Oil hits 7-yr highs as Ukraine fears Russian attack imminent | Reuters

Oil hits 7-yr highs as Ukraine fears Russian attack imminent | Reuters

Oil prices surged on Monday over 2% to their highest in more than seven years as Ukraine's President said he had heard that Russia could invade the country on Wednesday.

Russia is one of the world's largest oil-and-gas producers, and fears that it could invade Ukraine have driven the rally in oil closer to the $100-per-barrel mark.

"The market remains hyper-sensitive to the developments over the Russian/Ukraine situation," said John Kilduff, partner at Again Capital in New York. "This is now intensifying to a terrific degree. Right now, it's buy now, ask later."

Brent crude rose $2.04, or 2.2%, to settle at $96.48 a barrel, after touching its highest since September 2014 at $96.78.

U.S. West Texas Intermediate (WTI) crude rose $2.36, or 2.5%, to settle at $95.46 a barrel, after hitting $95.82, the loftiest since September 2014.

Ukraine's President Volodymyr Zelenskiy said he had heard that Wednesday could be the day of a Russian invasion. read more