Crude oil futures fell more than 12% on Wednesday (March 9) after the United Arab Emirates (UAE) said it would support the market with higher oil production to ease supply shortages. Russia is facing international sanctions following its military incursion into Ukraine.
- WTI crude futures were down $15, or 12.1% at $108.70 a barrel.
- BRENT crude futures were down $16.84, or 13.2%, at $111.14 a barrel.
Crude oil futures fell after the United Arab Emirates ambassador to the U.S., Youssf Al Otaiba, said the UAE would support higher oil production and urge OPEC members to consider increasing oil output.
U.S. Energy Secretary Jennifer Granholm called on the world’s oil-producing countries to increase production, saying, “I hope your investors are saying these words to you as well: In this moment of crisis, we need more supply […] right now, we need oil and gas production to rise to meet current demand,”
In addition, the International Energy Agency (IEA) announced its readiness to release more oil if needed, which so far has amounted to 60 million barrels.
The EIA reported a 1.9 million barrel decline in U.S. crude oil inventories last week.
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Thursday, March 10, 2022