Russia and Ukraine may not have strong ties to the global economy, but investors are already betting that a power outage will lead to higher inflation, weaker growth and a difficult demonic task for central banks.
On Thursday, Russia launched a military offensive following weeks of tensions with Ukraine, putting financial markets in jeopardy. Ukraine suspended currency and capital trading, and Russia’s MOEX share index fell more than 30% after a few hours of exceptional closing. The aftershock affected European, Asian and US stock markets. European corporate bonds were also sold.
The Fog of War in Ukraine reaches the Central Banks
Source link The Fog of War in Ukraine reaches the Central Banks