Stocks tumble and oil prices jump as markets reel from Russia’s attack on Ukraine.

The price of oil jumped above $105 a barrel for the first time since 2014, European natural gas futures soared 31% and global stock indices fell on Thursday as Russia launched an invasion Ukraine, prolonging the market turmoil in the United States and Europe. which had been motivated by the fear of a large-scale attack.

Wall Street was poised to tumble at the start of trading, with futures pointing to a 2.5% decline in the S&P 500.

The devastation in financial and commodity markets following Russia’s overnight attack was immediate and widespread, starting with Asian markets, where the Hang Seng in Hong Kong fell 3.2%.

By noon in Europe, the German DAX index had fallen nearly 5% and the broader Stoxx Europe 600 index was 3.8% lower.

The price of Brent crude oil, the global benchmark, rose more than 8% to $105.32 a barrel. West Texas Intermediate crude also jumped 8%, topping $100 a barrel for the first time in more than seven years.

First-month Dutch gas futures, a European benchmark for natural gas, jumped 31% at the start of trading to around 116.5 euros per megawatt hour. Russia supplies more than a third of the European Union’s gas, part of which passes through pipelines in Ukraine.

With tougher financial sections on Russia in the works, global banking stocks are falling faster than markets as a whole. Shares of European banks with the biggest Russian operations plunge: Raiffeisen of Austria is down 17%, while UniCredit of Italy and Société Générale of France both lost 11% of their value in early trading .

In Moscow, stocks crashed and the ruble fell to a record low against the dollar. The MOEX Russia index lost almost a third of its value. The Russian stock exchange resumed trading at 10 a.m. local time after suspending trading earlier in the day.

Global markets have generally deteriorated in recent days. The Stoxx Europe 600 reversed its early gains to fall 0.3% on Wednesday. The S&P 500 posted its fourth consecutive day of losses, shedding 1.8% and slipping deeper into correction territory – a drop of more than 10% from a recent high. It is now 11.9% from its January 3 peak.

News from Ukraine became increasingly dire on Thursday. Russian President Vladimir V. Putin ordered the launch of a “special military operation”, and the Ukrainian government confirmed that several cities were under attack. Cyberattacks have also knocked out government institutions in Ukraine.

A full-scale invasion could have broad effects on commodities including oil, natural gas, wheat and metals. Europe is heavily dependent on Russia for energy, and parts of the Middle East and Africa get most of their wheat from Russia and Ukraine. Even if supply chains remain intact and Russian exports are unaffected by the sanctions, there are fears that Mr Putin could cut supplies in a punitive way.

Few Russian exports are heading directly to the United States, but disruptions anywhere could push prices up, prolonging inflation that has already lasted longer than authorities had expected. The Federal Reserve has signaled it is preparing to raise interest rates, with the aim of curbing inflation by slowing spending, giving supply time to catch up. But higher rates will also dampen growth, and doing so when markets are already down risks prolonging the downturn.

US stocks had been flirting with a correction for weeks as investors worried about how quickly the Federal Reserve would raise rates. The S&P 500, the US benchmark, had breached the 10% threshold several times in intraday trading, but rose by the end of trade.

Tech stocks, in particular, have fallen well off their highs, and the tech-heavy Nasdaq composite is 18.8% below its November high. It is approaching a decline that indicates an even worse change in sentiment on Wall Street: a bear market, or a 20% decline.

Anton Troyanovsky and Austin Ramzy contributed report.