Russia said it stopped natural gas flows to Poland and Bulgaria on Wednesday, making good on a threat to cut off buyers if they refuse Russian President Vladimir Putin’s demand to pay in rubles. European gas prices surged more than 20% on the move and the euro fell to its lowest against the dollar since April 2017.
Shenzhen-based drone-maker DJI, the world’s largest producer of unmanned aerial vehicles, halted all business activities in Russia and Ukraine, becoming the highest-profile Chinese company to withdraw from the war-torn region.
United Nations Secretary-General Antonio Guterres met Putin in Moscow, seeking to revive diplomatic efforts to end the war more than two months after the Russian president ordered the invasion of his neighbor. Guterres next heads to Ukraine for talks with President Volodymyr Zelenskiy.
Gazprom PJSC said it has halted gas flows to Poland and Bulgaria and will keep the supplies turned off until the two countries agree to Moscow’s demand to pay for the fuel in rubles.
Gas surged more than 20% on Wednesday as traders digested the sudden move and calculated which countries will be hit next.
Chinese Drone Maker DJI to Suspend Business (6:04 a.m.)
Drone-maker SZ DJI Technology Co. is temporarily suspending business to comply with regulations in various jurisdictions, it said in a brief statement without elaborating. Its halt follows U.S. sanctions on Russia for invading Ukraine, which Washington has threatened to enforce broadly.
DJI’s move to halt business sets it apart from other major Chinese corporations. China has urged an end to the war in Ukraine but refuses to criticize the invasion, vowing instead to maintain trade relations with Russia, a key global energy supplier.
Euro Falls, Oil Gains on Gas Flow Worries (3:59 a.m.)
The euro touched the weakest level versus the greenback since 2017 amid worries that Moscow may choke gas flows to Europe, hurting the region’s growth in the fallout from Russia’s invasion.
Oil extended gains, with West Texas Intermediate futures climbing above $102 a barrel after rising 3.2% on Tuesday.
Source: Bloomberg
