Anti-Russia sanctions blowback: What to expect
▪️Energy: Oil smashes $130/barrel this week, natural gas hits all-time high of $3,900/1,000 cubic meters, record US gas prices of $4.17/gallon
▪️Inflation/Recession: The IMF already calls spiraling energy prices “very serious” as inflations keeps shooting up. Analysts claim there is no way the US and Europe can replace Russian energy within 12 months
▪️Food/Commodities: Russian and Ukrainian wheat exports (30% of global market) and Russia’s nitrogen-based plant food production (14%) threatened; Aluminum, steel and nickel all hit record highs this week.
▪️Airlines: EU’s March 28 deadline for leasing companies to wind up contracts in Russia, flight bans and titanium supplies all driving up prices for airlines and customers.
▪️EU Trade: In 2021, Russia-EU trade increased 42.7% to $272bn, with Russia 5th-largest partner for EU exports and 3rd-largest for imports.
