Oil prices rose 5% after the United States imposed sanctions on major Russian suppliers in response to the war in eastern Europe. The move extended gains from the previous session and marked the Trump administration’s first action against Moscow.
Oil futures settled at $65.53 per barrel, while U.S. crude advanced to $61.49 per barrel.
American sanctions force refineries in China and India, major buyers of Russian oil, to seek alternative suppliers so as not to be affected by the Western banking system. This change should have a direct impact on global oil flows and international oil prices.
Furthermore, the US stated that it is prepared to take further measures if necessary and demanded that Moscow immediately agree to a ceasefire in Ukraine, reinforcing diplomatic and economic pressure on the Russian government.
