A Safe Haven Against Oil Price Movement

As a result of the Russian/Ukrainian war, gold, oil, nickel, and wheat prices have all reached 14-year highs, and some analysts predict that oil will continue to soar above $200 per barrel in the coming months.

The Federal Reserve is expected to announce and maybe approve a quarter-point interest rate hike between March 9th and March 16th, depending on influencing factors from recent events.

Economic issues are at stake in this particular circumstance. When the amount of a specific commodity available in the world decreases, the price of that commodity rises as long as there is still a demand for it. When it comes to supply and demand, this is the ultimate game changer when demand is high but supply is sluggish… Despite the fact that the hydrocarbon energy market may be separated for microeconomic research into the oil, gas, and coal markets, the “global hydrocarbon market” will be badly affected for the same reason

Despite Russia’s purposeful cut in gas output to keep the heat on in Europe’s consumer countries during this End Winter Period , the country’s output was not reduced sufficiently to store additional supplies. As a result of this, European gas prices have soared (by up to a few hundred percent).

While the Russia -Ukraine conflict continues, the US has begun diverting gas from the domestic market and exporting it to Europe in massive LNG tankers in an effort to keep its largest trading partner out of recession and prevent Russia from gaining more clout over NATO members. This has the impact of reducing the overall supply of hydrocarbon energy in the United States. A spike in energy demand, along with a decrease in accessible supply in the US market, is driving up the price of all forms of energy, including gasoline.

This, however, is not the complete picture. According to economic theory, a sense of uncertainty about one’s own future, along with the notion that the future may be worse than it is now, can lead to hoarding, which will only grow over time.

Energy costs grow as more energy is removed from the market and sold at a higher price as a result of hoarding. As a result, anytime there is a risk of an interruption in European supply, gas prices in the US rise.

Ukraine Has Political Merged Both China and Russia Against the United States

The New World Order Is Here ….

To prepare for higher volatility, buy the decline(the Dip ) in any equity you’re interested in with extreme caution during the next two weeks. The market is predicted to be volatile during the next two weeks, so be ready to profit from any dip that occurs during that time period. The S&P 500 and the bitcoin market may both react in similar ways.

In November of last year, a variety of central bank actions throughout the world led in a sell-off in cryptocurrencies and technology-related companies.

The Federal Reserve is responsible for ensuring that average inflation does not exceed 2% and that unemployment does not exceed 4%.

Full employment has been slagging , and inflation is predicted to reach 8% in March. The Federal Reserve is anticipated to hike interest rates at least four times this year and to wind down its quantitative easing (QE) program, in which it acquires assets.

According to observations, when the Federal Reserve began hiking interest rates in recent years, cryptocurrency values surged in response, but only after a temporary bear market. In January and February of 2022, we saw a positive response and there is a higher possibilities , that the authority will introduce a resonable regulation that favor to help the country boost the cryptocurrency industry in order to bring new investment to boost new employment opportunities

Will Present Inflation Extends Into Debt And Oil Deflation Crisis?

Inflationary pressures do not appear to be on the horizon at this time. Businesses have used historically low interest…

Markets has been swinging sideways recently tafter he outbreak of the Ukrainian/ Russian crisis, On the surface, it appeared that the market price had accounted for the worst-case situation.

We are today confronted with the problem of other countries being unwilling to actively assist Ukraine as a result of Russia’s threat to use nuclear weapons. As a result, they are forced to engage in economic warfare through the use of trade and financial sanctions, the long-term implications of which are unknown.

Gold is Playing the Major Influence Behind The Russia /Ukraine War

We believe that, as much as we despise Russia, initiating further conflict with them at this moment is not a sensible…

The Russian’s Consequences Reappear

The price of oil and other commodities surged almost immediately as a result of Russia’s coordinated sanctions. Economic sanctions that have a “damage over time” effect on Russia’s aggression against Ukraine will not be enough to halt it.

Fear has gripped the Russian people, and the country is now threatening to default on its debt obligations in order to persuade other countries not to impose sanctions.

Russia will suffer as a result, since the ruble’s stability as a national currency would be diminished rather than reinforced. You could expect to see a lot more of this country’s decline in the future.

Putin, on the other hand, is unlikely to be convinced in any way. If current trends continue, a war win will leave his country in an economic slump and a geopolitical isolation.

As a result, Russia will almost become a Chinese colony, with China gaining entire control of Russia’s oil reserves .Both country seems to have intention to manipuated on oil prices , as three of the world biggest oil producer are standing togther _ including Russia , Iran and some members from OPEC

Recessions are rarely precipitated solely by an increase in the price of oil. Many “Western” countries’ economy were already in crisis before Russia invaded but from look of situation , it can only get worse

As a result of the above mentioned causes, the market is facing a decline.

In reaction to recent years’ out-of-control inflation, the Federal Reserve and other central banks have raised interest rates. The mathematical result of these behaviors is that the value of equities and cryptocurrency falls.

This chasm was widened by the Ukraine crisis, which was aggravated by the plethora of unknowns connected with war.

Investors are growing increasingly anxious about the country’s macroeconomic stability as a result of the country’s economic sanctions.

The outcome of the war will determine whether or not the downturn continues. For years, it was always assumed that rising oil prices were enough to throw the economy into a recession on their own. However, the combination of these additional elements may be sufficient to induce possible Hyperinflation.