The International Energy Agency (IEA) has decided to withdraw 60 million barrels of oil from its reserves to curb the rise in oil prices.
The International Energy Agency (IEA) held an emergency meeting today to discuss how to bring oil prices back down after they rose above $100 per barrel.
- WTI crude futures rose $5.15, or 4.98%, to $108.56 a barrel.
- BRENT crude futures rose $5.20, or 4.89%, to $110.10 a barrel.
Investors are concerned that U.S. and Western sanctions against Russia will hurt energy exports to the market.
The IEA has 30 member states, with the United States draining about 30 million barrels of the total 60 million barrels.
The United States and the West have excluded some Russian banks from the SWIFT system, while the U.S. is freezing the assets of the Central Bank of Russia and prohibiting Americans from doing business with it.
Nord Stream 2 AG, which operates the Nord Stream 2 pipeline that can deliver natural gas from Russia to Germany, will file for bankruptcy following the previous U.S. sanctions, along with an announcement of the termination of employee contracts citing the cause of the U.S. sanctions.
The market is also watching tomorrow’s OPEC+ meeting, where the production policy for April will be determined. Attention will also be paid to the U.S. crude oil inventories published today by the American Petroleum Institute (API).
The Spot Market is Open
Wednesday, March 2, 2022