Russia tightens ties with China as West offers $16 billion lifeline to Ukraine

Anil Panchal FXStreet

China President Xi Jinping and his Russian counterpart Vladimir Putin cemented friendship and jointly criticised the West, which moved to buttress Ukraine against Moscow's invasion with nearly $16 billion in financial aid and faster delivery of battle tanks, reported Reuters.

The news reports developments during Chinese President Xi’s visit to Russia while stating that Xi and the Russian president referred to each other as dear friends, promised economic cooperation and described their countries' relations as the best they have ever been.

The news also quotes the joint statement accusing the West by mentioning that the United States was undermining global stability and NATO barging into the Asia-Pacific region.

“The West has sought to isolate Russia over Moscow's invasion of Ukraine, and Putin faces an arrest warrant from the International Criminal Court and global sanctions against his government and economy,” also mentioned Reuters.

Key quotes from Reuters

Russian President Putin praised Xi for a peace plan for Ukraine that he proposed last month and blamed Kyiv and the West for rejecting it.

But Xi, who was due to depart Moscow on Wednesday, barely mentioned the conflict, saying that China had an ‘impartial position’ on it.

Responding to the meeting, the White House said China's position was not impartial, and urged Beijing to pressure Russia to withdraw from Ukraine's sovereign territory to end the war.

Market reaction

Given the traders’ focus on banking crisis and the Federal Reserve (Fed) monetary policy meeting, the news failed to gain major attention.

Also read: Forex Today: Market sentiment improves ahead of the Fed, DXY resists

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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