Oil markets saw sharp gains early Monday, with benchmark futures rising to fresh highs on worries of military confrontations between Ukraine and Russia.
Tension in Ukraine is building up with the start of this week, after Russian President Vladimir Putin declared he had the right to invade his neighbor, while he secured permission from his parliament on Saturday to use military force to protect Russian citizens in Ukraine and told U.S. President Barack Obama he had the right to defend Russian interest and nationals.
As of 03:01 a.m. ET:
- WTI crude for April delivery was up 1.65% at $104.26 a barrel, after hitting session high at $104.65 early in the day.
- Brent Crude was up 2.05% at $111.10 a barrel, after setting the highest level at $111.24 today.
Prices were sharply boosted by ongoing threat of war in Ukraine amid fears of gas supply disruption.
- NYMEX natural gas rose 1.87% to $4.695 per million British thermal units
Ukraine's interim head of the government has demanded Russia withdraw its troops from Crimea, and has called in its reservists. But, the new government's room for action is limited and Ukraine's military probably doesn't stand much of a chance against Russia.
Markets are tumbling following the Ukrainian tumroil, as stocks took a beating and high-yielding currecies were also hammered. The Russain Ruble fell to a record-low agaisnt the dollar on concerns of sanction agaisnt Russai after Putin's move on Saturday.
Russia's Central Bank lifted its benchmark interest rate to 7% -- a move that followed the sharp rout in its stock markets and Russain currency.