Oil rises as EU mulls Russian ban; UK chancellor hints at fuel duty cut – as it happened | Business

Oil prices have climbed more than 6%, with Brent crude, the global benchmark, trading at $114.80 a barrel, a gain of nearly 7%. US light crude is at $110.24 a barrel. The price rises come as EU foreign ministers are meeting in Brussels to discuss further sanctions against Russia, with calls from the Baltic States and Poland for an oil embargo. However, Germany and others are advocating a more cautious approach.

Lithuania is urging the European Union to ban Russian oil as cracks begin to show in how far the EU will go in imposing further sanctions on the Kremlin’s war machine.

The UK and Italian stock markets have both gained 0.4% while Germany, France and Spain are down.

Aluminium prices jumped more than 5% earlier today after Australia banned the export of materials used to make the metal to Russia, as part of sanctions on Moscow.

The Russian rouble has gained 0.4% to 104.37 per dollar as Russian government bonds resumed trading in Moscow after a three-week shutdown (stock trading remains suspended). Benchmark 10-year OFZ treasury bonds sold off initially, sending their yields (the return to investors) to a record high of 19.74%, before they settled around 14% after the Russian central bank stepped in to buy some OFZ bonds (local currency bonds). Non-residents are not allowed to sell bonds until 1 April.

Investors are waiting to see if Russia can continue to service its debt, i.e. make a series of interest payments when they fall due. On Monday, Russia has to pay a $65.6m coupon to holders of its 2029 Eurobond, but can do this in roubles. It has a 30-day grace period to make the payments.

Fertiliser prices have hit record levels, according to the consultancy CRU, which tracks fertiliser prices. This will push up the cost of food production around the world. Russia is the world’s leading exporter of crop nutrients but has banned exports temporarily.

The UK chancellor has hinted at a fuel duty cut in this week’s spring statement.

Our other main stories today:

Egypt has fixed the price of unsubsidised bread amid a global surge in wheat prices since Russia’s invasion of Ukraine.

A passenger plane carrying 132 people has crashed in southern China and sparked a mountainside fire, Chinese authorities have reported.

The French carmaker Renault has resumed manufacturing in its plants in Moscow, bucking the trend of many other large global companies that have cut ties with Russia over its war on Ukraine.

An Irish government minister is to talk to Ryanair after accusations that it hiked fares on flights from Poland to Ireland as demand soared from Ukrainian refugees fleeing the war.

Ryanair has rejected outright the claims made by the Ukrainian ambassador to Ireland, Larysa Gerasko, at a parliamentary committee meeting last week.

The cost-of-living crisis is biting across the generations, but the under-30s are likely to be among the hardest hit in Britain.

The average price tag on a home in Great Britain has topped £350,000 for the first time, according to Rightmove.

The rising cost of streaming: viewers are living in a golden age of TV, spoilt by more must-watch shows, films and live sport than at any time in broadcasting history, but the cost of getting it all has risen to £2,500 a year, leaving some entertainment fans wondering if they can afford the streaming revolution.

With this, we’re signing off for today. We’ll be back tomorrow. Thank you for reading. Bye! – JK