obviously there is a different discussion on the gas cap from the oil cap, because zero cap is specificrussia, but the gas cap proposal will affect all gas purchase by europe, and it is right to focus on lng. the headlines will certainly focus on piped gas from russia, therefore targeting pressure comes to get the headlines, but the much more serious issue is what will be the price cap on lng and will there be a price cap on lng, because that is a more portable, movable product. if europe caps the price and demands that from asia and elsewhere, those tankers will turn around and go elsewhere, so europe will have to be extreme the careful on what will be the price cap mechanism in the review mechanism for lng, rather than for piped gas, because we know the future as we have heard is to try and acquire more and more lng because it can be sourced from different places and reduce piped gas, but ticket from russia, so the question of price cap on lng is much more critical than the price cap on the cows come in from russia, because if we get a strong recovery in the asian markets, they will p

so, so the question of price cap analogy, i think is much more critical than the price cap on the oil or the gas coming in from, from russia. because yeah, if we get a strong recovery the asian markets, they will pay a lot more for the gas, and europe could end up with gas shortages in addition to higher prices, if they don't get, if they get this pricing mechanism route for check is, is that much appetite in the u 2 kept the price of energy. well i, i don't know about the particular issue here, whether there is much appetite in europe, but there is much appetite in europe for broad energy package reforming and then the re power you program. they include the gas, the gas caps. it's also about introducing essentially the framework of a common european market and innovation in terms of getting more greener, alternative energy is more effective and an energy sources and lowering the consumption levels. so we need to look at it from the holistic perspective of what the you, meaning the commission and the countries want to achieve here. and there is a general agreement in the, in the direc

what discussions on the gas cap from oil because the oil cap is very specific to russia, but the gas cap proposal is, will effect on gas purchased by europe. and i think it is right to focus on energy . and the headlines were little strictly focus on, on piped gas, because that's coming from russia you're for, it's targeting russia. so you get to, to get headlines. but the much more serious issue is, what will be the price cap analogy? will there be a price gap analogy? because that is a more portable, movable products if you're cast the price and demand, you know, from asia and elsewhere, spikes, those tankers will simply turn around and go elsewhere. so i think europe will have to be extremely careful on what will be the price cap mechanism and the review mechanism for ellen. gee, rather than fur for pipe gas because we know the future as we meet hers ist and to try and, and acquire more. and more elegy, because it can be sorts of different places reduce pipe gas, particularly from, from, from russia. so, so the question of price cap analogy, i think, is much more critical than the

the price cap has — effect? thank you for having me. the price cap has been — effect? for having me. the price cap has been a _ effect? thank you for having me. the price cap has been a long _ effect? thank you for having me. the price cap has been a long time - effect? thank you for having me. the price cap has been a long time in - price cap has been a long time in the making. the way g7 parties plus a few countries it tended to work is for the shipping and insurance providers that are based inside those countries to stop providing their services for exports of russian oil. if that russian oil has been bought above a certain cap. it is true that american, uk and eu actors hold a lot of the share in the world of shipping and insurance services. so they're trying to use that leverage over russia. however, in practice, the cap isn't very far below what russian oil is selling out. it is already selling at a discount, in this cap of about $60 will only force that discount to grow slightly. 50 will only force that discount to grow slightly-— grow slightly. so are you imply

focus here on different caps but when it comes to the russian oil caps, this specific price cap on russian oil, the european union is moving closer to an agreement on that, i saw a document yesterday that stated the eu is preparing to put a cap at $60 a barrel for russian oil, it's important to repeat that, important detail, and the document also says that this cap is going to be reviewed regularly and it's going to sit at at least 5% below the average market price however, the key here is that poland is still not happy with this level of $60 a barrel, officials have told me that the polish government is having conversations about this level, they're deciding on whether or not they'll support it, but indeed this is the impasse whether poland is going to say yes and one official told me earlier you can't ignore the worries that the polish government has, so let's see how this evolve but without poland's approval this cap doesn't happen >> it's supposed to be kick-started as of monday. >> right. >> the g7 agreement is for the embargoes to kick in as of monday if they don't have a price cap a

