What Is The Stock Market Struggling With? It’s Not Basis Points, It’s Missiles
President Biden described the Ukraine War as violent and pointless while speaking before the UN last Wednesday. Many investors would have assumed that he was alluding to the stock market, which is now having its worst month ever. The S&p 500, the tech-heavy NASDAQ, the Dow Jones Industrial Average, and all of these indexes have all decreased this year by over 15%. And it makes perfect sense if he calls this style of performance “brutal.” I’m not so convinced it’s nonsensical, though
Oh, sure, the majority of the financial press has concentrated on the Federal Reserve’s most recent effort to raise interest rates.
The looming threat of World War II is what’s driving this bear market’s expansion. Both the United States and Russia are escalating day by day in words and deeds. Someone needs to step back to stop this war. However, neither Putin nor Biden appear willing to relinquish power.It’s turning intimate. And that is an awful thing.
That is directly in your face and is intimate. When did a president of the United States last demand the ouster of the ruler of a large power? President Biden remarked, “For God’s sake, this man [Putin] cannot continue in power,” and that is exactly what he meant.
Its only goals were to defeat Nazi elements of the Ukrainian military and to protect ethnic Russians in Ukraine (Azov Regiment).Vladimir Putin requested last week that 300,000 more troops be partially mobilised to assist in the conflict.
Greater escalation
The US is being pleaded with by President Zelensky to provide long-range missiles to attack targets inside Russia. The Pentagon and hard-liners in the White House are arguing about providing these weapons. Some people in the White House urged the President to send the rockets and so expand the war’s frontiers in order to endanger the Russian Homeland. So far, Biden has resisted this kind of intensification. But it’s possible that he’ll eventually give in to the State Department hawks.
In his speech last Wednesday, Putin explicitly made reference to these missiles. He feared that the US and NATO would bring these long-range missiles right up to the border between Ukraine and Russia. Additionally, Russia would have little to no protection from that vantage point. Direct danger to the Russian homeland would result from it.
The leader of the nation with the biggest nuclear arsenal in the world then said the following:
- We will undoubtedly employ all the weapon systems at our disposal to protect Russia and our people in the event that our nation’s territorial integrity is threatened. This is not a bluff.
- It would be disastrous if these missiles were given to Ukraine. It’s possible that President Biden was paying attention. He now carries a heavy burden.
- You may be sure that the Pentagon is keeping a careful eye on this scenario. Navy Rear Admiral Charles A. Richards, the head of US Strategic Command, said in a statement on Friday that we are currently seeing something we haven’t experienced in 30 years: “an armed conflict from anuclear-armed adversary Richards claims that all of this has “deep” repercussions.
- In fact, it has been a very long time since the US faced a direct nuclear conflict. One such battle took place in 1962. The Cuban Missile Crisis was the cause. The players then had their sides split. However, the situation is uncannily identical to the present.
The Soviet Union threatened to launch offensive missiles on our borders back then. The missile base of Premier Khrushchev would be located in Cuba.They’d be only a few minutes away from potentially hitting targets on the US mainland.America responded to this serious threat under President Kennedy in the most aggressive way conceivable. Kennedy made it clear that he would counteract this Russian aggression. In a speech that was broadcast to the entire country and the world, Kennedy stated:
According to national policy, the United States will treat any nuclear missile launched from Cuba against any country in the Western Hemisphere as an attack by the Soviet Union on the country, necessitating a full retaliatory response against the Soviet Union.
The remarks were very similar to those made by Putin last week.
In 1962, Khrushchev took a backseat. He demonstrated his ability to defuse the situation. The missiles were taken out of Cuba by the Soviets. But there has been ongoing international conflict and strife throughout the last 60 years. At least there hasn’t been a direct nuclear conflict.
President Biden is currently faced with the same decision that the former Soviet leader had to make. He has the option to back off and remove the danger of missiles on our enemy’s border. Alternately, he might pay attention to the most divisive elements in his routine and threaten Russia directly.