India is now staring at the possibility of an oil shock after the U.S. decided to implement sweeping sanctions on Russia's oil industry.

Oil-freight derivatives trading surged to the highest in at least a decade as the Biden administration’s sanctions on Russia continued to propel supertanker rates higher.

Russian seaborne oil exports may decrease in the coming weeks after the United States imposed sanctions on two of Russia’s largest exporters and about 160 tankers in the shadow fleet, Bloomberg reports.