Oil Hits 7-Yr Highs, Fueled By Russia's Troop Buildup Near Ukraine

• Oil prices rose on Monday to their highest in more than seven years as fears grew that Russia could attack Ukraine in the near future. Brent crude rose 55 cents to $94.99 a barrel, after touching its highest since October 2014 at $96.16. U.S. West Texas Intermediate (WTI) crude rose 85 cents to $93.95 a barrel, after hitting $94.94, the loftiest since September 2014. 
• Comments from the United States about an imminent attack by Russia on Ukraine have rattled global financial markets. Russia could invade Ukraine at any time and might create a surprise pretext for an attack, the United States said on Sunday. The nation has amassed thousands of troops near Ukraine's borders, but Moscow denies it plans to invade and has accused the West of hysteria. 
• The oil market cooled briefly after Ukrainian Ambassador Vadym Prystaiko said Ukraine was prepared to make some concessions to Russia. However, prices resumed their upward momentum soon after. 
• Russia is one of the largest crude oil producers, with a capacity of about 11.2Mn barrels per day, any disruption of oil flows from the region would send Brent and WTI prices skyrocketing higher far above $100, in a market struggling to supply the increased demand for crude as economies recover from the pandemic.

(Source: Reuters)