Moscow (cn) – February 15, 2022. 15:33
Russia’s invasion of Ukraine will further “disrupt supplies” of crude oil
- The price of a barrel of oil reached $ 100, the highest level in 7 years
- The potential jump in oil prices depends on the type of sanctions that will be imposed on Russia in the event of an invasion
CNN Business reported that global stock markets may face a difficult road if they are invaded. Russia Ukraine
The Russian invasion of Ukraine could further “disrupt the supply” of crude oil, which could lead to higher prices, which have already reached their highest levels in seven years, close to $100 a barrel.
“The conflict between Russia and Ukraine is likely to push crude oil prices above $100 a barrel, sooner than expected,” said Naim Aslam, chief market analyst at AvaTrade, in a report released Monday.
“The potential jump in oil prices depends on the type of sanctions that the United States and its allies are likely to impose on Russia, if it actually invades its neighbor,” Aslam added.
Higher energy prices could “hurt consumers” and cause the Federal Reserve and other central banks to move more quickly
To raise interest rates to try to curb inflation, there are likely to be “bad repercussions” on the stock market as well.
Analysts of “Capital Economics” said in a report Monday that “the Russian invasion of Ukraine, or the tightening of sanctions against Russia” in the event of an invasion, could increase inflation by about two percentage points in developed markets, especially in Europe.
CFRA’s chief investment analyst, Sam Stovall, analyzed the market’s response to 24 “military and terrorist events” since World War II.