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Oil prices rise without progress in talks between Russia and Ukraine

Oil prices continued to rise on Friday at the end of a volatile third week, with little progress in the talks pace between Russia and Ukraine, which raised fears of tougher sanctions and prolonged oil supply disruptions.

Russian President Vladimir Putin, in stern speech Thursday, denounced “traitors and scum” in homeland who helped the West and said that the Russian people would spit on them like mosquitoes, increasing the tension in the market for the prolongation of the conflict.

Brent crude oil futures jumped $ 2.43, or 2.3 percent, to $ 109.07 a barrel by 01:41 GMT, after rising about 9 percent yesterday, Thursday, in largest percentage increase since mid-2020.

And US West Texas Intermediate crude futures were up $ 2.75, or 2.7%, to $ 105.73 a barrel, after an 8% jump yesterday.

But despite the recovery, the two benchmark contracts are starting to close the week with a drop of around 4%. Prices have fallen from a 14-year high nearly two weeks ago.

“I expect even more volatility. There is still a lot of uncertainty,” said Justin Smirk, Westpac’s chief economist in Sydney.

Volatility throughout the week was driven by a supply shortage caused by sanctions against Russia, stalled nuclear talks with Iran, dwindling oil stocks, and fears that demand would be hit by an increase. of coronavirus cases in China.

Analysts said Putin’s speech, comments from a Kremlin spokesman who claimed that a report indicating significant progress in the talks pace it was incorrect and US President Joe Biden who called his Russian counterpart a “war criminal” all Thursday led to a wave of purchases.

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