Russian oil giant Gazprom and Ukraine have settled their dispute over the continent’s natural gas supplies, reports Money Morning.

According to the report by Jason Simpkins: “Ukraine will pay the $600 million debt demanded by Gazprom, and the Russian oil monopoly will restore deliveries of gas to the country in full. Gazprom had reduced supplies to Ukraine by half after the country reneged on a deal reached on Feb 12.

“Governments throughout Europe became extremely concerned when Ukraine threatened to siphon off gas supplies in transit to other parts of the region, and the International Energy Agency called Gazprom’s move to cut supplies ‘excessively harsh.’”

Russia supplies a quarter of Europe’s gas supply, and 80% of that passes through the Ukraine.

Short-sell expert Jeff Clark says oil is headed higher over the short term. “But it won’t be the start of another massive move higher for the great oil bull market. Instead, it will be the final, speculative, blow-off stage that always seems to occur just before a major correction.”