Russian Unrest Sparks Concerns, Oil Prices Affected

<p>&nbsp;Crude oil opened higher in the opening trade earlier in the week after an insurgency by Russian mercenaries sparked fears of political instability and its potential impact on oil prices.</p><p><br /></p><p>U.S. Brent and WTI crude futures each jumped 1.3% in early Asian session, before paring some gains to trade at $74 a barrel and $69 a barrel on Monday.</p><p><br /></p><p>On Saturday, President Vladimir Putin was threatened by the rebellion of the Wagner group led by Yevgeny Prigozhin against the Russian army.</p><p><br /></p><p>As one of the world's largest producers of oil, the uncertainty in Russia has fueled fears that production of the black commodity is the reason why prices opened higher today.</p><p><br /></p><p><br /></p><p>The advance of Wagner's group, which was feared to take control of Moscow and overthrow Putin, was halted after Prigozhin suddenly announced that the armed uprising was over.</p><p><br /></p><p>Both benchmarks fell about 3.6% last week following concerns that further interest rate hikes by the Federal Reserve (Fed) could reduce oil demand.</p><p><br /></p><p>This coupled with China's slow recovery forced the government and central bank to launch stimulus to support the growth of the world's second giant economy.</p>