EU Considering Russian Oil Ban

This morning crude prices are up as the news of a potential ban of Russian oil by the EU makes its way through markets. Today WTI crude is at $109.05, with diesel at $3.7797 and gasoline at $3.3461. After recent events in eastern Europe, the European Union nations will decide in the coming days whether to join the United States in a complete Russian oil embargo.

In an attempt to further isolate Russia from the world, President Biden and EU nation leaders are set to meet this week to solidify their response to Ukraine. Ukraine’s deputy prime minister Iryna Vershchuk said there would be no surrender in the city of Mariupol, in turn putting more pressure on the EU to do something. The seaport, under siege since the beginning of the invasion, has a population of around 400,000 that are now in constant fear of being killed by Russian bombardments. It is expected that a decision will be reached soon, but the EU must tread carefully as they rely on Russia for almost 40% of their natural gas and 25% of their oil.

Oil prices are also up due to a Houthi attack on a Saudi energy terminal over the weekend. The Yemen Houthi group attacked a Saudi Aramco refinery joint that thankfully did not claim any lives but did leave a great deal of damage. The assault did halt the refinery’s production, but Aramco has said this attack would not hinder the impact on supply for its customers. The United Nations is trying to discuss a possible truce that could be considered during the Muslim holy month of Ramadan, starting in April. After years of groups waging a proxy war between Saudi Arabia and Iran, few expect this conflict will be settled anytime soon.