Live News: UK braces for immediate sanctions on Russia

Oil prices jumped and stocks fell after Russian President Vladimir Putin ordered the dispatch of troops to two Moscow-backed breakaway regions in eastern Ukraine, putting his country on its feet. war and preventing attempts at a diplomatic solution to the crisis.

Brent crude, the international oil benchmark, jumped 2.3% to $97.59 a barrel, a new seven-year high, while West Texas Intermediate, the US marker, rose 3.6% at $94.32.

In equities, Hong Kong’s benchmark Hang Seng lost 2.1%, while Japan’s Topix index fell 1.2% and South Korea’s Kospi lost 1%. Australia’s S&P/ASX 200 lost 0.9%.

“Markets will be dominated today by the decree from Russia,” said Robert Carnell, strategist at ING, adding that “futures suggest a sharp drop in risk assets.”

Futures contracts tumbled Wall Street as U.S. markets returned from a holiday, with the S&P 500 expected to fall 1.7% and the tech-focused Nasdaq expected to fall 2.3%.

In sovereign debt markets, bond yields fell as investors sought protection from falling equity prices, with the yield on the 10-year US Treasury falling 0.06 percentage points to 1.867 %.

The moves in global markets also came after Moscow claimed it destroyed Ukrainian military vehicles that entered Russian territory and Putin agreed to recognize two Moscow-backed breakaway regions in eastern Ukraine.

About Vicki Davis

Check Also

The Rupee gains 45 paise to close at 81.47 against the US Dollar

The rupee appreciated 45 paise to close at 81.47 (provisional) against the US dollar on …