Crude oil futures closed higher on Tuesday (April 12) after OPEC warned of risks to oil supplies if Russian oil sanctions were fully imposed.
- WTI crude futures rose $6.31, or 6.7%, at $100.60 a barrel.
- BRENT crude futures rose $6.16, or 6.3%, at $104.64 a barrel.
OPEC Secretary-General Mohammad Barkindo warned Monday at a meeting between European Union (EU) and OPEC officials that OPEC will not be able to make up for the 7 million barrels per day lost due to oil sanctions imposed on Russia.
Barkindo expects oil prices to be driven mainly by current political factors rather than fundamentals.
The EU remains divided over sanctions against Russian crude oil imports. However, some foreign ministers said that such alternatives are still being considered.
Investors are focused on the weekly release of U.S. crude oil inventories by the Energy Information Administration (EIA), which will be released today (April 13). Analysts expect U.S. crude oil inventories to increase by 300,000 barrels for the week ending April 8.
The Spot Market is Open
Wednesday, April 13, 2022