European Energy Prices Jump as EU Proposes Banning Russian Oil

  • Natural gas, power and coal prices increase by more than 4%
  • UBS sees more interruptions of Russian gas flows to Europe
WATCH: Von der Leyen says the EU plans to ban Russian crude oil and cut off Sberbank from SWIFT.Source: Bloomberg
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European energy prices gained after the European Union proposed to phase out Russian oil this year, a move that could boost demand for natural gas and coal.

Gas, electricity and coal prices jumped more than 4%, extending Tuesday’s gains. Europe relies on Russia for about 25% of its oil and about a third of its gas needs. The proposed sanctions, which also include cutting off more banks from the international SWIFT payment system, add to concern about energy supplies just a week after Gazprom PJSC halted gas shipments to Poland and Bulgaria due to a dispute over payment terms.