ABX:CC - EU Plans To Ban Russian Oil Could Wipe Out 1/3 Of EU's GDP

• Increasingly dangerous ideas are gaining traction in the Western World, as the financial sanctions on Russia seem to have a somewhat limited impact, with the ruble recovering above pre-war levels recently.
• Various forms of total sanctions on Russia's energy exports are now being floated, including an EU ban on Russian oil.
• Within the context of an already tight global commodities market situation, there is every chance that such a scheme will plunge the world into an unparalleled economic crisis.
• Russia's countermeasures, including potentially choking off oil flows from other countries risks an unprecedented oil price spike that will potentially do nothing to curb money flows to Russia, as the price will more than make up for lost volume.
• If the expected global market mechanism will not kick in to spread the effects of the oil shortfall from the EU to the rest of the world, the EU economy could shrink by as much as 1/3.

For further details see: