Like a lot of phrases in investing, “game changer,” is overused. Not this time. The invasion of Ukraine by Russia is a game changer, a tragic event unlike anything investors have seen in decades. We are possibly seeing the end of Ukraine as an independent country and a new iron curtain falling over Europe, or the end of Putin as Russia’s president. Time will tell.
The other overused Wall Street phrase “markets hate uncertainty,” proved true in February.
The question “What happens now?” is almost impossible to answer, at least in the short-term. In the long-term markets always recover. But now, in addition to global turmoil, we still have the concerns about rising inflation, rising interest rates and their effects on markets that caused a down January.
Our February 2022 market commentary provided by Peter W. Tuz, CFA, CFP® President & Portfolio Manager, Chase Investment Counsel.