Oil Spike Is Warning Shot For Portfolios, Not Just Markets
The oil spike is a warning shot for portfolios, not just markets, affirms the CEO of one of the world's largest independent financial advisory organisations.
Nigel Green of deVere Group's
Both benchmarks moved sharply within hours of the strikes, reversing weeks of calmer trading that had followed an earlier lull in hostilities.
AdvertisementThe renewed strikes centre on waterways that carry a significant share of the world's energy supply, which is why the deVere CEO says the market reaction has outpaced the physical disruption so far.
The concern goes well beyond energy markets themselves because oil shocks have a well-worn path into interest rate decisions.
He also points to a pattern that has caught many investors off guard during this conflict, one that runs against the conventional strategy for a geopolitical shock.
AdvertisementIndependent economic modelling underscores the scale of what is at stake if prices hold at current levels.
Despite the warning, Nigel Green is careful to state this as a case for preparation rather than panic.
He says the real risk lies less in the conflict itself, rather than in how quickly markets forget it.
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