Russian crude exports to significant buyers, including China and India.
**Market Performance**: Brent crude futures rose by $1.47 (1.84%) to $81.23 per barrel, marking the highest rate since late August. Meanwhile, WTI crude increased by $1.55 (2.02%) to $78.12, the highest since October. Since early January, both benchmarks have risen over 6% due to fears of restricted Russian oil flow.
These sanctions target primary Russian oil producers and vessels, aiming to cripple revenue streams amid ongoing geopolitical tensions. The disruption in supply chains could deter Russian exports significantly, emphasizing the energy market’s high sensitivity to geopolitical developments. Investors should closely monitor how these sanctions will affect oil pricing in the coming weeks.