Skip to content
  • Oil
Oil rose after volatile trading marked by concerns about Russian supplies

Oil rose after volatile trading marked by concerns about Russian supplies

oil futures US WTI added 55 cents, or 0.7%, to $83.49. a barrel, after gaining more than $3 earlier in the day.

Russia on Thursday went ahead with its largest military draft since World War II, raising concerns that an escalation of the war in Ukraine could further damage energy supplies.

“It’s the bellicose rhetoric from (Russian President Vladimir) Putin) that is supporting this market,” said John Kilduff, a partner at Again Capital LLC in New York.

Supply constraints from the Organization of the Petroleum Exporting Countries (OPEC) fueled the trend, analysts said.

Meanwhile, the European Union is considering a cap on the price of oil, more restrictions on high-tech exports to Russia and more sanctions against its individuals, diplomats said, in response to criticism of the West as rise in Moscow war.

The European Securities and Markets Authority (ESMA) is also considering a temporary freeze on energy derivatives when prices rise.

On the macro side, the Bank of England raised its key interest rate by 50 basis points to 2.25%, saying it would continue to “respond strongly, as necessary” to inflation.

The BoJ rate hike was “smaller than markets had been calculating and defied some expectations that UK monetary authorities could be forced to take stronger action,” bank ING said.

Start investing your money in cryptocurrencies and get Free Bitcoin when you buy or sell 100$ or more if you register in Coinbase