Russia has launched a full attack on Ukraine. Commodity markets reacted swiftly to the developments. Strategists at Danske Bank see clear upside risks to oil and gas prices.

Upside potential for some metal and wheat prices

“The market price a premium on broad commodity space due the risk that Russia will hit by sanctions which will affect its exports.”

“European natural gas prices spike back towards recent highs and Brent jumps above $100/bbl mark.”

“Wheat and aluminium prices have increased sharply today. We see the gas prices could surge to above EUR200 MWH if harsh sanctions are imposed on Russia.”