Today, the European stocks indices rose differently, with a slight drop in the oil prices because of the low hope in the state of progression of the Russian-Ukrainian talks, although there’s a difference in the breadth between Russia and Ukraine.
A cease-fire between Russia and Ukraine is out of reach at the present moment, the world witnessed the Russian behavior when the markets are closed on Saturdays and Sundays, with a rise in random shelling and death numbers. in addition to the fear of Russia using its biological weapon.
The sharp drop in the Russian ruble through trading operations of the past week. The Russian ruble stepped back by 0.66%, versus the American dollar drop in into, approximately, 115.6 rubles per dollar.
The markets now are focusing on Russia not paying off its debts, in the account of the affection of the Russian economy system by the west and American economic sanctions, which reached 50% of the Central Bank of Russia, which exceeded 300 billion dollars.
Russia is determined to pay its debts in Russian rubles, which for sure will weaken the Russian ruble.
Over the past week, the earth witnessed a drop in oil prices, despite the height to the highest level since 2008. Also, the goods witnessed a drop, particularly the wheat, that dropped sharply. This week is important for the markets. The Federal Reserve System, The Bank of England, and The Bank of Japan announced the interest rates, especially after the great rising of American interest rates that pass the 8% rate.
Predictably, the Federal Reserve System starts to rise the interest rates by 25 points, followed by The Bank of England which may raise its interest rate for the second time in a row, while the expectations indicate that the Bank of Japan won’t change its interest rates.
In contrast to the rise of the oil prices, and the dropping of the global economy, the rise in the interest rates of the Federal Reserve System is considered a big challenge.
Also, the economy experts indicated that there is a possibility that the Federal Reserve System will rise the Internet rates by 0.25% points, as the markets expect the interest rates to be risen by 0.50% points before the Russian-Ukrainian conflict.