Weekly Investment Strategy

Review the latest Weekly Headings by CIO Larry Adam.

Key Takeaways

  • A diplomatic resolution remains our base case
  • Higher oil prices would impact the global economy
  • Energy prices could force the Fed to be more aggressive

A picture is worth a thousand words. And the satellite images and social media posts revealing the scale and sudden intensity of Russia’s military deployments and equipment miles from Ukraine’s border speak volumes. Russia is amassing troops as it demands that Ukraine never become a NATO member and that NATO’s presence in Eastern Europe be reduced to 1997 levels. With the US unwilling to concede to this proposal, the diplomatic talks between Russia and the US and its allies have lacked a clear path forward, and the uncertainty is causing volatility in the equity markets. While President Biden has vowed to give “diplomacy every chance to succeed” to defuse the tensions with Russia, we discuss the economic and financial market consequences should the situation escalate.