- Stocks and US equity futures fell on Tuesday, while bonds fell as euro-zone inflation accelerated to a new all-time high, escalating the debate at the European Central Bank over how quickly interest rates should be raised.
- Contracts for the S&P 500 and the Nasdaq 100 fell by at least 0.3%. The Stoxx 600 index in Europe was set to reverse four days of gains, falling from a one-month high. Treasury yields rose across the curve, joining the selloff in German bunds and European bonds on Monday. The dollar gained ground.
- After the European Union agreed to pursue a partial ban on Russian oil, Brent crude oil rose above $120 per barrel. Higher energy and food prices are keeping pressure on global prices and squeezing consumers. In May, eurozone consumer prices rose 8.1% year on year, exceeding the 7.8% median estimate in a Bloomberg survey. Following Russia's invasion of Ukraine, the acceleration was driven by food and energy.
- On a phone call with the president of Zambia, China's President Xi says he will encourage more Zambian products, particularly high-quality agricultural products, to enter the Chinese market.
- IEA Executive Director Birol, tells Germany's Spiegel: The energy crisis is much bigger than the 1970s oil shocks, and I expect it to last longer.
- ECB's Visco: Negative rate policy can now be left behind.
- Estonia's Kallas: We now need to consider the 7th package of sanctions against Russia.
- The EU's Russia oil ban will be inflationary for all nations - RBC
