At present the price of a barrel of Brent crude oil has risen to US $ 98. This is the highest crude oil price recorded in seven years.
The escalating crude oil prices are due to the escalating crisis in Ukraine. Russian troops could invade Ukraine at any moment, and the growing war in the region is affecting the international crude oil market.
Russia’s decision to recognize two provinces that have declared secession from Ukraine as independent governing bodies could lead to the imposition of international sanctions on Russia. As a result, there is a risk of further rise in crude oil prices.
Russia is the second-largest producer of crude oil after Saudi Arabia. As a result, Russia’s potential impact on the international crude oil market is huge.