With what has occurred today, here is a timely piece from Russell Investments about the current situation in Ukraine.
What many feared may happen came true overnight with Russia invading Ukraine from all sides—Crimea, Belarus and Russia.
Events have moved quickly since our update on February 22. It’s unclear whether this is the shock and awe phase of a limited incursion or the beginning of a full-scale invasion that seeks regime change in Kyiv. The invasion represents a humanitarian tragedy with terrible consequences for millions of people. Investment markets are now reacting to the uncertainty created by events. The implications for European and global political stability are a key issue. We are evaluating the portfolio implications of events through our cycle, value and sentiment (CVS) framework. We’re assessing the risks to our global cycle view from a full-scale invasion. We also continue to monitor our composite sentiment index to judge whether investor psychology has reached an unsustainable level of panic that justifies a more risk-on stance.