Name: Oil prices rise as Russian embargo kicks in – BBC News
Uploaded: 2022-10-17T16:50:59.000Z
Duration: 4 min 23 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

the european union embargo on Russian oil exports by sea is coming into force.

The West is hoping to squeeze Moscow's ability to wage war in Ukraine.

But the measures have been greeted with disdain by the Kremlin.

A $60 a barrel cap on the price of Russian crude shipped elsewhere also takes effect today.

It was agreed on friday by the EU, the G seven group of wealthy nations and Australia.

But President Zelensky says the cap will not be viewed as a serious decision in Moscow here he is speaking on saturday, that is so sweet jim, it is quite comfortable for the budget of a terrorist state.

Russia has already caused colossal losses to all countries of the world by deliberately destabilizing the energy market and the world cannot dare to trigger its real energy disarmament.

This is a weak position and it's only a matter of time before stronger tools will have to be used.

Our news correspondent, Jessica Parker has the latest on how Kiev is taking the news and also the implications for Russia.

Kiev not remotely impressed, I think with that cap, to close to kind of the current prices that Russian oil has been trading around.

And I think it's important to say the intention here set by the G seven, the Eu Australia.

I dont think the intention is to stop Russian oil flowing into global markets of the fear if they did that if they set the cap too low is that you could then see a price spike affecting the global economy, but it is an attempt to limit Russia's revenues from oil.

Well, then that eats into the Kremlin's coffers and it's into their ability, in theory, to finance this war.

But as you've heard from President Zelensky there, and indeed some people within the Eu for example, Poland Baltic nations, they've been arguing for these lower caps because they think that really isn't going far enough.

I think it's interesting to note that it seems to be something that will be under discussion again and again, as they review this cap, depending on what happens on the oil markets.

But of course, as I say, the intention, the hope seems to be that it will cut into Russia's revenues one way or another.

Of course, they have other markets that they can go to, such as china for example.

But some analysts speculating, well, those countries still buying Russian oil, even if they're not signing up to the cap, they will have greater bargaining power because they can say along with that Eu embargo, partial embargo on Russian oil.

They can say, well, you can't sell your oil to large parts of europe.

And as well, there's this cap set as well by countries that have quite a large portion of the global shipping market.

So we'll have to wait and see how it plays out.

A lot of people saying at the moment, they can't quite tell, they can't quite know exactly what the impact will be.

But of course, it is a pretty big major intervention happening today and how would you put this then?

Just kind of in the larger picture, when we look at the war between Ukraine and Russia, um some talking about maybe even a decrease in activity in the coming months.

Officials and I don't know they're obviously making some of these decisions and looking forward into the winter, which can be the most difficult time.

Yes, so we've heard some rather contradictory suggestions actually over the last couple of days in terms of what might happen over the winter months.

Intelligence official saying over the weekend at the defense forum that her expectation was you could see the fighting slowed down over the winter and that both sides might look to prepare a kind of offensive campaign around the spring.

But then other Western analysts saying, well, no, actually what you might get instead is as the ground hardens, you get the kind of winter freeze, that's actually a more favorable condition, particularly for kind of tracked vehicles to cross terrain.

And certainly Ukrainian officials and people in the Ukrainian military pretty keen to suggest that they don't plan on staying any of course what Ukraine wants to show is that it still has momentum, of course not so long ago, it recaptured her son after the Russian retreat.

 And I think that Ukraine will want to send a message to those backing it as well in terms of money in terms of arms, that it is going to keep fighting and that it wants to keep securing victories thanks jess parker. 