Western leaders contemplate more sanctions
Today's news headlines:
‘Macron calls for Russian oil and coal ban as Biden condemns “brutal” Putin’. The pressure on Russia is building again as talks of fresh sanctions hot up amid reports of civilian killings in the city of Bucha, just 25km away from the capital of Kyiv. The US is likely to prevent the payment of Russian bonds through US banks. Talks of a Russian natural gas embargo are also ongoing, but the negative impact on Germany, which doesn’t have a viable alternative source yet, and the rest of Europe could be too damaging in an unstable financial environment. (Financial Times)
‘UK holidaymakers face travel chaos as Covid forces flight cancellations’. With the last of the Coronavirus restrictions in the UK abandoned earlier in the year, the travel industry has been struggling to hire new staff to meet fresh demand. There were over 1,000 flights cancelled in the last month as airlines struggle to return to pre-pandemic output following two years of reduced or non-existent service. Background checks are also taking longer for staff as companies compete for a smaller talent pool. (Financial Times)
Asian markets lacked direction overnight, with China closed for trading. Elsewhere, US markets started off the week strong, with the S&P 500 ticking 0.81% higher. Crude oil is trading at $104 per barrel this morning while natural gas futures continue to rise. The US Dollar Index is flat in early trade.
Australia Cash Rate: 0.10% (est. 0.10%)
US ISM Services Purchasing Managers’ Index: 3:00PM
US Federal Open Market Committee member Lael Brainard: 3:05PM
US FOMC member John Williams Speaks: 7:00PM
GBP/USD – 1.3132
GBP/EUR – 1.1969
EUR/USD – 1.0973
USD/CAD – 1.2459
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