Oil and gas prices climbed on Tuesday on fears the Ukraine-Russia crisis will disrupt supplies across the world.
The price of Brent crude oil, an international benchmark, touched a seven-year high of more than $99 (£73) a barrel after President Vladimir Putin ordered troops into Ukraine’s east fueling the Ukraine-Russia crisis further.
But prices later moderated, despite Western countries responding with economic sanctions and moves to block a key Russian gas pipeline.
Shares also stemmed early losses.
After falling more than 1.5% in early trade on Tuesday, Wall Street turned up following remarks by US President Joe Biden outlining the US response. The Dow closed down 1.4%, however, while the wider S&P 500 slumped 1% and the Nasdaq fell 1.2%.
Earlier, Japan’s Nikkei 225 index closed 1.7% lower, and the Shanghai Composite fell nearly 1%, but share indexes in Europe and the UK ended roughly flat, with the FTSE 100 closing up 0.1%.
“The West at the moment is treading fairly carefully,” said Russ Mould, investment director at the brokers AJ Bell.
Russia is the second-largest oil exporter after Saudi Arabia and the world’s top producer of natural gas.
Measures forcing the country to supply less crude or natural gas would have “substantial implications” on oil prices and the global economy, said Sue Trinh of Manulife Investment Management.
