Russian fighter jet's shot down by Turkey drives oil prices up

Russian fighting jet was shot by Turkish military forces at the Turkish-Syrian border has worsened the tensions in Middle-East. As a result, the oil prices climbed sharply yesterday. Brent and WTI earned 3% each.

Brent rose to $46.5 per barrel and WTI to $43 per barrel. it would be more difficult with yesterday's incident for Russia and West to engage in joint military action against the IS terrorist military in Syria and Iraq.

Oil shipments could also be effected with the rise in tensions between Russia and Turkey, as per the US Energy Information Administration. As Turkey is a member of NATO, the worst case scenario might be a conflict between West Military Alliance and Russia.

Both Brent and WTI are shedding some of their gains again this morning after the API reported yesterday evening that US crude oil stocks had risen by 2.6 million barrels last week. 

"Stocks at Cushing increased by 1.9 million barrels. The US Department of Energy is also likely to report a further inventory build this afternoon. If this turns out to be similarly high to that reported by the API, crude oil stocks could exceed the record level they reached in the spring", says Commerzbank in a research note.