This latest changing of the guard highlights how the impact of Russia’s invasion of Ukraine, soaring inflation and the current Covid-19 lockdowns in China are all creating economic turmoil.
“The Russia-Ukraine conflict has sent the global energy prices soaring, which resulted in the energy companies booking substantial top-line and bottom-line growth,” Vala added. The Ukraine invasion drove oil to 13-year highs of about $130 a barrel. Although prices have eased, Brent crude is still trading at $105 a barrel today, up from $77 at the start of year.The surge in energy and food prices this year will leave consumers with less money to spend on non-essential items such as technology products. Higher interest rates have also hits the value of “growth stocks” such as technology companies, which promise higher returns in the future.