Crude Oil Rebounds, Ruble Sinks to Record Lows as Ukraine Increases Risk

Oil soared on Monday, while the ruble plunged almost 30% to a new record low, after Western countries imposed new sanctions on Russia for his invasion of Ukraineincluding the exclusion of some banks from the SWIFT international payment system.

* Demand for safe-haven assets boosted bond yields along with the dollar and yen, while the euro sank after Russian president, Vladimir Putinput the nuclear armed forces on high alert on Sunday, the fourth day of the biggest assault on a European state since the WWII.

• “This illegal invasion is the sole responsibility of Putin, but NATO created the conditions for it to happen”
• NATO responds to Putin for putting Russia’s nuclear force on “high alert”: “It is irresponsible”
• European subsidiary of Russian bank Sberbank in “bankruptcy or probable bankruptcy”, says ECB

* Rising tensions fueled fears that oil supplies from the world’s second largest producer could be disrupted. By 0151 GMT, Brent crude futures were up $4.6, or 4.7%, at $102.53 a barrel. US West Texas Intermediate (WTI) crude futures were up $5, or 5.46%, at $96.59 a barrel.

* U.S. and European stock futures sank, but Asia-Pacific stocks were mostly higher in a volatile session, buoyed by Wall Street’s gains on Friday, when the S&P 500 closed up 2. 51%, said Kyle Rodda, a market analyst at IG Australia.

* “We have had a deluge of very negative information over the weekend,” Rodda said. “My feeling is that there is not going to be much permanence behind this particular move (in Asia-Pacific stocks), considering we are talking about financial stability risks and you have to sprinkle the threat of nuclear war on top of that.”.* “The volatility is higher”Held. “The price action is incredibly choppy.”

* US stock e-mini futures pointed to a 1.57% drop at the open, while pan-European EURO STOXX 50 futures were down 2.83%.

How many nuclear weapons does Russia have and what happened to the atomic bombs that were in Ukraine?

* Japan’s Nikkei 225 added 0.48%, recovering from losses earlier. The Australian benchmark index gained 0.64% after also trading lower at one point. Chinese stocks, however, fell 0.21%.

* The MSCI Regional Equity Index was up 0.09%.

* Meanwhile, the yield on US 10-year Treasury bonds fell about 6 basis points to 1.92%, and the equivalent Australian yield also fell about 6 basis points to 2.18%.

The euro was down 0.9% against the greenback at $1.1170, and 0.87% against the Japanese currency at 129.065 yen, while the risk-sensitive Australian and New Zealand dollars were down 0. .66% and 0.76%, respectively.

* The ruble fell 29.37% to a record low of 119 per dollar.

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• Ukraine compares bombing of Kiev to that of Nazi Germany in 1941
• Ukraine reports the death of 2,800 Russian soldiers on the second day of the invasion
• Why did Russia invade Ukraine and what are Putin’s arguments for war?
• A shocking audio reveals how Russian soldiers threaten and then kill 13 Ukrainian soldiers on an island
• These are the countries that support Russia and those that are with Ukraine
• NATO activates its defense troops for the first time in history to deter Russia

Source: Elcomercio

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