Today’s volatility has been heightened by the news that Nancy Pelosi, US House Speaker, is looking into legislation to ban Russian oil imports. This theme was the mainstay of volatility in markets.
Pelosi stated last Thursday that she supports the US banning Russian oil imports. Biden has been reluctant in curbing Russian oil shipments to America or to impose energy sanctions on Americans whose pockets are already being impacted by the rising prices. The sanction is supported by a large number of Republicans and a growing number of Democrats.
WTI trades at $124bbls as of this writing. This is below its high of $127.54. However, it is expected to rise after a correction while traders await confirmation about the Russian product ban. This will be evident as Blinkin seeks EU assistance.
Russia continues to bombard Ukraine. According to the UK Times, Russian forces in Ukraine have been decimated. However, this increases the risk of intensified Russian attacks as Vladimir Putin escalates the pressure. Ukraine is afraid of larger-scale airstrikes with heavier artillery.
Volodymyr Oleksandrovych Zilenskyy, the president of Ukraine, has called for a no fly zone and lashed out against NATO for not imposing one. He warned that “all those who die in this day forward will also be because you.”
NATO is not planning to escalate the war in Europe. Russian President Vladimir Putin stated over the weekend, that any third-party declaration regarding a no fly zone over Ukraine would be considered participation in the war.
He stated that Russia would consider “any move of this nature” to be an interference that “will pose threat to our service personnel.”
“That very moment, we will regard them as participants in the military conflict and it would not matter who they are,” said the Russian president.
Wall Street Journal also reported that “Syrians may have been sent to fight in Ukraine Russia is recruiting Syrians who are able to fight in urban warfare and send them to Ukraine,” citing four US officials. The number of Syrian mercenaries that were to be sent by the US officials was not specified.
Russia and Ukraine are now preparing for a third round in peace talks. This will be aimed at reaching a new ceasefire and allowing civilians to flee the cities under siege on Monday.
Russian shelling broke the agreement and halted last week’s promise to Mariupol of a ceasefire.
