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U.S., Europe Dig In for Long Economic Standoff With Russia
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Western governments are bracing for a protracted economic confrontation with Russia over its invasion of Ukraine, as Moscow fights back against international sanctions by disrupting energy and food supplies.
On Wednesday, Russia cut natural gas flows on the crucial Nord Stream pipeline to Germany to 20% of capacity, down from 40%, stoking fears that Western Europe might not be able to stockpile the gas it will need to get through the winter. Natural-gas prices in Europe in early trading rose more than 8% to about 220 euros, equivalent to $223, a megawatt-hour in response to the move.
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