energy ministers to agree on this gas price cap? hello, i mean the price scab on natural gas within the u has been quite a sony issue where governments are not a lie and in their view is for different reasons, including their dependence on natural gas, the importance of natural gas in the economy, their overall attitude towards government intervening in market mechanism and putting a cap. and also there is the fact that the opponents of the price scab cannot really find a sensible, evident, even there was even those who are for the price scab. that even if they agree on the principle of the car, they cannot agree on the level of that cap. so at what, what triggers what level of gas price we should see out there that should trigger the price gap and this is i thing, why are we getting all these divisions and controversy is, was in members. but in the last meeting that you had, i think we are getting more positive signal that you are closer to reaching an agreement on the price gap. how should they go about it in a way that makes sens

the $60.00 per barrel cap will take effect on monday. the u. s. pentagon unveils it's useless to stealth bomber after years of secretive development. the b $21.00 greater as the 1st new you're s bama aircraft and more than 3 decades. and we check in on the world cup and guitar with till we say messy for the australian team, looking for a spot in the quarter finals that's coming up later. ah, i'm hello mohammad walking to the program. he crane's president, vladimir lansky, has called for a lower price cap on russian oil. after the e. u and g 7 countries agreed to impose a price limit. the $60.00 per barrel cap aims to reduce moscow's ability to fund it or in ukraine with revenue from petroleum exports. russian authorities rejected the cap and threatened to stop supplying nations that endorsed it. it's the mainstay of the russian economy. fossil fuels now under pressure from e u countries who will ban insurance and finance for russian oil shipments. they sell for more than the price cap of $60.00 a barrel. the u as joining the united states and o

neither countries assigned up to the price cap. in the u. russian gas flows have fallen about 17 percent. germany, italy and the netherlands, remain the blocks biggest buyers. ah, let's bring in our guest. joining us for moscow, sergei markov was the director of moscow's institute of political studies under former spokesman for president vladimir putin in berlin. will rest bruckner, a professor of political find. stanford university in berlin. joining us from tuscany as chris refer, who's the chief executive officer of macro advisory, that's a consultancy focused on russia and eurasia. welcome to you all. thanks for your time. chris refers, so what impact will this price cap actually have on russia? will the price cover its own will have only emerge, the impact becomes a date the the budget which has just been passed, assumes and every total price is 70 dollars next year. dropping down to 60 in 2 years time. the big question is, what will happen to volumes? because as of tomorrow, as of monday, of course, of course, the band and im

if they sell for more than the price cap of $60.00 a barrel. the u is joining the united states and other g 7 nations. european commission, president rossa found the lion said the price gap would cut russia's oil revenues without causing price spikes in the broader market. that would hurt the world economy. it will stabilize global energy markets because it allows some russian seaborne oil to be traded, brokerage transported by e u operators to 3rd countries as long as it is sold below the cap. so this price cap will benefit directly emerging and developing economies. and it will be adjustable over time so that we can react to market developments together without partners. we stand united and firm in our opposition to rush us, atrocious war. the price caps scheme was originally floated by the us treasury department. the white house welcomed the e use move. frankly, we, we think that the, the $60.00 per barrel is, is appropriate. and we think it will have that effect. this is about balance and it was never about not having any russian oil on the

as long as it is sold below the cap. so this price cap will benefit directly emerging and developing economies. and it will be adjustable over time so that we can react to market developments. together with our partners. we stand united and firm in our opposition to rush us, atrocious war. and earlier i asked the debbie's russia, analyst, constantine exit. if the price cap will make much of a difference to moscow. i don't think it will have a huge effect, frankly speaking because there are many ways of bypassing this. i remember this on price cap concerns, essentially mostly those who insure the shipments and those who transport russian oil, for example, ah, you may claim or russians may claim that the oil is sold at 5999 while off to that. for example, the same country, for example, china or india will pay an extra rise for leather se russian wheat which is not banned by sanction. so i think it will have more a psychological effect. it will have some pressure on certain companies ago, for some of the insurance companies

