Oil falls 5% as fear among investors over Russian supply disruption eases

Oil slid over 5% on Wednesday, pulling back from a rally to peaks not seen in more than a decade, as some investors’ fears over a disruption in Russian supplies eased and the head of the International Energy Agency said the agency could further tap oil stocks.

The market has rallied over 30%, with global benchmark Brent hitting a 2008 high at $139 a barrel, since Russia, the world’s second-largest crude exporter, invaded Ukraine on Feb, 24, and the world retaliated with financial sanctions, and this week, bans on oil imports.

Brent crude was down $5.26, or 4.1%, to $122.72 a barrel at 11:25 a.m. EST (1625 GMT), after earlier falling as low as $120.04. U.S. West Texas Intermediate (WTI) fell $4.64, or 3.8%, to $119.06 a barrel.