Asian stocks mixed, oil prices shoot past $115

Asian shares were mixed Tuesday after reports showed China’s manufacturing slowdown is moderating as anti-virus curbs on businesses in Shanghai and Beijing ease.

U.S. futures edged higher after markets were closed in New York on Monday for Memorial Day. European shares advanced on Monday.

Oil prices were trading above $115 per barrel following an agreement by European Union leaders to embargo most Russian oil imports into the bloc by the end of end of the year.

The pact, part of new sanctions on Moscow, was worked out at a summit focused on helping Ukraine with a long-delayed package of new financial support. The The embargo covers Russian oil brought in by sea, allowing a temporary exemption for imports delivered by pipeline. That was crucial to bring landlocked Hungary on board a decision that required consensus.

Benchmark U.S. crude oil gained $2.77 to $117.84 per barrel in electronic trading on the New York Mercantile Exchange. It added 98 cents to $115.07 per barrel on Monday.

Brent crude, used as the basis for pricing for international trading, advanced 76 cents to $118.38 per barrel.

China’s easing of anti-virus curbs on businesses in Shanghai and Beijing has raised hopes for stronger growth in the world’s second-largest economy.

An official survey of showed factory activity picking up in May though still below the level of 50 indicating expansion on a scale up to 100. The main manufacturing purchasing managers index, or PMI rose to 49.6 from 47.4 in April.

“The PMIs probably understate the scale of recovery this month given that the surveys mostly took place prior to when most restrictions in Shanghai were relaxed," Sheana Yue of Capital Economics said in a report. “We suspect that the hard data due over the coming weeks will reveal a stronger recovery."

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