a price cap on russian oil has come into effect. the g 7 european union and australia have set the price paid for russian crude shipped by sea to $60.00 a bow to limit moscow's ability to fund its war in ukraine. a car has exploded in northern syria, injuring one person. it comes as tension grows on the border with turkey, which has been targeting kurdish fighters. it blames for an attack any sambal last month. and 10 men accuse of involvement in the worst piece time attack in belgium's history are going on trial. 32 people were killed in 20 bombings at brussels airport and metro system in 2016. the child is taking place in a purpose built court in the former nato headquarters, north of the capital belgium. those are the headlines that next on al jazeera inside story stay with us. ah. west's relations try to empty russia's war chest by imposing a price cap on its oil. but keith says it's too high and the kremlin for shrugged it off. so we'll do anything to stop the conflict in ukraine. this is inside story . ah hello and welcome to

seeing the price cap, i'm using that to go shutting leverage. probably a bit of both, but actually the, as we said, the discounted price is below the cap already. but the advocates for capital, so i won't go that's, that's exactly what we want out. if global oil prices start going back up, presumably that will really hurt russia. if prices go up again and the g 7 are able to stick to the cap and imported originally and keep the $60.00 that russia will be losing adult, significant upside in refuse? absolutely. i think the questions even more the other way. what is process? keep falling on the price that russia is saving, stays below the cap. will the g sudden think? oh, well, we could talk further. we could make the cap $55.00 or $50.00 barrel, depending where russian, what is actually trading. they do have a mechanism to keep reviewing the cap and, and change those require. okay, so let's talk a bit more detail about the u. back on the cbo and crude oil, what impact will that have on russia? the use always been russia's major oil customer. of co

u k, canada, japan and australia have all also agreed to that cap. it's aimed at starving the kremlin of cash to fund its invasion of ukraine while avoiding the surgeon energy prices. the deal will come into effect along with an embargo on russian crude oil, which prevents shipments by tankers of the block that you aims to have that cap and placed by monday journal. how has moved from london. it's been the subject of really quite fraught negotiations between you remember states for months now initially over the sort of market economics of an oil cap at all. and then over the price at which any oil cap might be set, poland has joined estonia. they were the 2 main holdouts among the member states in agreeing to an e. u commission proposal made on thursday to set an oil cap at $60.00 a barrel. with that verification mechanism for the price to be revisited every 2 months to ensure that it remains at least 5 percent in theory, at least 5 percent below, whatever the market value of russian is deemed to be. now this isn't going to affect pretty much in any

ukraine would like the cap to be lower still? to i like the cap to be lower still? if the cap was lowered what impact mind i have? the cat might be lower for natural reasons. now, the buyers of russian oil including india insist on very huge discounts and last week some of the... russian oil on the baltic with oil that was valued not at 60 but it 52 dollars per barrel and there are other sensitive issues for russia, for example the freight costs of... almost doubled since the beginning of the war and i don't think that commercially russia is going to capitalise on the relatively large cap for the press. just very briefly, russia is saying this will endanger the energy security of the eu and the g7. have they got enough energy supply to replace what they are not going to take from russia?— replace what they are not going to take from russia? right now, there is no shortage _ take from russia? right now, there is no shortage of— take from russia? right now, there is no shortage of oil— take from russia? right now, there is no shortage of oil supply - take from russia?

so end of the cap kickin. if the benchmark gas price spikes to a $180.00 euros per megawatt hour, and if it's well above the price on global markets, the capital come into effect from february next year. however, some experts have criticized the move for artificially distorting the energy market . and joining us now is t pros, energy analyst and professor seals, poet in paris, and thank you very much for joining us again. a terry, i'm so how do we expect this gas price cap to walk? well, as you've seen, the commission has agreed with member states to a cafe gas at $180.00 europe area with our which is much low at 35 percent lower than the 1st truck. it's a class $275.00. you can make it with our but i think it's a fiddling on the market, so they try to caps. it's, it's, it's going to work. maybe not. because i mean, are we at the objective of the commission was to try to reduce not on need the gas price that electricity price. but again, we have to understand that we have extreme high prices in this last year

so what impact will this price cap actually have on russia? will the price cover its own will have only emerge the impact except to date the, the budget which has just been passed, assumes, and every total price is 70 dollars next year. dropping down to 60 in 2 years time, the big question is, what will happen to volumes? because as of tomorrow, as of monday, of course, of course, the band and importing oil from russia anyway, i won't be watching any seaborne crude from tomorrow. from next february, the fan will extend to the much more important the bigger volume of products. so the big question for rushes, how much of that volume it would be able to shift to other markets, to china, india, turkey and other asian markets. and will they abide by the cap or will they continue to the current formula? which is essentially about 5 percent discount to whatever the brand price is at the time. so the cap on its own isn't going to have much impact. it depends on the volumes. ok, got it. so good mark of over in moscow, the russian foreign minister is qu

