West Texas Intermediate surged toward US$87 a barrel, adding as much as 3.2 per cent. Russia will take necessary steps to defend its sovereignty and will defend territory with all available means, Putin said as he announced a partial mobilization of the country’s population.
The growing tension comes ahead of a decision by the Federal Reserve on monetary policy later on Wednesday. The central bank is expected to raise interest rates by 75 basis points, and put numbers on the “pain” it’s been warning of when it publishes new economic projections. Crude is on track for its first quarterly loss in more than two years as concerns over a global economic slowdown weigh on the outlook for energy demand. The Fed decision will be followed by other central banks from Europe to Asia, which are also expected to increase borrowing costs.Brent for November settlement gained 3 per cent to US$93.33 a barrel.