- Financial markets are reacting as expected to the heightened uncertainty. In the first days of the invasion, global equities plunged while safe-haven assets rallied.
- In short, while we have anticipated a broader, cyclical turn against the dollar could be underway, this shift in favor of other currencies—including emerging markets—could be pushed further out.
- Ukraine’s demonstrated resistance could make annexation difficult, while crippling economic sanctions would impair Russia’s ability to successfully maintain control over Ukraine.
For further details see:
World Order In The Balance