our gas price cap to walk. well, as you've seen, the commission has agreed with member states to a cafe gas at $180.00 euro per mia with our, which is much low at 35 percent lower than the 1st draft south west 275. you are familiar with our but i think it's a fiddling on the market, so they try to caps it's, it's, it's going to work. maybe not. because i mean, a, we, at the objective of the commission was to try to reduce not on need the gas price that electricity price. but again, we have to understand that we have extreme high prices in this, alaska because of the ability to market to mitigate the russian destruction. and they had guaranteed secrete, yup, supplied. so they, the trade off here between high prices, increased security for price, and the cap that could reduce secrete your supply. ok, in some countries had points concern over the price cap, the full to vote today. what was behind that main objections? would you say? well, i mean, the 1st objection, as i mentioned, it's the treaty of supply. this i

she gave us her analysis of the price cap. to actually see how this eu boycott will actually take place and how it will affect, that will take effect on monday. on top of that, now there is this oil cap, which was very much promoted by the g7 and specifically the united states. so $60 as it's now, it's been put, you know, it remains to be seen whether it really hurts moscow very much, because effectively, there is already a price cap on russian maritime oil, given that, for instance, turkey, but also the middle east and of course, india and china already pay their oil, russian oil with the discount. i see. and some countries were asking or lobbying or suggesting an even lower cap, $30, for example. and we've just heard from president zelensky of ukraine, describing this as not serious, saying it's quite comfortable for moscow. what do you make of that? yeah, well, to a certain extent, i agree with that. i mean, moscow or russia pays around 35, $30—40, if you like, to actually technically, if you like, produce the oil and trans

is not a low cap. well, i mean j g 7 and the european union, they have to really thread a needle on one side. you do not want russian or russia to get too much for their oil on the other side. if the price is too low, then a rush actually might flow down a production and that eventually could drive oil prices around the globe and higher . we shouldn't forget russia is the 2nd biggest oil exporter on the planet. so that's why i get those experts we're looking for the middle ground and that number obviously is 60 and so what sort of impact has the cap taking effect today had on markets in particularly the oil prices? there up initially when the trading started this morning we saw a spike in oil prices, but that change the quality rather quickly. and eventually i price with the new york w t i we're talking here is down a good to 3 percent brand. if i saw that correctly hit the lowest level since a generate what's going on on the oil mark. so for one, you have the cap and we don't know yet. effect those th

again, going back to the russian oil price cap. it seems to me that a lot of the onus is on the shippers to ensure that no oil that is transported out of russia is sold at a price more than $60. how likely is it that these shippers s adhere >> that is a good question there is a plan to reduce the price gap. it will be going through the ban on financing and insurance on the sales and transportation it remains to be seen how it will be enforced there is a little bit of uncertainty for stability. >> angelina, when it comes to russia's response to the g7 price cap? do you see them playing ball i wonder down the line how they will respond >> we heard and seen some statements, but the element is russian oil is traded at the discount the $60 discount is in line with that price the second point is russian halted the volumes of the supplies to europe we expect that probably next year there will be russian gas coming to europe that means a certain impact on the economy and the russian budget because oil and gas experts provide cash flows i s

u commission proposal made on thursday to set an oil cap at $60.00 a barrel. with that verification mechanism for the price to be revisited every 2 months to ensure that it remains at least 5 percent in theory, at least 5 percent below, whatever the market value of russian is deemed to be. now this isn't going to affect pretty much in any way e u countries ability to buy russian oil at any price. because from monday, december, the 5th a band comes into play only you countries buying any rational at all where it has global significance. though, in limiting you countries ability to license and insure vessels. many of them registered in new countries carrying the cbl in russian oil. the so called euros oil to big oil consuming economies like india and china. so the point of any kind of a russian oil price cap is to take as big a bite as possible out of russia's war chest independent experts appear to agree. they're already pointing out that this measure as set now appears somewhat toothless with the value of rational already just about $60.00 or even less as i ju

