European Union officials once again failed to agree to the terms of a price cap on Russian oil sales, with negotiations over the details of the unprecedented sanctions program continuing with a week left to implement it.
The European Commission, the EU's executive arm, proposed setting the price cap at $65 per barrel during talks on Monday, according to diplomats, three of whom said EU officials suggested the figure could be cut to $62 per barrel.
GLOBAL NEWS
Hong Kong consumer stocks extend rally
Hong Kong consumer-goods and services stocks advanced further as China moved to reiterate its commitment to targeted pandemic curbs and avoid long-term restrictions.
Consumer-goods makers and services providers jumped in Tuesday afternoon trading. Restaurant operator Haidilao International Holding Ltd. HK:6862 rose as much as 15%, food-delivery company Meituan was recently 11% higher and sportswear maker Anta Sports Products Ltd. HK:2020 advanced 7.6%. The benchmark Hang Seng Index HK:HSI also extended gains, rising 5.0% to 18160.82.
Yield Curve Inversion Reaches New Extremes
Yields on longer-term U.S. Treasurys have fallen further below those on short-term bonds than at any time in decades, a sign that investors think the Federal Reserve is close to winning its inflation battle regardless of the cost to economic activity.
A scenario in which short-term yields exceed long-term yields is known on Wall Street as an inverted yield curve and is often seen as a red flag that a recession is looming.
Tech Selloff Catches Up With Private Startups
Tech startups are plunging in value in private trades, mirroring the big markdowns of their publicly listed brethren over the past year.
Before companies go public, their shares are often traded by employees, founders and institutions in secondary deals. The trades allow existing holders to cash out before a startup goes public, and buyers to make new investments or add to existing holdings.
Chinese Startups Try to Make It Big in the U.S.-but Without the Backlash
As U.S.-China ties fray and decoupling trends rise, dozens of Chinese startups are going against the tide, seeking ways to expand into the U.S. and other international markets.
Many are driven in part by China's slowing economy and toughened regulatory environment as well as the uncertainty of the zero-Covid policy, which in recent days sparked one of the largest nationwide protests that China has seen in decades. Others are inspired by the enormous global success of companies like TikTok owner ByteDance Ltd. and fast-fashion retailer Shein.
Fed's Williams Says Inflation Fight Could Last Into 2024
A senior Federal Reserve official said he expects inflation pressures to recede over the next year but cautioned the central bank will continue to have its work cut out because prices may decelerate to levels still above the Fed's 2% target.
New York Fed President John Williams also said the risks of a recession were elevated because the central bank has had to raise rates rapidly to combat high inflation.
U.S., Iran Face Off in World Cup Amid Growing Political Hostility
As the U.S. and Iran prepare to face off in a must-win match at the soccer World Cup in Qatar on Tuesday, tensions off the field have raised the stakes in what is turning out to be one of the most politically charged games in the tournament's recent history.
Iran has already called foul after the U.S. Soccer Federation posted a small graphic of the World Cup standings on its Instagram account in which the emblem in the center of the Islamic Republic's flag had been removed. The federation said the move was to show solidarity with a monthslong human-rights movement sweeping across Iran, but it later deleted the post. A State Department spokesperson said that the agency wasn't involved in either decision.
Russia Cancels Arms-Control Talks, U.S. Says
WASHINGTON-Russia has postponed arms-control talks scheduled for this week, U.S. officials said, a fresh setback to efforts to shore up the last major nuclear-weapons treaty between Washington and Moscow.
U.S. officials had hoped that the meeting, which had been scheduled for Tuesday in Cairo, would lead to the resumption of inspections under the New START treaty, which cuts long-range U.S. and Russian nuclear arms.
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This article is a text version of a Wall Street Journal newsletter published earlier today.
(END) Dow Jones Newswires
11-29-22 0609ET
