Times like these serve as a bold reminder that we are all world citizens and connected whether we realize it. We empathize and sympathize with the people of Ukraine as Russia continues its attacks; however, we also feel the effects of what goes on in distant land so many miles away here in the Susquehanna Valley and surrounding areas.
One of the most glaring impacts of the war in Ukraine is the sudden sticker shock in the prices at the pump. Prices in some areas of the U.S. have jumped to as high as $9.00 per gallon, while the Susquehanna Valley is facing average gas prices of approximately $4.20/gallon with no signs of slowing down.
The gas prices are but one symptom of a bigger problem globally—inflation and other effects on economies, including Russia’s. The effects are predicted to leave the stock market in a bad place. While experts urge investors not to panic and stay the course, investors’ actions can be ruled by fear and uncertainty as Russia continues to take actions, for instance: attacking Ukraine during peace talks or working to reinstate the “Iron Curtain” on its citizen. Both economically and by denying access to social media, it’s to be expected that the world’s citizens are hesitant to invest and drive the stock market to succeed.
To make matters worse, there are increasing fears that the attack on Ukraine (which Russia denies is a declaration of war) may only be the beginning. Many believe that other countries are in line for Russia to attack next. The current situation escalating into World War III is a valid fear.
Unaffordable gas prices are already affecting other industries and businesses across the United States. The cost of services such as rideshare and delivery is already spiking, while goods across all categories are becoming more expensive and facing shortages. Industries such as travel were already in crisis mode because of the pandemic, so the current situation is not a help. The conflict in Ukraine is forcing the travel industry to stumble before it can recover from the consequences of trying to navigate the coronavirus and all that came with it.
One of Russia’s oligarchs is warning the world that there will be widespread food shortages if this conflict does not end soon. The Susquehanna Valley has recently faced shortages of items such as chicken and some snack items, so this warning is not unrealistic. This risk is further compounded by the many sanctions imposed by nations worldwide and Russia.
Russia has the upper hand in controlling gas and energy supplies, especially Europe. Russia has much of the European continent relying on it for energy to fuel it through the winter, limiting the degree to which many countries are willing to apply pressure to Russia.
Overall, the conflict between Russia and Ukraine has become a global concern for all world citizens, including us in the Susquehanna Valley. Until things come to a favorable outcome, we will feel the impact at the pumps, in our economy, and through our stock market. This is a situation that the entire world should keep front and center on its radar and seek ways to pacify it as quickly and painlessly as possible.
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