SULAIMANI (ESTA) — Oil prices rose on Tuesday as the United States and Europe planned new sanctions to punish Russia over alleged war crimes in Ukraine.
Brent crude was up 56 cents to $108.1 a barrel at 1027 GMT. U.S. West Texas Intermediate was up 71 cents at $104.
“With the European Union working on new sanctions that may target Russia’s oil industry, crude prices could edge up in the near term,” Reuters quoted FXTM analyst Lukman Otunuga as saying.
The West is planning new sanctions against Russia over civilian killings in Ukraine, with U.S President Joe Biden’s national security adviser saying that new U.S. sanctions against Moscow would be announced this week.
There were mounting expectations that Europe would take action to reduce transactions with Russia’s energy sector, further squeezing supplies, OANDA senior analyst Jeffrey Halley said, according to Reuters.
Ole Hansen, head of commodity strategy at Saxo Bank, expects oil prices to trade between $90 and $120 a barrel during the second quarter.
