World shares were mixed Tuesday after the European Union agreed to embargo most Russian oil imports by the year’s end, sparking a fresh spike in oil prices.
Shares fell in Frankfurt, Paris and Tokyo but rose in London and Shanghai. U.S. futures edged lower ahead of the reopening of trading on Wall Street following Monday’s Memorial Day holiday.
Oil prices were trading near US$120 per barrel following the agreement by EU leaders to embargo most Russian oil imports into the bloc as part of new sanctions against Moscow.
The pact was worked out at a summit focused on helping Ukraine with a long-delayed package of new financial support. The embargo covers Russian oil brought in by sea, allowing a temporary exemption for imports delivered by pipeline. That was crucial to bring landlocked Hungary on board a decision that required consensus.
Benchmark U.S. crude oil gained $4.07 to $119.14 per barrel in electronic trading on the New York Mercantile Exchange. It added 98 cents to $115.07 per barrel on Monday.
Brent crude, used as the basis for pricing for international trading, advanced $2.48 to $120.08 per barrel.
Crude oil prices are up 60% this year due to fears about disruptions in supplies from Russia, the second-biggest global exporter. Wheat prices are up about 50% and corn prices are up 30%.
In other trading, the dollar rose to 127.78 Japanese yen from 127.55 yen late Monday. The euro fell to $1.0742 from $1.0778.
