New jump for crude with a background of tension in Eastern Europe

Crude prices jumped on Monday after decision of Russian President Vladimir Putin to recognize as independent the so-called “Donetsk and Luhansk People’s Republics”, provoking a strong reaction from the West.

The WTI is climbing close to $ 94 a barrel, while Brent is approaching $ 96 a barrel in the wake of the Russian president’s statements recognizing Donbass’s independence.

“The concern is that if tensions in Eastern Europe escalate further, then part of the supply may be deliberately removed from the market or influenced by political decisions,” he said, adding that it would have an impact not only on energy but also on other commodities. Giovanni Staunovo, analyst at UBS Group AG, as reported by Bloomberg.

Oil gained momentum on Monday after Saudi Aramco said it was seeing signs of boosting demand, particularly in Asia. At the same time, the CEO of Vitol Group, the world’s largest independent oil trader, told Bloomberg Television that prices could exceed $ 100 for a significant period.

Meanwhile, the largest oil producers in OPEC + reportedly want the Agency to implement the same strategy of increasing production by 400,000 barrels per day in the market for April, despite calls from the US and other countries for higher production, according to with Bloomberg.

The WTI for March delivery gained $ 2.79 to $ 93.86 a barrel on the New York Mercantile Exchange. The contract expires on Tuesday. The most active contract of April gains 2.9%.

Brent crude for April delivery rose $ 1.85 to $ 95.39 a barrel on the ICE Futures exchange.

The gas contract fell by 1.6% to 72.56 euros per megawatt hour.