Oil prices hit decade highs as US considers Russian import ban

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Oil prices surged to their highest stage in additional than a decade on Monday as the Biden administration mulls a possible ban on Russian imports in response to the invasion of Ukraine – a transfer that might additional upend the worldwide power market.

Brent crude oil touched almost $140 per barrel in a single day as the market reacted to the potential for a ban. The international worth benchmark was buying and selling at roughly $125 as of early Monday morning.

West Texas Intermediate crude oil, the US benchmark, was buying and selling at $121 after briefly topping $130 on Sunday evening. Prices reached their highest stage since 2008.

The escalating power disaster is spooking buyers on Wall Street, sending US stock futures down sharply forward of the opening bell on Monday. Dow futures plunged greater than 200 factors, whereas futures tied to the S&P 500 and the Nasdaq index have been every down about 1%.

The Russia-Ukraine battle can also be driving worth spikes for different commodities. Gold jumped 1% to almost $2,000 per ounce on Monday, whereas silver ticked about 0.5% greater to $25.94.

The nationwide common worth of US gasoline hit $4 per gallon.
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Meanwhile, the value of wheat jumped 7% to $1,294. Prices have jumped to report highs as the struggle interrupts shipments and prompts fears of a wheat scarcity in Europe.

US gasoline prices have risen in tandem with oil. The nationwide common worth of a gallon of gasoline surpassed $4 on Monday. At the present tempo, the nation is probably going simply days away from reaching a brand new report excessive, surpassing the outdated mark of $4.11 per gallon established in July 2008.

As The Post beforehand reported, analysts warned gasoline prices may attain $5 per gallon – and doubtlessly a lot greater – if there have been additional interruptions to Russian gasoline and oil exports.

So far, worldwide sanctions on the Russian financial system have largely excluded the power sector.
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The newest oil surge occurred at House Speaker Nancy Pelosi (D-Calif.) have been mulling a invoice that might enact additional financial penalties on the Kremlin in response to escalating violence in Ukraine. The laws would ban imports of Russian oil and power merchandise into the US, amongst different measures, based on Pelosi.

Secretary of State Tony Blinken additionally indicated the Biden administration was mulling an import ban. Previous sanctions concentrating on Russia have largely excluded the power sector.

“We are now talking to our European partners and allies to look in a coordinated way at the prospect of banning the import of Russian oil, while making sure that there’s still an appropriate supply of oil on world markets. That’s a very active discussion as we speak,” Blinken stated throughout a CNN look on Sunday.