Notifications Bell

Russia-Ukraine tensions challenge markets

Russia-Ukraine tensions challenge markets

As the Russian army is making its way up to Kyiv, markets remain volatile

Oil prices continue to trade over the $100 per barrel mark. Prices first jumped last Thursday when Russia invaded Ukraine, raising fears of supply disruptions in what is already a very tight market. Also, on Monday, Canada announced the ban of Russian oil imports – being the only nation to target Russia’s energy complex directly.

Today, Crude Futures jumped 5.7% to trade at $101.17 per barrel, while Brent Crude added 6.3% to trade at $104.16/barrel. The latter reached $105.79 last week, the highest since 2014. According to Morgan Stanley, the situation in Ukraine introduced a “risk premium in oil prices that is likely to remain in the coming months.”

The Russian Rouble

Not only the oil prices were affected by the latest geopolitical event, but also Russia’s currency. On Monday, the Ruble plunged to a record low after multiple Western nations imposed new sanctions. On the electronic currency trading platform EBS – the Rouble crashed more than 40% against the US Dollar, trading at 120/dollar. It later slightly recovered to 94 Rubles. The currency lost a third of its value so far this year, but the Bank of Russia raised the interest rate to 20% in an emergency move to help trim losses.

Bitcoin

The largest crypto in the world jumped almost 17% this Tuesday, March 1, to $44,511.20. The surge came after last week the cryptocurrencies plunged, as risk assets such as stocks sold off following Russia’s invasion of Ukraine.

Ether added 15.2% to $3,022.

Sources: cnbc.com, news.sky.com, reuters.com

This information prepared by sc.capex.com is not an offer or a solicitation for the purpose of purchase or sale of any financial products referred to herein or to enter into any legal relations, nor an advice or a recommendation with respect to such financial products.

This information is prepared for general circulation. It does not have regard to the specific investment objectives, financial situation or the particular needs of any recipient.

You should independently evaluate each financial product and consider the suitability of such a financial product, by taking into account your specific investment objectives, financial situation or particular needs, and by consulting an independent financial adviser as needed, before dealing in any financial products mentioned in this document.

This information may not be published, circulated, reproduced or distributed in whole or in part to any other person without the Company’s prior written consent.

Past performance is not always indicative of likely or future performance. Any views or opinions presented are solely those of the author and do not necessarily represent those of sc.capex.com