from january, germany will cap gas and electricity prices. euros. itzel costing country around 300 billion euros. —— it's all costing. 300 billion euros. -- it's all costing-— 300 billion euros. -- it's all costinu. ~ ,, ~ ., , costing. translation: the gas bill has not _ costing. translation: the gas bill has not arrived _ costing. translation: the gas bill has not arrived yet - costing. translation: the gas bill has not arrived yet so - bill has not arrived yet so let's see how it looks when it comes. ? let's see how it looks when it comes. ., , comes. ? the government is incapable — comes. ? the government is incapable of— comes. ? the government is incapable of supporting - comes. ? the government is incapable of supporting us. i incapable of supporting us. they tell us help is on the way nothing — they tell us help is on the way nothing is _ they tell us help is on the way nothing is done.— nothing is done. chancellor olaf scholz _ nothing is done. chancellor olaf scholz could _ nothing is done. chancellor olaf scholz could do - nothing

the $60—a—barrel cap was approved yesterday.ton says the move will restrict revenues for russia's war in ukraine. louisa pilbeam reports. the latest russian missile strike in kharkiv. more destruction and suffering, in a war that is showing no sign of ending. but a move by the g7 — the world's seven largest advanced economies — australia and the european union, to cap the price of russian oil is hoped to bring an end to this war closer. they've agreed to restrict the price of russian oil at $60 a barrel — hoping to wound russia with another financial sanction. this price cap has three objectives. first, it strengthens the effect of our sanction. second, it will further diminish russia's revenues. and thirdly, at the same time, it will stabilise global energy markets. the limit will come in on monday, after the eu persuaded poland to back the plan, after warsaw initially considered it too high. and some market experts believe it's more of a symbol of rebellion against the kremlin than a realistic financial weapon. they want one m

this price cap has three objectives. first, it strengthens the effect of our sanction.t will further diminish russia's revenues, and thirdly, at the same time, it will stabilise global energy markets. well, earlier, ispoke to our north america correspondent david willis, and asked how these new oil sanctions against russia will actually work. well, this is a measure that was actually initiated by the g7 nations. basically to cut the funding to russia and its war machine, as far as ukraine is concerned, whilst not destabilising the global energy market, at a time of course when energy prices are rising. so this plan is to basically prevent ukraine's allies from insuring any cargoes of oil reaching western nations, and that means that because of most of these insurance companies are actually based in g7 nations, that that oil will no longer get through. the danger, of course, is this could rebound, taking so much russian oil off the global marketplace that that could cause oil prices to spike. but there has been a lot of debate about this in europe and elsewhere, and now,

we were talking a few months ago, does the spr cap on the downside, does chinese cap on the downside?t is three things, spr downside, chinese cap. after the beginning of the second quarter that story has been significantly overblown. one thing they do to keep prices elevated. we think prices would be much lower with other pools in the market. alix: let's go to supply point for a moment. the demand side is one of it, the supply part you see the u.s. supply is going to come on strong. there are concerns about productivity, we have drilled the most mature wells, do you see that evolving differently? ed: yes, we do. if we look at the latest real numbers provided by the department of energy, they have as of september revised numbers to about $12.3 million -- 12.3 million barrels a day. we keep ignoring total supply from the u.s.. at two the 6 million barrels in u.s. liquids, biofuels, about one point 5 million barrels in processing, refinery used to its limits, we would supply in september over 20 million barrels a day, more than any other country in the history of the world. we expect 12.

the kremlin rejects a price cap on russian oil. it comes after the you joined the us and the other g 7 countries to limit moscow's funds for its war in ukraine. the $60.00 per barrel cap takes effect on monday. also coming up with the berlin, rename some streets that have long celebrated colonial administrators in africa, replacing them with the names of african resistance partners. and another world cup surprised south korea's last minute winner against portugal sees them qualify for the last 16 we'll hear from our correspondent income. tar. ah, i'm nick spicer. welcome to the program. the kremlin has rejected a price cap on its oil exports insisting it will be harmful to free, stable markets. the e, you agreed to cat oil at $60.00 a barrel to reduce moscow's ability to fund its war and ukraine with revenue from petroleum exports. the e u. joy's the united states and other g of nations and sanctioning russian oil, which recently traded at about $65.00 barrel. the measure will come into effect on monday and intensifies western pres

