(Bloomberg) — Russia launched its biggest missile attack against Ukraine so far this year after President Volodymyr Zelensky completed a trip to European capitals, where he called for more weapons to deter Vladimir Putin’s offensive.
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Romania pushed back against a claim by Ukraine’s top commander that two Russian cruise missiles had crossed into the NATO member’s airspace, while Moldova summoned Russia’s ambassador after a projectile passed over its territory.
Wheat gained from attacks targeting Ukraine’s infrastructure, while crude prices rose after Russia announced it would cut oil production by 500,000 barrels per day next month.
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major events
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Wheat rises after Russia launches new missile attack on Ukraine
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OPEC+ Won’t Boost Oil Supply Because Russia Cuts, Representatives Say
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Romania says Russia’s missile didn’t cross airspace after Kyiv claims
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Bank of Russia tilts hawkish, rate hike more likely in 2023
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Russia retaliates against sanctions by announcing cuts in oil production
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Ukraine nuclear facility shut down after Russian shelling (10:30 pm)
According to the International Atomic Energy Agency, instability in the Ukrainian electrical grid as a result of Russian shelling led to the shutdown of one of the Khmelnytskyi reactor units, located in western Ukraine.
The IAEA said on its website that all nuclear safety systems at the Khmelnitsky plant were working as expected. The agency has representatives at all Ukrainian nuclear power plants.
Russia carries out more drone strikes (8:30 pm)
Ukrainian officials said Russia launched another wave of attacks by Iranian-made drones, targeting southern and central regions including Odessa and Mykolaiv.
Mykolaiv regional governor Vitaly Kim said Ukrainian troops shot down three Martyr drones, and the governor of Odessa said air defense shot down four planes that attempted to attack energy infrastructure. Warning sirens were also heard in Kyiv.
Wagner founder looks back on 2-year effort to control Donbass (8:15 PM)
Yevgeny Prigozhin, the founder of Russian military-contracting company Wagner, which is playing a key role in the fighting in Ukraine, said it would take up to two years for the Russian military to take control of the Donetsk and Luhansk regions.
In a rare interview with a pro-Kremlin video blogger, Prigozhin was asked what he thinks Putin’s war aims are and how long it will last. He said, ‘Everyone has a different perspective on a special operation. “As far as I understand, we need to take the Donetsk and Luhansk republics, and in principle everyone will be satisfied with that.”
Prigozhin also said that Wagner has stopped recruiting prisoners to be sent to the front lines, although he said that the Ministry of Defense is now hiring them.
Putin Says Russian GDP May Exceed Estimates for 2022 (7:10 PM)
According to the Tass news agency, President Vladimir Putin said Russia’s GDP could exceed initial projections in 2022.
Putin did not specify which estimate he was referring to. Russia’s central bank said earlier on Friday that the economy could shrink 2.5% last year. It also raised its forecast for GDP in 2023, predicting a range somewhere between 1% contraction and 1% growth.
Wheat rises after Russia attack (5:02 pm)
Chicago wheat futures climbed more than 4% amid Russia attacks, its biggest intraday gain since October.
Ukraine has continued to send grain throughout the war, although damage to infrastructure may have slowed logistics. Commodity markets have largely wiped out the risk premium since Russia invaded Ukraine a year ago, but there is still time to restore at least a portion of that risk, Arlan Suderman, chief commodities economist at StoneX, said in a report. may be required.
Zelensky calls for sanctions on Russian athletes (5:44 pm)
Addressing the sports ministers of partner countries, the Ukrainian leader reiterated his country’s position that Russian athletes should be banned from international competitions.
Zelensky said that 228 Ukrainian athletes were killed in the war, while many Russian athletes held military ranks or were associated with military clubs. It will be “only a matter of time” before Putin’s government calls them war propaganda, he said.
World Bank to give Ukraine $50 million for transport project (3:26 pm)
The World Bank announced a new $50 million project to restore Ukraine’s transportation network to support humanitarian relief as well as increase the capacity of import and export corridors.
