Crude Extends Gains

Oil prices extended gains on Wednesday amid simmering geopolitical tensions as Russia cut gas supplies to Bulgaria and Poland, while hopes of Chinese economic stimulus buoyed the demand outlook.
Brent crude futures rose 67 cents, or 0.6%, to $105.66 a barrel. US West Texas Intermediate crude futures gained 44 cents, or 0.4%, to $102.14 a barrel, Money.usnews.com reported.
Crude prices settled about 3% higher on Tuesday in volatile trade, as the market is torn between supply and demand concerns over Russian oil and gas disruption and a worsening global economic outlook.
"The market is increasingly volatile and event driven," said Howie Lee, an economist at Singapore's OCBC bank.
"Energy security across the world is getting more vulnerable and vulnerable security normally comes with a higher price tag."
Russian energy giant Gazprom said on Wednesday it has completely halted gas supplies to Bulgaria and Poland due to absence of payments from the countries in roubles for the fuel delivery, in a major escalation of Russia's broader row with the West over its invasion of Ukraine, which Moscow calls a "military operation".
The row sent NYMEX ultra-low-sulfur diesel futures up more than 9% on Tuesday to settle at $4.47 a gallon, a record close.