Oil prices have surpassed 0 per barrel, and stock prices around the world have collapsed after Russian President Vladimir Putin declared a “military operation” in Ukraine with a hint of a bigger war.

Exchanges have collapsed since earlier this week after the Kremlin recognized two breakaway regions in eastern Ukraine on Monday night and later sent “peacekeepers” to them.

The Russian president called on the Ukrainian military to go home and promised revenge on anyone who intervened in the conflict between the two countries.

Oil prices soared, with Brent hovering at 0 a barrel, an unprecedented value since September 2014. Gold and the Japanese yen, described as “safe havens for investors”, jumped dramatically.

The dollar has risen more than six percent against the ruble, which has collapsed in recent weeks amid fears of sanctions on the Russian economy.

In the stock markets of Hong Kong, Sydney, Mumbai and Seoul, shares fell by more than three percent, while in Tokyo, Singapore, Taipei and Wellington fell by more than two percent. There were also heavy losses in Shanghai, Manila, Jakarta and Bangkok.

This is a new crisis against the backdrop of the struggle of world governments to control high inflation, fueled by demand after the lifting of restrictions on the Covid pandemic.

/BGNES

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