Russia Financial News

Strait of Hormuz on Saturday. Amir-Abdollahian conveyed this to External Affairs Minister S Jaishankar during a telephonic conversation on Sunday, according to an Iranian readout. In the talks, Jaishankar called for release of the Indians onboard Portuguese-flagged cargo vessel MSC Aries.

Interest rates are an important factor that determine the trajectory of gold prices. When interest rates are high, gold becomes less attractive. When the US Fed hiked interest rates in 2022 and 2023, gold prices dipped (see chart). But in recent months, the US Fed has become less hawkish and more inclined to cut rates. Global gold prices have rallied on these expectations. “Gold prices could remain choppy in the months ahead as the market reacts to geopolitical developments. The medium term outlook for the precious metal is promising, given the imminent turn in the US interest rate cycle,” says Chirag Mehta, CIO, Quantum Mutual Fund. Gold has also rallied due to strong buying by central banks in the past few months. News reports say some countries are trying to reduce their US dollar reserves following the freezing of Russia’s reserves by the US and Europe, and are shifting to gold. “Increased buying of gold by central banks, especially China, in the quest to reduce dollar exposure (also called de-dollarisation), is the key reason for the spike in gold prices,” says Vidya Bala, Co-founder, PrimeInvestor.in.

Raw material prices are also starting to show initial signs of inflation after moderating previously, indicating price increases in some categories could be in the offing. Most consumer goods companies raised prices by more than a quarter in the past two years to offset rising costs under heads such as raw materials, supply chain and energy.

Israel late Saturday, warning the attack threatened to further destabilise the Middle East. Here are some of the main reactions so far:

A review of the Bank of England’s economic forecasting undertaken by the former chair of the U.S. Federal Reserve has found “significant shortcomings” that should be addressed to better inform future interest rate decisions

German Chancellor Olaf Scholz has arrived in China on a visit focused on the increasingly tense economic relationship between the sides and differences over Russia's invasion of Ukraine

The U.S. and U.K. will begin restricting the trade of new Russian-origin metals — including aluminum, copper and nickel — on global metal exchanges and in derivatives trading

The biggest U.S. airlines and their unions are asking the Biden administration to stop approving more flights to the United States by Chinese airlines

Authorities in the Russian city of Orenburg, near the border with Kazakhstan, have announced a mass evacuation from there after water levels in the Ural River rose further, threatening the area with more flooding

West Asia. In a post on X (formerly Twitter), External Affairs Minister S Jaishankar wrote, “Spoke to UK Foreign Secretary Lord@David_Cameron today. Discussed the emerging situation in West Asia as also our bilateral ties." Additionally, India has also called on Iranian authorities in Tehran and Delhi to secure the early release of 17 Indians stuck on the cargo ship ‘MSC Aries’, said sources as quoted by PTI. The Mediterranean Shipping Company (MSC) is also working closely with relevant authorities for the welfare of all 25 crew members and the return of the vessel, the company said.

a suspected Israeli strike this month on an Iranian consular building in Syria that killed 12 people, including a senior Guard general. Iran has promised to retaliate, and U.S. President Joe Biden cut short a weekend trip to his beach house in Delaware to return to the White House and monitor the situation.

Russia, Congress leader Randeep Singh Surjewala Saturday said the Ministry of External Affairs has informed him that the Indian embassy in Moscow has raised the matter with authorities there. Surjewala said he had written to External Affairs Minister S Jaishankar on April 7, seeking his intervention to ensure the safe return of the eight youngsters stuck in war-torn Ukraine. The Congress Rajya Sabha MP said he received a reply from the ministry on April 12 which stated that the Indian embassy in Moscow has taken up the matter with the Russian authorities concerned. «Larger issue of other Indian nationals who had been misled into joining the Russian Army was also taken up by Foreign Secretary with Russian Ambassador in New Delhi. In order to preclude recurrence of such incidents in future, we have also advised Indian citizens to stay away from the conflict,» according to the communication Surjewala received from the ministry.