The total damage to Ukraine’s transportation network is more than $29.9 billion, the Washington-based lender said in a statement.
Moldova Names New Prime Minister Amid Security Risks (2:59 pm)
Moldovan President Maia Sandu appointed 48-year-old former interior minister and senior aide Dorin Risian as prime minister, saying “the new government needs to raise the country’s security level.”
The nation of 2.6 million, trapped between Ukraine and Romania, has come under intense pressure since the start of Russia’s invasion. Russian cruise missiles launched as part of the Kremlin’s biggest attack this year passed through Moldova’s airspace on Friday.
Zelensky condemns latest missile strike (1:48 PM IST)
Zelensky condemned the latest Russian missile launch, saying that “unfortunately, there are victims”.
The Ukrainian leader, who visited Brussels, Paris and London this week, said in a statement on his website that the missiles had passed through the airspace of Moldova and Romania, adding that it was “a challenge to NATO”.
Romania’s government on Friday denied a claim by the Ukrainian military that a Russian missile had entered its airspace. The Moldovan Foreign Ministry summoned the Russian ambassador over the incident.
Ukraine says it shot down 61 cruise missiles (1:22 pm)
Valery Zaluzny, Commander-in-Chief of the Armed Forces of Ukraine, said on Friday on Telegram that Russia had launched 71 cruise missiles, 35 S-300 missiles and seven drones. Cruise missiles were fired from strategic bombers and ships in the Black Sea. He said the Ukrainian army shot down 61 cruise missiles and five drones.
Prime Minister Denis Shimhal had earlier said in a telegram that high-voltage infrastructure had been damaged in the western, central and eastern regions of the country, disrupting power supplies.
Romania says the ‘air target’ was never in its airspace (12:30 PM)
Romania’s defense ministry said it detected an “air target, possibly a cruise missile launched from a Russian warship in the Black Sea” early Friday, but the projectile did not cross its airspace “at any point”. The missile was never within 35 kilometers (22 mi) of the Romanian border northeast, it said.
The target “flew over Ukraine, then Moldova,” the NATO member said in a statement, “after which it entered Ukrainian space without entering Romania’s airspace.”
Romania said it redeployed two MiG jets to the north of the country to increase “response options”, but the jets resumed their initial mission after the situation became clear.
OPEC+ won’t boost oil supply as Russia cuts (12:19 PM)
Russia’s partners in the OPEC+ oil alliance indicated they would not boost output to fill cuts announced by Moscow.
The Saudi Arabia-led OPEC+ group will maintain output despite plans by the Kremlin to cut 500,000 barrels a day in retaliation for international sanctions, according to representatives, who declined to be identified.
Read more: OPEC+ won’t boost oil supply as Russia cuts, delegates say
Bank of Russia Moves to Hawkish Bias (12:06 PM)
Russia’s central bank kept interest rates unchanged but indicated it would consider a hike at its upcoming meetings if inflation risks worsened.
Policymakers kept their benchmark at 7.5%, in line with the forecast of all economists polled by Bloomberg. But in a changed tone, the central bank said in a statement accompanying the decision that higher borrowing costs may soon come into play.
Missile and drone strikes hit energy targets in six regions (11:40 am)
Ukraine’s energy minister said on Friday missile and drone strikes from Russia, the latest at more than a dozen major barrages since early October, affected thermal and hydro production facilities as well as high-voltage infrastructure.
“Emergency outages have been introduced in many regions. The most difficult situation is in Zaporizhzhya, Kharkiv and Khmelnytsky regions,” Herman Hlushchenko said on Facebook. He added that air defense and advanced technical measures are helping to maintain the integrity of Ukraine’s energy system.
Ukraine, NATO member begins artillery shell production (11:30 am)
The company said on its website that Ukrainian state-run Ukroboronprom has started making 120mm cannon shells in cooperation with the NATO member state. The NATO country was not identified.
Production will be partially located outside Ukraine. Ukroboronprom has been producing the 82-mm shells using the capabilities of a NATO member state — which is also not named — since December.
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