10 things before the opening bell: April 12

Hello. Today we cover Russian oil – and why a Ukrainian official says traders who buy it are involved in ‘blood money’ transactions.

Let’s start.

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A protester holding a sign

A demonstration in St. Paul, Minnesota against the war in Ukraine.

Michael Siluk/UCG/Universal Images Group/Getty Images

1. Ukraine wants energy traders to stop selling Russian oil. Wartime sanctions have not completely stopped the flow of energy exports out of Russia – and that is unacceptable to President Volodymyr Zelenskyy. The government has asked some of the biggest commodity traders to stop shipping Russian oil.

“The fact is that traders are trading and they are helping Russia to receive this blood money,” one of Zelenskyy’s advisers, Oleg Ustenko, told the Financial Times on Sunday.

Revenues from the oil deals keep pouring in and the Ukrainian government says they are being used to fund Putin’s war machine.

According to one report, between the outbreak of the war and the end of March, four major commodity traders moved 33 tankers carrying around 20 million barrels of Russian crude and petroleum products. Ustenko said the profits financed the genocide.

Last week, Russian oil exports hit a pace in at the highest volume since the start of the invasion – about 4 million barrels per day – suggesting that Russia may have ignored at least some of the sanctions.

Notably, however, shipments carrying Russian oil traveled much longer distances than usual to reach buyers. As Moscow’s usual export markets in Europe evaporate, more shipments are being sent to Asia and the Mediterranean.

Today’s reports show Russia recorded its largest current account surplus in around three decades in the first quarter of this year as the country’s energy export earnings rose while imports fell .

warren buffett


In other news:

2. US futures have turned positive, while European equities are under pressure. The war in Ukraine is escalating and investors are worried about the current consumer price inflation figures. Here is the latest.

3. Earnings on deck: Biomerica Inc, Manhattan Bridge Capital and Carmax Inc, all filers.

4. Goldman Sachs said these heavily oversold stocks could be up at least 50% over the next year. The bank expects them all to rise significantly, even if the major stock indexes bring minimal returns. See the list of 18 choices.

5. Bank of America said oil could be capped at $120 a barrel this summer as the release of global reserves limits price spikes. China’s shutdowns of Shanghai and other regions amid a new virus outbreak are also expected to dampen oil demand, they said. This is lower than the bank’s previous peak price prediction of $150.

6. This college dropout bought bitcoin at $6,700 and ether at $173 and is now a full-time crypto influencer. In 2020, Natalie Arabian realized that her degree in biology would not return as lucrative as her crypto investments. Now, she aims to inspire more women to get involved in the finance and digital assets space.

7. Warren Buffett’s Berkshire Hathaway announced $22 billion in investments last quarter. This marks a huge increase in spending for the legendary company. He’s invested $7 billion in Occidental stock, spent more than $3 billion in HP stock, and more. Dig into the rest of Buffett’s big moves.

8. An investment chief overseeing $1.2 billion explained how the Ethereum merger could trigger a bullish rally with two simultaneous halvings. Bitwise’s Matt Hougan drew comparisons between bitcoin and ether – then explained why the event could net 12% for investors lacking yield.

9. These cheap stocks look like second-quarter bargains, according to Morningstar. Analysts at the company have identified 33 stocks that have become undervalued due to investor fears over inflation, rising interest rates and Ukraine. See their investment recommendations.

job losses in US recessions

Andy Kiersz/Insider

10. Experts are torn on how the economic recovery is going. While Fed Chairman Jerome Powell thinks inflation can be brought under control without triggering a slowdown, others worry that the war in Ukraine and the Fed’s delayed response have doomed the United States to another crisis. .

Keep up to date with the latest market news throughout the day by checking out The Refresh from Insider, a dynamic brief audio from Insider’s newsroom. Listen now.

Organized by Phil Rosen in New York. (Comments or advice? prosen@insider.com or tweet @philrosenn.)

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