As the Middle-East braces for potential Iranian strike, commandos from Iran's paramilitary Revolutionary Guard today rappelled down from a helicopter onto an Israeli-affiliated container ship near the Strait of Hormuz and seized the vessel. U.S. President Joe Biden had said on Friday he expected Iran to attack Israel «sooner, rather than later» and warned Tehran not to proceed. Israel did not claim responsibility for the airstrike on April 1. But Iran's supreme leader, Ayatollah Ali Khamenei, said Israel «must be punished and shall be» for an operation he said was equivalent to an attack on Iranian soil.

Ukraine's army chief said on Saturday the situation on the eastern front had deteriorated in recent days with Russia intensifying its armoured assaults and battles raging for control of a village west of the devastated city of Bakhmut. The statement by Colonel General Oleksandr Syrskyi more than two years since Russia's invasion evoked the increasingly grim mood in Kyiv as vital U.S. military aid that Kyiv expected to receive months ago remains stuck in Congress. Syrskyi said he travelled to the embattled area to stabilise the front as Russian assault groups using tanks and armoured personnel carriers took advantage of a period of dry, warm weather that was making it easier for them to manoeuvre.

India and Russia on Saturday celebrated the 77th anniversary of diplomatic relations. The nearly eight decades of partnership has been marked by achievements contributing to special and privileged strategic partnership. Throughout decades, this partnership encompassed several areas from defence to space to trade and investments, hydrocarbon energy and nuclear power, security and space, science and fin-tech, digitalization, infrastructure and smart-cities, education and culture. Russia remains a largest contributor to India’s energy security and its defence capabilities. Currently there are efforts to a greater connectivity in the Eurasian space and are working towards an early conclusion of the FTA between the Eurasian Economic Union and India, efficient promotion of the North-South Transport Corridor and relaunching of the Vladivostok – Chennai Eastern Maritime Corridor, strengthening of the independent financial and payment mechanisms, synchronization of customs regimes, multiplication of joint ventures, expansion of tourism and humanitarian linkages.

eastern front has deteriorated significantly in recent days" in the face of a heightened Russian offensive, Ukraine's commander-in-chief Oleksandr Syrsky said Saturday. Syrsky, who took over as commander-in-chief in February after Ukrainian President Volodymyr Zelensky fired his popular predecessor, Valery Zaluzhny, said Russians also had superior weapons. He spoke of «a significant intensification of the enemy's offensive after the presidential elections in Russia,» in the middle of March and added that decisions were being taken «to strengthen the most problematic defence areas with electronic warfare and air defence».

AI) chips to China's military modernization efforts. This move comes as part of the US government's efforts to prevent sensitive American technology from being used for military purposes in China. The blacklisted companies, including Linkzol (Beijing) Technology Co, Xi'an Like Innovative Information Technology Co, Beijing Anwise Technology Co, and SITONHOLY (Tianjin) Co, were among 11 additions to the Commerce Department Entity List this week. Being placed on this list makes it significantly challenging for these companies to access American goods and technology.

Regional tensions have intensified following Iran's warning of retaliation against Israel over an attack on its embassy in Damascus that resulted in the deaths of two Iranian generals. This development has heightened concerns about a potential escalation in the already volatile region, with countries like India, France, and Russia advising against travel to the area. Threat of Direct Iranian Attack on Israel Iran perceives the strike on its embassy as an attack on its territory, raising the possibility of a direct Iranian assault on Israel. This threat comes amid ongoing tensions over the war in Gaza, which has entered its seventh month.

Iran planning to attack Israel in next 24 hours? Here's what new report says On Friday, the US President said he expected Iran to attack Israel "sooner, rather than later". Biden also explicitly defended Israel by saying, "We will support Israel. We will help defend Israel and Iran will not succeed".

Asked by reporters about his message to Iran, Biden said simply, «Don't,» and he underscored Washington's commitment to defend Israel. «We are devoted to the defense of Israel. We will support Israel. We will help defend Israel and Iran will not succeed,» he said.