|Close price: Very little change yesterday, as the market holds back from usual trading in anticipation for today, the deadline set for Russian gas to be paid in Roubles.|
Opening price: The amount of gas flowing into Europe from Russia hit its highest level in four months today, despite threats from the Kremlin to halt all supplies to “unfriendly” countries from today. The markets have moved little however as there is still growing concern that could soon change.
The Kremlin appears to have left a window of buffer for negotiation, saying that Russia would not halt supplies today as payments on deliveries in April won’t be taken until as late as May.
The stakes are incredibly high for both sides and, It is likely that Russia and the European Union will reach some kind of agreement, given how destructive halting supply would be to both sides. However many where saying the same when discussing the prospects that Russia would never actually invade Ukraine back in February, which might be why Germany has begun preparation for that very scenario.
Gazprom insisted on Friday it was going ahead with the move, saying it had started to send requests for rouble payment switches to its clients.
The whole saga has the markets on edge, and we will have to see how this one unfolds.
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