NEW YORK – Oil prices witnessed a sharp increase in anxious trading on Monday as they reached to highest since 2008 as US and Europe are considering ban on Russian products following its military operation in Ukraine.
Furthermore, the delay in talks for supply of Iranian oil in the international market also triggered frenetic trading in the international market.
Brent crude – the global oil benchmark – crossed $139 per barrel level, before settling at around $130, witnessing an increase of $9.95. It is the highest per barrel price since 2008 when Brent soared to $147.50.
On Sunday, US Secretary of State Antony Blinken said the US and its ally countries were discussing a ban on Russian oil supplies with other countries.
Later, US House of Representatives Speaker Nancy Pelosi said that a legislation was being explored to impose a ban on import of oil from Russia.
“The House is currently exploring strong legislation that will further isolate Russia from the global economy,” BBC cited Pelosi’s letter as stating.
The comments from the key US officials comes as pressure is being built up on White House and other Western countries to take stern action against Russia for attacking its neighbouring country.
Efforts are underway to revive Iran’s 2015 nuclear deal with world powers, so Tehran could release crude oil for stability in the international market.
However, uncertainty still hovers over its revival as Russia has sought a guarantee from the US that sanctions I facer following the Ukraine invasion will have nothing to do with trade with Tehran.
Responding to Russian demand, Blinken said that the sanctions slapped on Russian after Ukraine attack will not affect the potential nuclear deal with Iran.
Oil prices soar to 105, global stocks tumble after Russia attacks Ukraine
