EU leaders agree on Russian oil ban, markets open lower

EU stocks opened lower as investors anticipate release of Eurozone inflation data

European markets opened lower on Tuesday morning as investors anticipate the release of the Eurozone inflation data which could heighten concerns about the pace and scale of possible interest rate hikes.

Germany’s DAX futures dipped by 0.39% and France’s CAC 40 futures followed, falling by 0.71%. London’s FTSE 100 saw minor gains up 0.04% Tuesday morning but the market was quite volatile.

Data released on Monday showed that German inflation hit another all-time high (7.9% as opposed to the 7.6% estimate) and numbers in Spain topped estimates too (8.7% vs 8.3%).

Oil prices climbed higher as EU agreed on Russian oil ban

Oil prices climbed higher on Tuesday morning as European Union leaders reached an agreement on Monday to ban 90% of Russian crude oil by the end of 2022.

Oil prices soared in March to their highest since 2008 and are up over 55% so far this year.

Brent Crude futures contract for July surged by 2.03% Tuesday morning valued at $119.95 a barrel. West Texas Intermediate (WTI) futures were also higher by 1.75% costing $119.19 a barrel.

More on Russian oil ban

EU leaders have finally come to an agreement on Monday on an embargo to ban the majority of Russian oil imports.

The ban was enforced on oil and petroleum products arriving to the European Union by sea but contains a temporary exemption for oil delivered from Russia via pipelines. This aims to grant Hungary, Slovakia and the Czech Republic more time to detach themselves from high dependence on crude oil supplies from Russia.

The immediate impact of the sanctions will affect 75% of Russian oil imports and will surge to 90% by the end of the year.

“Agreement to ban export of Russian oil to the EU. This immediately covers more than 2/3 of oil imports from Russia, cutting a huge source of financing for its war machine. Maximum pressure on Russia to end the war,” the president of the European Council Charles Michael said on Twitter.

Gold futures see small gains

Gold futures saw very small gains on Tuesday morning rising by 0.09% to $1,858.

Platinum futures were also on a bullish trend surging by 0.80%, palladium futures followed at 2.40%. Silver futures, on the other hand, were lower, falling by 0.45%.

Britain’s GSK to buy US biotech Affinivax for over $3 billion

The British pharmaceutical industry company GlaxoSmithKline (GSK) will acquire the American biotech firm Affinivax for $3.3 billion as it plans to boost its vaccines business with a new technology, GSK said on Tuesday.

The British firm is expected to pay $2.1 upfront and the additional $1.2 billion will be conducted in “potential development milestones” payments.

“The proposed acquisition further strengthens our vaccines R&D pipeline, provides access to a new, potentially disruptive technology, and broadens GSK’s existing scientific footprint in the Boston area. We look forward to working with the many talented people at Affinivax to combine our industry-leading development, manufacturing, and commercialisation capabilities to make this exciting new technology available to those in need,” GSK’s chief scientific officer, Dr Hal Barron said in a statement.

GSK shares were up 0.64% this morning following the news.

Crypto firms Ripple and FTX are looking for acquisitions

Cryptocurrency firms Ripple and FTX are looking for acquisitions in hopes of driving growth to the crypto industry by purchasing other companies, the firms told CNBC.

The president of crypto exchange FTX, Brett Harrison, told CNBC in an interview last week that the firm is in “a very good spot in terms of capital and cash” to “look around the market for potential merger and acquisition opportunities.”

According to Harrison, the company is planning to look for companies that will help the platform gain more users or regulatory licenses.

The chief executive officer of the cross-border payments company Ripple, Brad Garlinghouse, also noted that his company has “a very strong balance sheet.”

“We’re now at a stage of growth where I think we’re more likely to be the buyer versus the … seller,” Garlinghouse noted.

Top cryptocurrencies continue bullish run, BTC over $31,000

Top cryptocurrencies continued their bullish run on Tuesday as bitcoin (BTC) was valued above $31,500, up 1.18% in 24 hours.

Ethereum (ETH) followed the surge growing by 3.48% in the last day and Cordana (ADA) skyrocketed by 25.33%. Gogecoin (DOGE) was up 0.29%.

Note, cryptocurrency CFD trading is restricted in the UK for all retail clients.