London, (Business News Report)|| Oil prices ended the week higher as supplies were disrupted and the Russian war in Ukraine continued.
Oil prices rose upon settlement by 3.12% upon settlement, as Brent crude futures rose by about $3.34 a barrel, or 3.05%, to reach at settlement $112.67.
Meanwhile, US crude futures increased $3.31, or 3.12%, to settle at $109.33, according to Reuters.
Oil prices rose after the Russia-Ukraine war and reached their highest levels since 2008, but fell slightly this week in the hope that some producing countries will increase supply. But concerns about an escalation of the Russian oil embargo persisted and are in focus again today.
Brent crude is on track for a weekly decline, after hitting $139.13 on Monday. US crude is heading for a weekly decline as well, after touching a high of $130.50 on Monday. The last time the two decades saw such levels was in 2008.
The shock of the current price hike brought back memories of the Arab stance in support of Egypt during the October 1973 war to retrieve Sinai from Israel.
In December 1973, a photojournalist caught a two-horse-drawn Volkswagen after the Arab oil cut from Europe, and gas stations hung signs bearing “sorry no gas.”
Today, different and similar scenes are present in the United States of America and some European countries that have been devastated by the shock of oil prices on the impact of the Russian-Ukrainian war.
In a related context, President Vladimir Putin said in a speech to a government meeting that Russia will continue to fulfill its contractual obligations on energy supplies.
Russia is a major energy producer that supplies Europe with a third of gas and 7% of the world’s oil.
However, oil from the world’s second largest oil exporter is being avoided due to its invasion of Ukraine.
Amid uncertainty about the source of alternative supplies, comments from UAE officials have sent mixed signals, adding to the volatility.
Meanwhile, the World Bank warned of the repercussions of the continued rise in oil prices on crude-importing countries, in light of the continuing Russian invasion of Ukraine.