WASHINGTON, D.C. – Due in part over concerns over Russia’s invasion of Ukraine, U.S. oil prices jumped drastically on Tuesday, rising by a whopping 10.8 percent; as a result, the price per barrel has hit over $106 for the first time since July 2014.
The price of West Texas Intermediate crude oil is currently $106.11, the first time oil prices have breached the $106 mark in seven years. The skyrocketing prices – which will quickly translate to increased gas costs at the pump – are putting pressure on the White House and leaders across the world to either increase their production of oil or utilize emergency oil reserves.
However, in response to the rapidly rising price of oil, the International Energy Agency (IEA) announced Tuesday they will be releasing 60 million barrels into the marketplace in an effort to counter shortages brought about by the war in Ukraine.
“The 31 Member Countries of the Governing Board of the International Energy Agency agreed to release 60 million barrels of oil from their emergency reserves to send a unified and strong message to global oil markets that there will be no shortfall in supplies as a result of Russia’s invasion of Ukraine,” the IEA said in a press release.
The statement also acknowledged that Russia “is the world’s third largest oil producer and the largest exporter. Its exports of about 5 million barrels a day of crude oil represent roughly 12 percent of global trade.”
A number of U.S. politicians are calling for the country to cease purchasing oil from Russia; in a tweet issued Tuesday, Senator Marco Rubio (R-FL) encouraged President Joe Biden to cease doing business with the country.
“Under Joe Biden the U.S. is producing about 1.2 million fewer barrels oil per day,” he said. “That is $100 million every day from your pocket to criminals like #Putin Tonight Biden should announce we are going to reverse this.”