the jury is still out on the impact of a cap. francine: do you think we will even get a cap? if there is, is there a sweet spot for the kappa even if it does not make much of a difference in what happens to russian oil? ole: there might be a cap, but at the same time, we have worries about russian retaliation if the cap prevents them from selling at prices that they are selling at now. as you mentioned, tom, they are already selling at a steep discount to brent. if they start to be forced to sell below that current level, they could retaliate. that is also a worry right now for europe because we need to look elsewhere for our oil and the u.s. is starting to get stressed to produce and supply that. tom: do commodities continue to outperform in 2023? ole: i think they do. they will still be doing very well and with the prospect of earnings growth still coming with the economic slowdown, this is the commodity market where we can still move higher even if we potentially hit recessions around the world because the supply still challenged to the extent that the prices will remain s

or mid-caps.ng into next year, you need to consider the situation around energy costs and the u.k., we'll be seeing energy costs continue to climb from april onwards. that will clearly weigh on disposable income for people. we expect unemployment to start to pick up as the recession starts in various categories. small and mid-cap in the u.k., a lot of it is exposed to consumer discretionary spending and one needs to be slightly cautious coming into 2023. i will end on that by saying by 2024 that could look interesting , and if we use a discounting mechanism, certainly by june we should be starting to look constructive on consumer discretion. guy: one final quick question. the yield on the ftse, 4% plus, the problem is that has to compete with credit and with bonds. you think it still stacks up? alan: you are right. effectively the discount rate has gone up for the alternative risk rate has gone up. the differences we are still looking at companies that are growing their dividend as opposed to the

the $60.00 per barrel cap takes effect on monday. the u. s. pentagon and veils its newest stealth bomber. after years of secret development. the b $21.00 reader is the 1st new us bomber aircraft and more than 3 decades. oh wow. oh wow. you know, and berlin renamed some streets that have long celebrated colonial administrators in africa, replacing them with the names of african resistance fighters. ah, a michael ok, welcome to the program. the kremlin has rejected a price cap on its oil exports insisting it will be harmful to free, stable markets. the e, you agree to cap oil at $60.00 a barrel to reduce moscow's ability to fund its war in ukraine, with revenue from petroleum exports. the you joins the united states and other g 7 nations in sanctioning russian oil, which recently traded at about $65.00 a barrel. the measure will come into effect on monday and intensifies western pressure on the kremlin over its invasion of ukraine. european commission president ursula funder line said the price cap would have a wide range of implications. it

russia rejects the eu price cap. oil gains on optimism over china's reopening. and as opec plus keeps production study. the wall street journal reports saudi arabia crown prince mohammed bin salman is preparing to take a stake in credit suisse's investment bank. francine: let's take a look at the futures. kind of trading sideways, but we had positive news out of china. the ftse down like the dax futures. tom: it seems to be the china story is overriding the concern. maybe it will make some difference in the markets. the unemployment level remaining at three point 7%, so some investors revising whether the terminal rate will end up there. the majority thinks it will be 50 basis point. but it is the china story, the pivot that has come through in the last 24, 48 hours, with concrete measures and some of those cities, and the implications across the commodities space. mainland china, but also in hong kong. we will break that down for you shortly. the spanish ibex down 0.1%. the ftse 100 currently range bound. let's chan

well, on actually, i think that's the price caps. it is a kind off, but me sure of do this parisian of rom, european countries. and as a g 7, of course i the, everybody knows that that will not work. everybody knows that russia add a lot of time to prepare for zis or an application of price caps. and we'll probably introduce our sub count of juniors or for that. and a, you know, and in the end, are i saying that i, urine countries e u countries, i will not be very, very, am hope to say it will be very uncomfortable with this kind of news which has been proposed mostly for political effects. you know, governance well under pressure to do something. ok. but one of the deed was something stupid and now is they have to leave with the consequences of what the deed. so i think that this problem will not be a major problem for russia, even if, even if it reduce the volume of some or export. yes, that's quite possible. but is a major problem will be you and probably the oil price. we'll try and, but again, you know, that right now is, are sl