U.S. markets mixed after Putin cites “positive movement” in talks with Ukraine

US markets reacted mixedly on Friday, with investors seemingly applauding Russian President Vladimir Putin, citing a “positive move” in talks with Ukraine, Bloomberg reported.

In the morning trading, the Dow Jones Industrial Average rose 0.7% to 33,404. The S&P 500 was up 0.4% and the Nasdaq heavyweight was down 0.3%.

The Russian president’s statements come as Ukrainian civilians in besieged areas of the country continue to escape the brutal attacks of Russian forces that are ready for possible attack on Kyiv and other major cities. CBS News senior correspondent Charlie D’Agata says residents are leaving Ukrainehis capital. Some never get a chance to leave as fierce battles leave many trapped or dead. As Russian attacks intensify, dying, hiding and hoping the worst will not happen is no. greater choice.

A plan to to revoke Russia’s trade status as a “most favored nation.” its invasion of Ukraine has heightened concerns about the economic implications of the deeper conflict, as talks between the two countries’ foreign ministers have failed to show any concrete progress.

President Joe Biden plans to announce the change on Friday, according to a source familiar with the matter, who spoke on condition of anonymity to preview the announcement. It will allow the US and other major industrialized countries to increase tariffs on certain Russian exports.

The move could have only a modest impact on trade, as it would have a negligible impact on most exports of oil, gas and other Russian resources, experts said.

Investors were left on the sidelines for the weekend, given the possibility of big surprises while markets are closed, analysts said.

“When confidence is low, risk managers are in the driver’s seat, keeping the liquidity of banks and traders to a minimum, which could worsen overnight movements,” API Asset Management Stephen Innes said in a comment.

“And it is not surprising that predicting day-to-day market operations is about as consistent as flipping a currency,” Innes said.

Rising coronavirus cases in both mainland China and Hong Kong have heightened concerns about their markets.

Oil prices are easing

Oil prices moderated after wild fluctuations earlier in the week. US benchmark crude rose 52 cents to $ 106.54 a barrel in electronic trading on the New York Mercantile Exchange. It fell $ 2.68 on Thursday to $ 106.02 a barrel.

President Biden announced on Tuesday a US ban on oil and gas imports from Russia over the country invasion of Ukrainea direct blow to Russian President Vladimir Putin’s main source of revenue as Russian forces continue to strike Ukrainian cities.

Gas prices in the US are setting a record almost daily, causing financial pain to the pump for millions of Americans. But it also raises questions about why fuel is so expensive – and who is to blame.

Brent crude, the basis for international pricing, rose 66 cents to $ 109.99 a barrel in London.

Both that and US crude oil crude have risen more than 40% by 2022 so far, though they remain below their peaks earlier this week when US crude was just above $ 130.

Oil spills are just some of the waves hitting the markets, as instability has become the norm since Russia’s invasion of Ukraine, which has raised concerns about how high oil prices will rise. wheat and other commodities.

Investors were already at the forefront as high inflation pushed central banks to raise interest rates for the first time since the pandemic began and halt programs launched to support the global economy.

A report on Thursday showed in the US Consumer prices rose 7.9% in February from a year earlier, the sharpest rise since 1982. The measurement was largely within expectations and did not include the most recent increases in oil and gasoline prices. It also did not reach the 8% threshold that could trigger an alarm.

The Federal Reserve is expected to raise its key short-term interest rate by a quarter of a percentage point next week, the first increase since 2018. Higher interest rates are slowing the economy and the Fed is trying to raise them enough to reduce inflation, but no so much so that it causes recession.

In other transactions, the performance of the 10-year Treasury Department, which monitors inflation expectations and economic growth, fluctuated immediately after the publication of the inflation report. It rose to 2% from 1.94% late Wednesday. Early on Friday it was at 2.02%.