The cost of war: Oil has wildest week on record; dollar highest since 2020

Oil climbed nearly 5 per cent on Friday, ending a week in which it swung by more than $20 a barrel after Russia’s invasion of Ukraine roiled global markets and fuelled fears of a supply crunch. The euro, on the other hand, fell below $1.10, sending a gauge of the US dollar to the highest level since 2020, as the war in Ukraine drove demand for haven assets.

Europe’s common currency fell to as low as $1.0973 as traders weighed the impact of Russian sanctions on the European economy. It approached a key support level that goes back to the euro’s inception back in 1999.

Brent, the global benchmark, has traded in the biggest range since the launch of the futures contract in 1988 — eclipsing the wild swings in the global financial crisis of 2008 and when demand plunged in the coronavirus pandemic. Brent was around $115 a barrel while West Texas Intermediate traded over $113 and diesel markets surged with Russian supply curbed.

Meanwhile, the ruble traded near record lows against the dollar after Russia’s credit rating was cut deeper into junk by S&P and talks over the war in Ukraine failed to reach a breakthrough.

Russia blocks BBC, DW; approves 15-year prison for ‘fake news’

Russia cut access to several foreign news organisations’ websites, including the BBC and Deutsche Welle, for spreading what it alleged was false information about its war in Ukraine. Its lawmakers also approved prison sentences of up to 15 years for spreading information that goes against the government’s position on the war in Ukraine. It has repeatedly complained Western media outlets offer a partial and anti-Russian view of the world. Russia’s communications watchdog said it had blocked the websites of the BBC, Voice of America, Radio Free Europe/Radio Liberty, Deutsche Welle, and other media outlets.

Google puts off all ad sales in Russia; Microsoft retreats, too

Microsoft said on Friday it was suspending new sales of its products and services in Russia, becoming the latest Western company to distance itself from Moscow after the Ukraine invasion.Alphabet’s Google earlier announced that it had stopped selling online advertising in Russia, a ban that covers search, YouTube and outside publishing partners. The move by the world’s top seller of online ads by revenue follows similar pauses in Russia by Twitter and Snap.Airbnb, too, joined Western corporate shutdowns in Russia. Several major companies, including Apple, Nike and Dell, have severed connections with Russia.

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