Russian President Vladimir Putin is reportedly resisting renewed calls for peace negotiations while Moscow believes it can improve its military position in Ukraine. Sources familiar with the Kremlin's thinking say Ukrainian attacks on Russian oil facilities and ports have strengthened Putin's determination to continue the war. Diplomatic pressure from the United States and European governments has so far failed to produce a new negotiating process. Ukraine says any settlement must protect its sovereignty and security, while Russia continues to demand political and territorial concessions. The continuing conflict is placing additional pressure on European defence budgets and energy markets.
