Russia-Ukraine war, the West considers banning Russian oil: raw materials and metals fly
“The West considers banning the Russian oil while fly intensifies the massacre in Ukraine“: with this title, the Financial Times brings together the economic warfare of the US and the EU against the Russia and the military one of Russia against Kiev. The hypothesis of a blockade of Russian crude was anticipated yesterday by the US Secretary of State, Blinkenand according to the British newspaper reports a “turning point in the policy of the White House”, which up to now had shown itself contrary to any hypothesis of an oil embargo, fearing its effects on the American and global economy, or difficulties in supplying and increasing the already galloping energy prices.
The newspaper of the City reports that the idea was received lukewarmly, if not quite coldly, by the British government, which considers it too drastic. The exodus of Ukrainians is also highlighted on the front page, which is becoming more and more convulsive and massive: already one and a half million people have fled and “Europe must face the most great refugee crisis from the Second World War “.
The response from the market was immediate: the price of Brent crude oilthe benchmark for Europe, hit a record high of $ 140, close to an all-time high in 2008, after rising nearly 20% at the start of the session on fears that the United States might impose restrictions. to the sale of Russian crude oil.
Before the opening of the stock markets of the Old Continenthowever, Brent crude prices eased slightly to settle just above $ 128 a barrel, still 8.5% above last Friday’s closing price. West Texas Intermediate (WTI) crude oil price reached $ 130.5 per barrel, up from $ 115.68 at last week’s close. However, before the European opening, it dropped to $ 125 a barrel. The ban on importing the Russian crude also made the gas price: in Amsterdam, prices jumped to 335 euros per MWh, with an increase of 74%. In London, the price rises to 795p at the Mmbtu.
To splash also the price of corn and wheat, after Ukraine announced it had suspended exports of some food products. This was announced by the government in a note in which it stressed that exports of “meat, rye, oats, buckwheat, sugar, millet and salt” are suspended. While exports di wheat, corn, poultry, eggs and oil they will be allowed only with the permission of the Ministry of Economy. Supermarkets across the country are running out of produce as supply routes become more difficult.
In addition to the rush of raw materials, that of the metals with the conflict in Ukraine more and more sour. Still in tension the palladium which rises by 10% and approaches $ 3,300 an ounce. On the other hand, aluminum is almost + 4% at over 4 thousand dollars a ton. But it is always the nickel to mark the biggest run (+ 25%) that with futures on 1,500 kilo contracts leaps to almost 38 thousand dollars. Among others, copper grows marginally by 0.89%
Russia-Ukraine war, Zelensky calls for a boycott of Russian imports
For his part, Ukrainian President Volodymyr Zelensky called for the imposition of new sanctions on Russia, the boycott of Russian exports, in particular the rejection of oil and petroleum products, as well as the boycott of imports. “If the invasion continues and Russia has not abandoned its plans against Ukraine, then a new package of sanctions is needed. New sanctions, new anti-war sanctions measures, for the sake of peace. Boycott of Russian exports. , especially the rejection of oil and petroleum products from Russia, this can be called an embargo … Boycott of imports into Russia, ”Zelensky said in a new video speech.
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