Brent crude futures:erased gains to trade below $126 per barrel on Wednesday, as investors try to assess the impact of recent sanctions in the oil market.
The benchmark Brent crude has gained more than 30% since Russia invaded Ukraine and hit its highest since 2008 at above $139 this week amid fears of further supply disruptions and escalating sanctions, exacerbated by uncertainties about the possible return of Iranian crude to global markets.
The US imposed an immediate ban on Russian oil and other energy imports and Britain said it would phase out Russian oil imports through the end of 2022. Moreover, private oil companies including BP and Shell said they were stepping back further from doing business with Russia, with Shell immediately halting all purchases of Russian crude and shutting its service stations in the country.
