June 1, 2022 | Investopaper
The price of Brent crude oil crossed US $124 per barrel on Tuesday. Compared to the last week, the price of Brent oil has increased by $14. As of last Tuesday, the price of Brent crude oil stood at around $110. Similarly, the price of WTI crude oil has reached $120.
Russia’s military action in Ukraine has sparked dispute with the United States, which has pushed up crude oil prices in international markets.
Russia’s oil embargo has caused problems in the world’s supply chain. Following Russia’s invasion of Ukraine, European countries have imposed sanctions on various Russian products, including oil. The United States has warned India and other countries not to buy oil from Russia.
Russia is the third largest oil producer after the United States and Saudi Arabia. The European Union (EU) is planning to cut 90 percent of its oil imports from Russia.
Rising crude oil prices has also Nepal. The Indian Oil Corporation has been sending new oil price lists every 15 days. As the price of crude oil rises, so does the price list for Nepal. As petroleum products are the most imported commodity in Nepal, large sums of money will go out and affect the economy.