Jakarta, CNBC Indonesia – World oil prices moved up in trading this week. Thus, the price of the black gold managed to record a two-week increase in a row.
Throughout this week, the price of Brent crude rose 2.79% point-to-point. Continuing the previous week’s positive trend, which was up 2.52%.
Meanwhile, the light sweet or West Texas Intermediate (WTI) price shot up 4.85% this week. The previous week, prices rose 2.57%.
The increase in oil prices occurred due to investor response to the planned EU sanctions against Russia. Since February 24, Russia has been waging attacks on Ukraine, what the Kremlin calls special operations.
As a result of the attack, the country led by President Vladimir Putin was subject to various sanctions from Western countries. The United States (US) has ‘prohibited’ oil imports from Russia, and the European Union is likely to take a similar policy,
The European Union will gradually reduce its dependence on oil from the Red Bear Country. Currently, the countries of the Blue Continent import about 3.5 million barrels/day of oil from Russia.
However, it will not be easy to find new oil supplies to replace Russia’s position. The current supply will increasingly become a bone of contention because it is targeted by more countries. So it is not surprising that prices are moving up.
“Supplies are already so tight. So when there is a ban on imports (of oil from Russia), there will be many questions about how Europe can meet their needs,” said Phil Flynn, Senior Analyst at Price Futures Group, as quoted by Reuters.
CNBC INDONESIA RESEARCH TEAM
(aji/aji)
–
