European stocks steadied from losses in the previous session, while crude oil and European natural gas prices were little changed as U.S. President Joe Biden prepares to meet NATO and G7 leaders to discuss allied responses to the war.

The Stoxx Europe 600 index is still down more than 6% this year, having opened 0.2% higher, weighed down by the conflict in Ukraine exacerbating inflationary pressures and worries affecting the region’s economy. Germany’s Xetra Dax rose 0.2%, while London’s FTSE 100 edged up 0.1%.

Meanwhile, U.S. Treasury prices continued to slide as global bond markets maintained their worst recession Since at least 1990, the Fed has been determined to raise interest rates despite the economic risks posed by the war in Ukraine.

The yield on the benchmark 10-year U.S. Treasury note, which is inversely proportional to the price of debt securities and underpins global funding costs, rose 0.03 percentage point to 2.35 percent, just shy of its highest level since May 2019.

On Thursday, Biden will attend a NATO summit of heads of state in Brussels to discuss deterrence and defense efforts to deal with Russia’s invasion of Ukraine. He will also meet with G7 leaders to address “the consequences we impose on Russia for choosing war,” according to a White House statement.

“It’s been a month since the Russian invasion of Ukraine began, and there’s no question that this remains the most important event in the market,” said Deutsche Bank strategist Jim Reid.

But in Europe, “there is very much opposition at the moment to a total embargo on Russian oil and gas,” he noted.America has already banned Russian oil imports, which the UK plans to phase out by the end of the year.

German Chancellor Olaf Schultz warned on Wednesday that blocking Russian fossil fuel imports “would mean a recession for our country and Europe as a whole.” Germany imports one-third of its oil from Russia, and more than half of its natural gas and coal.Annual pace of consumer price inflation in the euro area make a record It was 5.8% in February, and economists predict the war will lead to a further rise.

Brent, the international benchmark, was flat at $121.53 a barrel, up about a quarter since February 23, the day before Vladimir Putin launched Russia’s invasion of Ukraine.top oil trader warnat an event in the Swiss Financial Times, crude oil prices could climb above $200 a barrel this year.

Natural gas futures, tied to the European wholesale gas price TTF, were steady at 113.5 euros a megawatt-hour, after surging as high as 132 euros on Wednesday. assertion Putin believes that “unfriendly” countries should buy resources in rubles, which could jeopardize existing supply deals. The price is six times what it was a year ago.

In Asia, Hong Kong’s Hang Seng fell 1%, reflecting decline On Wall Street and European markets on Wednesday, investors weighed the prospect of central bank tightening and higher commodity prices. Mainland China’s CSI 300 edged down 0.6%.

The yen fell to a roughly six-year low against the dollar, falling a further 0.4 percent to 121.64 yen after the Bank of Japan maintained supportive monetary policy and rising oil prices weighed on Japan’s current account. A weaker yen has supported Tokyo’s Topix, which is down just 0.5% this year after closing 0.1% higher on Thursday.