Oil prices rose after going down following the International Energy Agency (IEA) member countries agreement to release 60 million barrels of emergency reserves on top of a 180 million-barrel released by US to contain price rise caused by the Russia-Ukraine conflict. Analysts and traders feel that the oil stocks release is not enough to cover the supply shortage.

Brent crude futures climbed $1.48 or 1.5%, to $102.55 a barrel, while US West Texas Intermediate (WTI) crude futures rose $1.26, or 1.3%, to $97.49 a barrel. Both benchmarks plunged more than 5% and hit their lowest closing levels since March 16.

Meanwhile, gas prices in Europe are witnessing an upward trend as Russia wants payments to be made in roubles from the ‘hostile countries’, including United States, EU member states, Switzerland, Canada, Norway, South Korea, Japan and others.  EU Commission has asked countries to stick to original contracts.

Data from shipping sources have revealed that European buyers are increasing shipments of coal from across the globe to tackle tight gas supplies against a backdrop of a proposed EU ban on Russian imports.

In the UAE, The Central Bank has set 2022 real oil GDP forecast to grow 5% attributable to strong gains in the oil prices and improved oil output. Oil production increased by 9.3% year-on-year in Q4-2021.

The CBUAE has said that high oil and gas prices were beneficial for the UAE external position and budget revenue, although raising the cost of transportation, and putting pressure on domestic inflation.