Following Russia’s invasion of Ukraine, stocks have plummeted, with Dow futures down 800 points.
The Dow Jones Industrial Average futures were down roughly 800 points in pre-market trade on Thursday, after Russian President Vladimir Putin’s invasion of neighboring Ukraine.
The Dow fell 465 points on Wednesday as investors realized that Putin would not be deterred from carrying out what he called “a unique military operation” in Ukraine. As Russian soldiers assaulted Ukraine from the west, south, and north, there were reports of explosions and other military action in Kyiv and other cities.
President Volodymyr Zelenskyy of Ukraine proclaimed martial rule on Thursday and said that the nation had cut diplomatic relations with Russia, while urging Russians to speak out against the situation.
A couple of people On February 5, 2022, Sofia Chygyryn, 19, and Vadym Beilakh, 19, pose for a photo during territory defense training in Kyiv, Ukraine. Sofia, a business psychology student, and Vadym, a management student who also works on the side, attended the course for the first time to prepare while the situation was still calm. “Be prepared for the worst, but hope for the best,” they urged. They expressed gratitude for not seeing individuals in military attire eight years ago. They prepared an emergency kit a few days ago and are most concerned about losing someone. “Every citizen is accountable for the situation and for his family,” they stated. In recent months, Russia has gathered around 130,000 soldiers and military equipment along the Ukrainian border in recent months, heightening tensions and fears of a larger-scale invasion. Ukraine has been at odds with Russia for over eight years, since Russia invaded Crimea in 2014 and sparked a conflict in eastern Ukraine by inflaming separatist sentiments, deploying soldiers, and arming pro-Russian groups.
However, if we are militarily attacked, if they attempt to take away our freedom, our lives, and the lives of our children, we will defend ourselves, “he declared in a televised speech. When you assault, you’ll see our faces, not our spines,” says the narrator.
President Joe Biden has issued a statement condemning the actions and promises to address the country on Thursday. Many other countries condemned Putin’s decision, which had been widely anticipated for days, and the European Union was scheduled to convene later.
“Russia alone is to blame for the death and damage that this strike will cause, and the US, its allies, and partners will react in a unified and decisive manner,” Biden stated.
Following initial measures announced earlier this week, the US and Europe have promised to impose more restrictions on Russia and Putin’s top allies.
The invasion also roiled global energy markets, with the price of a barrel of oil reaching $100. Russia is a major supplier of oil and natural gas, particularly to Europe, and it’s uncertain if other producers, such as Mexico, Canada, and the Gulf states, will increase output.
Investors are already concerned about growing inflation and the Federal Reserve’s intention to hike interest rates as soon as next month, prompting the market sell-off. Gasoline prices have contributed significantly to the overall rise in consumer prices, which are now 7.5 percent higher than a year ago.
If Russia is successful in gaining control of Ukraine or harming its economy, it may have ramifications beyond the oil markets. The nation is a large exporter of important metals like uranium, titanium, and manganese, as well as a large producer of barley, potatoes, rye, and wheat.