Most read from Bloomberg The European Union (EU) has agreed to provide more detailed guidance in the coming days on what companies can and cannot do under EU sanctions to meet Russian President Vladimir Putin’s demands to pay for gas in rubles. . A U.S. defense official said Russia had made limited progress in shifting its war to the Donbas region, adding that Putin’s troops continued to suffer from low morale, imperfect logistics and aversion to casualties. (See RSAN at the Bloomberg Terminal for the Russia Sanctions Control Panel.) Key Developments
Hungary would veto EU sanctions on Russian energy, the minister said Central Bank of Ukraine draws red lines for its bond markets Crop prices fall as Traders Eye Rain and Covid suppression in China Europe’s delays increase in Russian cargo isolation: Supply lines Mariupol civilians flee as Russia strikes East: Daily briefing on Ukraine
All CET hours: Johnson will address the Ukrainian Parliament (1:40 am) Johnson plans to address the Ukrainian parliament as his government announces 300 300 million in military aid. The British Embassy is also ready to reopen in Kyiv. According to prepared statements released by the Prime Minister’s Office, Johnson, in his virtual speech, will repeat the words of Winston Churchill: “This is the best time in Ukraine, an epic chapter in your national history that we will remember and tell. for future generations. “ The story goes on The United Kingdom will also provide “specialized civil protection vehicles in Ukraine,” Johnson’s office said. The prime minister personally visited Kyiv last month. Draghi seeks EU guidance on gas payments (10:50 pm) Italian Prime Minister Mario Draghi has said that setting up a ruble account to pay for Russian gas, as requested by Putin, would be a breach of contract. “It is very important for the EU Commission to give a clear legal opinion on whether the payment in rubles is a breach of sanctions,” Draghi told a news conference on Monday. He urged a clearer direction from the EU as Italy would make payments in about two weeks, adding that Italy would comply with EU directives. EU looks at Africa as potential gas supplier (10:25 pm) The European Union will seek to strengthen cooperation with African countries to help replace Russian gas imports and reduce dependence on Moscow by almost two-thirds this year. Countries in Africa, especially in the western part of the continent, such as Nigeria, Senegal and Angola, offer largely untapped potential for liquefied natural gas, according to a draft EU document seen by Bloomberg News. The Communication on External Energy Commitment will be adopted by the European Commission later this month as part of a package to implement the bloc ‘s plan to reduce energy dependence on Moscow. Scholz does not plan a trip to Kyiv after a Snub (9:34 pm) German Chancellor Olaf Solz has said he has no plans to visit Kyiv at the moment, following a proposed trip by President Frank-Walter Steinmeier, which was blocked by Ukraine last month, which was considered insignificant. “This is an obstacle,” Soltz said in an interview with the public broadcaster ZDF on Monday. He added that it was unacceptable for Ukraine to reject a visit by the president of a country like Germany that has provided so much military and financial assistance. Steinmeier has been widely criticized – including by Ukraine’s ambassador to Germany – for his previous support for the Nord Stream 2 gas pipeline from Russia to Germany and for his role as foreign minister in encouraging reconciliation and dialogue. with Moscow. Pentagon says Russians have low morale, flawed logistics (7:07 p.m.) Russia’s progress in the Donbas region has been minimal at best, a U.S. defense official told reporters, adding that Putin’s troops continue to suffer from low morale, imperfect logistics and disgust for losses. The official also said that Russian forces had repulsed 40 kilometers (25 miles) east of Kharkov. Separately, former CIA Director David Petraeus said Russia was hampering its efforts with equipment and personnel shortages, with no quick fix as the war continued. This means that there is now a reassessment of whether Ukraine must fight to get back what it lost to the Russians since the start of the war, the retired general said in an interview with David Westin in the Bloomberg Balance of Power. EU to issue more directives on ruble requirements for gas (6:50 pm) The EU will provide more detailed guidance in the coming days on what companies can and cannot do under EU sanctions rules to meet Russia’s demands to pay for gas in rubles, the bloc’s energy commissioner said. , Kadri Simson. He told reporters that companies needed clarity that the Kremlin mechanism “is a breach of sanctions and cannot be accepted.” Barbara Pompili, France’s environment minister, said all member states had said they would comply with EU gas payment guidelines. Hungary, which is heavily dependent on Russian energy, has previously suggested that it be open to paying in rubles to ensure continued deliveries. War strengthens euro appeal to Czech companies (4:15 p.m.) Market turmoil fueled by the war in Ukraine is increasingly pushing Czech companies to abandon the euro crown, with industry leaders seizing the opportunity to pressure the reluctant government to adopt the single currency. Wealthy nations seek carbon deals (4:10 p.m.) As they prepare for the next round of global climate talks in November, officials from rich countries are trying to raise a number of multibillion-dollar packages to help poor countries phase out coal. However, the negotiations have been crushed by Russia’s national policy and war in Ukraine, which has made the dirtiest fossil fuels a lucrative product for extraction and export, according to those familiar with the talks. Poland demands embargo on Russian oil and gas (3:07 pm) Poland supports a ban on Russian oil and will call for an embargo on gas, preferably at the same time, Climate Minister Anna Moskva told reporters ahead of a ministerial meeting in Brussels. To encourage skeptical nations to end their dependence on fossil fuels from Moscow, Poland wants to propose a special mechanism similar to the purchase of coal for energy sources imported from Russia. Such a system would set a date on which Russia’s use of energy sources would have to be zeroed. Each Member State will receive a quota of fossil fuels that it can import and those who want to use more will have to buy licenses to do so from those who use less than their limit. Proceeds from such a program could be used to help Ukraine or to diversify energy sources. EU united in rejecting Putin’s gas demand, says Pobili (2:38 p.m.) The EU is using the meeting in Brussels to demonstrate its resilience on continuing to pay for Russian gas in euros and to reassure Poland and Bulgaria about European aid after its ceasefire in Moscow, he told Barbara Pompili, France’s Minister for Ecological Transition. Brussels. Pobili declined to say whether the Member States would reach an agreement on gas storage this week, but said talks were under way. Americans support further sanctions on Russia by a large majority (2:30 p.m.) A large, bipartisan majority of Americans support increased sanctions against Russia, and most also support military and humanitarian support for Ukrainians, according to a Washington Post-ABC News poll. Overall, 73% say the US is doing either the right amount or too little to support Ukraine. At the same time, 72% oppose immediate US military action against Russian forces, while 21% support the idea. A main bridge hit by a rocket (12:45 pm) A key bridge at the mouth of the Dniester west of Odessa was hit by rockets on Monday for the third time in a month, the region’s military spokesman Serhiy Bratchuk told the Telegram. The bridge is important because it crosses a floating entrance that allows access to Transnistria from the Black Sea. It is also the main transport link between the southwestern part of the Odessa region of Ukraine and the rest of the country. Most read by Bloomberg Businessweek © 2022 Bloomberg LP
