While the G7 countries develop mechanisms to limit Russian energy, Moscow can afford to cut its daily crude oil production by five million barrels.
At the same time without causing excessive damage to their economy.
Analysts from JPMorgan Chase predicted that the price of oil could rise to $380 per barrel, writes Bloomberg.
Experts note that a three-million-barrel drop in daily supplies would push prices up to $190, while a worst-case scenario could cost five million barrels of fuel a “stratospheric” $380.
“The most obvious and likely risk of price caps is that Russia could retaliate by cutting exports. It is likely that the government may cut production to hurt the West. The density of the global oil market is on the side of Russia,” JPMorgan Sees notes.
As part of the G7 summit, which was held this week in Germany, the participants discussed, among other things, setting a ceiling price for Russian oil. Bloomberg reported that countries are planning to introduce a ceiling on the cost of insurance and transportation of fuel.
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