PENNSYLVANIA, USA — A likely Russian invasion of Ukraine is already beginning to significantly impact Americans' wallets and financial futures. Terrill Frantz, an associate professor of E-business and Cybersecurity at Harrisburg University, says current trends are only the start of a larger upcoming pattern.
“Any market of a commodity where people buy and sell something is affected by uncertainty, and the current activity in Ukraine and Eastern Europe creates kind of a broad global sense of uncertainty," said Frantz.
Experts say the country is feeling the sting of global upheaval in all facets of the American economy.
In cryptocurrency, Bitcoin prices are down 10% compared to this time last week. Meanwhile, stocks and retirement funds are taking a hit, too.
"Undoubtedly, cryptocurrencies will be affected by uncertainty globally [as] much as our markets in the stock markets and retirement funds are affected that way as well," Frantz noted.
Greg McBride, the chief financial analyst for Bankrate, said that many Americans will feel the pinch in consumer goods and utilities.
“The direct impact you're seeing and will continue to see is energy crisis," said McBride. "…As tensions continue to mount, we've seen oil prices continue to work their way up, and then that impacts what we pay to heat the house and what we pay to put gas in the car. So that has a real pocketbook impact on households."
McBride says, in the next six months, some food items may also become more expensive because they are Russian exports.
“All the food you buy came over on a truck or a train, so fuel costs spill over into that," he said. "...But then Russia themselves are one of the biggest exporters for certain commodities – wheat being one of them – so if that impacts the global supply of wheat, we could see higher prices.”
His advice for those concerned about their finances during this period of volatility is to stay the course and avoid risky moves.
“Investing involves this: patient and disciplined investors who are rewarded for maintaining their long-term perspective and really blocking out the short term noise."