Traders and investors have a lot to think about as global tensions heat up, worldwide inflation continues to play a major role in almost every major economic scenario, and volatility becomes the watchword for securities exchanges everywhere. The good news is that such uneasy circumstances are often fertile ground for individuals who trade for their own accounts, have strategies for handling market turbulence, and aim to make a profit on the current state of the international markets. One of the most consequential factors in play right now is the war between Russia and Ukraine, a military conflict that’s already disrupted commodities, currency, and equity markets in dozens of nations. 

Forward-thinking traders are already making plans for what a post-war economy might look like and how to take advantage of the inevitable changes that will occur when that time arrives. In the meantime, price changes in all asset classes will be fast and short-term affairs. Trading enthusiasts who use CFDs (contracts for difference) are well-positioned to benefit from rapid moves without taking on the added risk of owning the underlying securities. CFDs offer today’s investors a unique, safer way to enter multiple markets where prices are changing quickly. For anyone who does an mt4 download with AvaTrade South Africa markets represent multiple opportunities for profit. 

What opportunities are out there right now, and how will things change once the Ukraine and Russia hostilities finally come to an end? Finally, how can CFDs enable traders of all experience levels to benefit in both the short and long term? Here are details about each of those points. Whenever a military conflict takes place, various markets suffer profound disruption. Here are several ways in which people could attempt to enter lucrative markets during the Ukraine and Russia war.

Barley and Wheat

Speculators in commodities like barley, sunflower seeds, wheat, and maize point to the fact that Ukraine is a major producer of those products. As war rages, look for shortages and price spikes in those markets, whether your goal is to acquire straight commodities contracts or use the safer route of using CFDs to profit from rapid price changes.

Supply Chains

Expect the war to worsen an already challenging supply chain situation, as backlogs of goods headed to Ukraine and Russia are interrupted by the war. Many people thought the worldwide logistics snarls would resolve themselves during 2022, but the war only put a damper on those hopes. Traders should carefully follow which products are most affected by supply chain problems and make daily decisions based upon significant disruptions of those products.

COVID

In an on-again-off-again way, national COVID restrictions in dozens of nations have wreaked havoc with global securities prices, commodity supplies, and economic stability. As 2022 enters its third quarter, it’s possible that COVID-related restrictions on businesses could slow any rebound of financial stability in developed and emerging economies. Keep an eye on COVID news to better predict which nations will recover faster from the previous slowdown in trade.

Inflation

What seemed like a temporary problem in early January, significant inflationary pressure has built up during the past few months. Now, anyone placing orders for securities should be aware of which nations are suffering the most. Higher prices are a form of financial cancer. They not only make a nation’s currency less valuable and its goods more costly, but it ravages domestic employment and business recovery. Investing and trading are intimately tied to inflation rates. Individuals who put their own capital at risk should monitor local and international rates closely to see which stocks, commodities, and currencies are relatively stronger than others.

Post-War Scenarios

It’s essential to prepare for post-war conditions. For trading practitioners, CFDs will continue to be the simplest and one of the safest ways to benefit from rebounding conditions in commodities, stocks, bonds, currency, and other assets. The entire Eastern European region could face a years-long recovery, during which time economic conditions might improve very slowly.

Long-term commodities traders might be looking at lengthy ramp ups of general price levels, agricultural supplies, and infrastructure improvement. Don’t expect post-war investing scenarios to be as fast-moving as wartime price moves. Economic recoveries take time, which plays into the hands of investors who prefer longish time horizons. The number one weapon for traders in uncertain times is information. That’s why it’s more important than ever to work with a broker who offers a live news feed and numerous educational resources. Missing even one day’s political or economic developments could mean missed opportunities. When it comes to earning a profit in troubled times, knowledge is power.