(RightWing.org) – Russia’s invasion of Ukraine has thrown the stock markets into turmoil. Prices crashed on Thursday before rebounding, but the volatility is likely to get worse as energy prices rise sharply.
US stocks took a nosedive on Thursday morning as traders woke to news of Vladimir Putin’s assault on Ukraine. Initial panic saw the Dow Jones fall by 745 points – around 2% of its value – and the tech-focused NASDAQ drop 286 points, again just over 2%. Every other major western exchange saw similar falls.
U.S. stocks fall as global oil prices soar past $100https://t.co/1xtRzQmOoa
— TheStreet (@TheStreet) February 24, 2022
However, the afternoon saw an equally rapid recovery as traders offloaded more vulnerable stocks, and by the close of trading, the Dow, NASDAQ and S&P 500 were all actually up. Traders can’t say the same for the Russian stock market, which lost almost 50% of its value on Thursday morning and remained down by more than 15% by Friday afternoon.
It isn’t all good news in the financial markets, though. Oil prices are already rising, increasing a full 8% on Thursday; Brent crude closed at $103 a barrel, the highest since 2014. High energy prices quickly filter through into higher prices for everything else, and with the global economy is still battered by the aftermath of COVID, that’s more bad news for businesses. It seems we’re in for some unsettled times.
Copyright 2022, RightWing.org