Ukraine Unrest Upsets Stock Markets

The rising threat of war between Ukraine and Russia sent investors scurrying for relative safety on Monday, pushing stocks down sharply – the Moscow market fell 11.5 percent – and lifting gold to a four-month high. Kacper Pempel/File/REUTERS Enlarge NEW YORK U.S. stocks tumbled on Monday alongside other risky assets globally as Ukraine and Russia prepared for possible war after Russian PresidentVladimir Putindeclared he had the right to invade his neighbor. The Christian Science Monitor Weekly Digital Edition Ukrainemobilized for war on Sunday and Washington threatened to isolateRussia economically as Moscow ‘s biggest confrontation with the West since the Cold War unfolded.

Bearish Manager Missed Big Stock Gains

This holds futures contracts on all the big commoditiessugar, cattle, corn, soybeans, coffee and wheat. It’s up 14 percent in the last six weeksmuch of the gain is due to Ukraine concerns, but also because of poor weather in the U.S. and Brazil that has driven up grain and oil-seed and soybean prices. The concern is that food costs may be rising for a variety of reasons.

Warren Buffett: Ukraine won’t stop my stock buying

In the 12 months through February, Hussman Strategic Growth lost 3.5% while the S&P 500 gained 25.4%, Morningstar says. That’s particularly frustrating as Mr. Hussman has done a good job of stock picking. In 2010, the fund says Best Stocks to Purchase its equity investments and cash equivalents gained 16.6% but it lost 3.6% net of hedges.

Muted stock market reaction to Ukraine so far

An index fund keeps costs low, which Buffett said is tremendously important when investing, because fees act like a tax on returns. Buffett said that in his will he recommends that 90 percent of the money for his wife should go into an index fund. Why not Berkshire stock? “That would be fine, too,” he replied, but he doesn’t like “touting” it.


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