Russia's expectation of attacking Ukraine despite attempts at negotiations between the two countries has shaken market sentiment, causing US stock futures and European stocks to fall 'red'.
A conference will be held between US President Joe Biden and Russian President Vladimir Putin if Russia agrees not to attack Ukraine first.
Focus on Negotiation Results
BlueBay Asset Management strategist said the Kremlin was in no hurry to hold the conference but confirmed there would be a meeting in the near future.
As a result, British Foreign Minister Liz Truss redoubled preparations in the event of any failure while the US also provided a package of sanctions to prevent US financial institutions from processing major Russian bank transactions.
S&P 500 futures fell 0.25% while Nasdaq futures were down 0.6%.
The US market was closed on Monday due to the President’s Day celebrations.
European STOXX shares fell 0.63% while British FTSE shares were down 0.1%.
The MSCI world equity index fell 0.2%, the lowest since Friday while the MSCI Asia-Pacific index outside Japan was down 0.5%and Japan’s Nikkei was down 0.8%.
The dollar index fell 0.2% at 95.837 while the Euro strengthened 0.2% at $ 1.1343.
In addition to the issue of the crisis in Russia, market sentiment is also focused on the Federal Reserve (Fed) which is expected to implement aggressive tightening to curb inflation.
The Fed is expected to raise its annual rate by 5.1%, the fastest rate since the early 1980s in addition to a possible 50 basis point hike in March.
The Impact of the Crisis on Commodities
The crude oil market saw Brent oil add 53 cents to $ 94.06 while US crude oil rose 45 cents to $ 91.52.
Gold, which initially jumped to a 9 -month high of $ 1,908 an ounce, declined slightly at $ 1,894 an ounce.
