Okay, let's briefly go over what is going to happen in the economy, and most of it caused by the war in Ukraine.
Once again, like or not, it is a global economy. And it's only going to get worse.
The price of oil ( West Texas Crude) breached $112 for a while this morning. As I write this, oil was at $110.
The question then becomes this. At what point will Americans stop buying gas, or slow down consumption is an actually better term?
Most economists say in the $140-160 a barrel range. Once again over $4+ a gallon gas. Probably around $4.60-$4.70?
You must remember that Russia supplies 12% of the world's oil. There is no embargo in Russian oil, but people are not buying it. Part of it is the oil comes from the Black Sea region of the world and what is also located on the Black Sea? Ukraine. Insurance companies won't insure the ships traveling to that region.
Then, you've got to remember that the area in the world in the war zone is the " Breadbasket" of Europe.
That part of the world supplies 25% of the world's wheat.
20% of the world's corn. ( Corn is mostly used to feed livestock)
80% of all sunflower products.
Heck aluminum is at an all time high. Russia a producer of aluminum.
Not to mention barley, oats, etc. that comes from that region.
Once again, this is going to lead to inflationary times not only here, but worldwide.
( And remember transportation costs of everything will increase. Trucks, trains, planes all use a form of oil to transport their goods-)
Buckle-up folks. It's fixin' to get a great deal more expensive
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