Escalation In Ukraine Pushes Brent Toward $108

Brent crude oil ticked up as tension in Ukraine grew.

The commodity traded at $107.50 at 6:20 GMT after reports that pro-Russian groups had seized government buildings in several eastern Ukrainian cities.

Over the weekend, Ukrainian officials announced that uprisings in eastern Ukraine were part of a larger Russian plan to create a disturbance and provide a reason to send in more troops and further dismantle the nation.

The White House issued another warning to Russia following the reports, asking the nation not to intervene.

However, CNBC reported that US Secretary of State John Kerry has accused Russian agents and special forces of sparking the uprisings over the weekend. US intelligence received evidence indicating that the protesters were being paid by outside forces, leading many to believe that the Russian government was behind the demonstrations.

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This new development ratcheted up tension between the West and Russia, leading investors to wonder what's in store for their relationship. Crude prices were elevated as investors wondered what consequences would follow Russia's involvement in Ukraine and Kerry's accusations.

Meanwhile, Libya began to restart some of its export terminals, but the nation is still operating well under its normal capacity. Despite the Libyan government's deal with rebel forces, some militia are still at the nation's Zueitina port and the groups also control several more of the nation's largest export terminals.

Geopolitical tension has outweighed economic data recently, but US inventory data due out Wednesday will also factor into crude prices. The Energy Information Administration is set to release US stockpile data, which investors will use to gain insight into the nation's demand outlook.