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US stocks mixed as oil pulls back after skyrocketing on potential for new sanctions on Russian energy sector

Mar 7, 2022, 21:45 IST
Business Insider
Investors have to brace for more market volatility thanks to the new Omicron variant.Xinhua News Agency/Getty Images
  • US stocks traded mixed Monday as Western nations consider sanctions against Russian energy exports.
  • Oil surpassed $130 a barrel in premarket trade, but pulled back some to dip to around $120 again.
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US stocks were mixed Monday following oil's overnight surge above $130 a barrel — a 13-year high — on reports that Western leaders are considering a ban on Russian energy exports.

Indexes pared pre-market losses sharply as crude pulled back to around the $120-per-barrel level. Still, commodities overall remained elevated. Other important Russian exports, such as palladium and nickel, also leapt as the conflict in Ukraine continues to intensify and Russian forces increasingly target Ukrainian civilians.

Here's where US indexes stood at the market open at 9:30 a.m. on Monday:

Russia's ruble crashed further to new record lows, and the West continues to weigh further retaliations against President Vladimir Putin. Yale economist Stephen Roach said a Russian debt default could spill over into emerging markets, including China.

In the US, billionaire investor Carl Icahn exited his position on Occidental Petroleum stock — but Warren Buffett revealed a $5 billion stake in the energy giant.

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The chairman of GameStop revealed a $150 million stake in Bed, Bath & Beyond, and called for the retailer to narrow its focus while exploring a sale of the company. Shares soared more than 80%.

Cathie Wood noted that oil's surge will drive a shift to new technology like electric vehicles. West Texas Intermediate crude is up 0.6% to $116.29 a barrel. Brent crude, the international benchmark, is up about 1.7% to $120.18 a barrel.

Gold jumped by 0.80% to 1,982.30 per ounce. The 10-year yield was up 6 basis points to 1.78%.

Bitcoin inched up 2.04% to $39,190.20.

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