8 minutes agoWar impact on global markets expected to raise prices for some products
Periskopi(4 years ago)
(4 years ago)A war in Ukraine can have serious consequences for the European economy and beyond, the world. Energy supplies with gas and oil would take high prices, while much food uncertainty would be exacerbated due to the gross supply and chemical trash. As soldiers move in the field in wartime, beside them [...]
As soldiers move in the field in times of war, international stock exchanges are alongside them.
Economic analysts around the world have predicted the movement of stock exchanges in the event of a war between Ukraine and Russia, where, according to them, it will have immediate impact on the price of oil and gas.
Financial markets have been largely uneased by war alarms between Ukraine and Russia, but with the first crack, economists and central banks will review their interest rates.
However, the crisis has provided effects on the rise in oil and gas prices, as well as the main metals used for car production, electronic equipment, cooking vessels, and construction.
In the short term, a Russia-Ukraine war, even limited, would spur a large increase in oil and gas prices, especially in Europe.
Russia brings about 30 percent of Europe's oil and 35 percent of its natural gas to Europe, which would be interrupted in the event of conflict.
The price of oil could go above $125 per barrel, while gas prices will increase even more.
The next scenario where massive sanctions are imposed against Russia has a strong impact on prices.
If all European countries ban the purchase of Russian gas and oil, the impact on the price would be great, with oil increasing to 175 dollars per barrel and gas at 250 dollars.
Food prices would also have increased. Ukraine and Russia are among the largest wheat growers in the world in the first five.
War would affect the production of barley, corn, sunflowers, and other seeds.
23 percent of ammonia, 17 percent of the potas, 14 percent of the bridge, and 10 percent of the phosphates are exported from Russia, where the agricultural sector and chemical waste used for it would see significant price increases.
The crisis at the Ukrainian border is one of the most serious for Europe and world security of post-World War II.
Diplomats are committed to finding a way to not escalate the situation, as all sides are lost.
