European markets are set to pull back on Tuesday as the prospect of a Western ban on Russian oil imports fuels concerns about inflation and a growth slowdown.
Peace talks between Russia and Ukraine in Belarus have made little progress in abating the escalating war, and investors remain skittish after theabout banning imports of Russian crude oil and natural gas.
Such a move could pose a risk of stagflation — a period of slow economic growth and high unemployment coupled with high inflation — for the global economy., though they gave back most of those gains throughout Monday's trading session. International benchmark Brent crude was up by around 3.7% to trade at $127.80 per barrel early on Tuesday morning in Europe, while U.S. crude was up 3% to hover around the $123 mark.