Oil at $73, Cold Snap in Russia & More Today
Brent crude prices have dropped to $73.75, reducing the country's export revenues. While the European part of Russia remains in a zone of abnormal cold, military clashes have broken out in the Middle East near a key fuel supply route.
Brent crude prices (the benchmark grade) fell to $73.75 per barrel, returning to levels seen at the beginning of the year. This reduces foreign currency inflows to the budget, which government spending and economic stability depend on. The decline in raw material costs is occurring against a backdrop of concerns over global demand, despite attempts by exporting countries to support the market.
Economic risks are intensifying due to the conflict in the Strait of Hormuz—a strategic waterway between Iran and Oman through which approximately 20% of the world's oil passes. According to media reports, the U.S. military attacked Iranian facilities in the area, and in response, Iranian authorities began forcibly turning tankers around. Any disruptions to this route could lead to a sharp fuel shortage and rising gasoline prices worldwide.
Meanwhile, the weather in Russia has split into two extremes: the European part of the country has fallen into a "cold trap," while extreme heat has set in across Siberia. At the same time, temperature records above +36–40 degrees Celsius are being recorded in Europe. Meteorologists warn that temperatures in Russia's central regions will remain significantly below normal, requiring residents to pay attention to their health and adjust their wardrobes.
In the news section of our app, read about the U.S. agreement with Israel and Lebanon, the asylum situation in the U.S., and Poland's statement regarding Ukraine's future in the European Union.