Another round of peace talks between Russia and Ukraine resumed in Turkey
Crude oil prices have reversed moderate gains after sinking 7% on Monday.
Markets remain volatile as investors try to determine what will happen next for inflation and the global economy as Russia continues to respond to the aggression in Ukraine.
The first face-to-face talks between Russia and Ukraine in two weeks began in Turkey on Tuesday, raising faint hopes of progress in ending a war that has turned into a bloody campaign of war.
Germany’s DAX jumped 1.3% to 14,599.17 and Paris’s CAC40 rose 1.7% to 6,700.18. Britain’s FTSE 100 rose 0.8% to 7,531.55.
Russia’s MOEX index rose 3.7% on the second day of full trading after being closed for nearly a month after the February 24 invasion of Ukraine. Limits have been imposed to prevent instability.
On Wall Street, the S&P 500 and Dow Industrial Futures rose 0.3%. The S&P 500 rose 0.7% on Monday, while the Dow rose 0.3%. The tech-heavy Nasdaq Composite closed up 1.3% and the Russell 2000 Index closed down 0.1%.
In Asian trading, Tokyo’s Nikkei 225 rose 1.1% to 28,252.42 and Seoul’s Kospi rose 0.4% to 2,740.13. Hong Kong’s Hang Seng rose 0.8% to 21,864.68, while the Shanghai Composite Index lost 0.2% to 3,203.94 as the city entered its second day of lockdown to fight a COVID-19 outbreak.
A two-stage lockdown on Shanghai’s 26 million people is testing the limits of China’s strict “zero-covid” strategy, the effects of which are being felt beyond the country’s borders.
Australia’s S&P / ASX 200 rose 0.7% to 7,464.30 as the government said it planned to cut taxes on gasoline, reduce costs for families and increase spending on national security. Treasurer Josh Friedenberg will present the proposed budget on Tuesday.
IG Yep Jun Rang said weak oil prices have helped boost share prices.
“China, Japan, South Korea and Taiwan are major oil importers, so lower oil prices could be considered positive for their economies,” Yep said in a statement.
US crude rose 82 cents to $ 106.78 a barrel in electronic trading on the New York Mercantile Exchange. On Monday, it reported a 7% drop in Shanghai Lockdown, which could dampen global demand, with international standard Brent crude down 6.8%.
On Tuesday, Brent raised 110.72 from 23 1.23 a barrel in London.
Due to strong demand, oil prices have risen by almost 40% worldwide. High oil prices are also raising concerns that already high inflation could make things worse, which could further threaten global economic growth.
Bond yield high edge. Yields on the 10-year Treasury rose 2.46% to 2.50% at the end of Monday. Bond yields are rising as Wall Street prepares for higher interest rates. The Federal Reserve has already announced a 0.25% increase in its key benchmark interest rate and is poised to continue raising rates to help offset the effects of rising inflation.
Investors will get more updates this week on exactly how much inflation is hurting consumers and businesses. The conference board will release its consumer confidence index for Tuesday, March. The Commerce Department will release its February report for personal income and expenditure on Thursday, and the Labor Department will release its employment report for March on Friday.
In currency trading, the dollar fell from 123.77 yen to 123.57 Japanese yen. The euro rose from $ 1.0983 to 1.0997.