Europe’s Rocky Ecoomic Road Ahead.

The Russian invasion in Ukraine and a slowing World economy could pose serious risks to Europe. (NY Times)

“Russia’s invasion of Ukraine and the continuing effects of the pandemic have hobbled countries around the globe, but the relentless series of crises has hit Europe the hardest, causing the steepest jump in energy prices, some of the highest inflation rates and the biggest risk of recession.

The fallout from the war is menacing the continent with what some fear could become its most challenging economic and financial crisis in decades.

While growth is slowing worldwide, “in Europe it’s altogether more serious because it’s driven by a more fundamental deterioration,” said Neil Shearing, group chief economist at Capital Economics. Real incomes and living standards are falling, he added. “Europe and Britain are just worse off.””

— By Patricia Cohen, writing for 'The New York Times'

The EU and Britain are going to have some economic suffering in the near term as Russia exacts revenge on those nations for leveling sanctions after it invaded Ukraine. The World economy is certainly slowing but unlike the United States, the EU if far more reliant on Russia energy policy and supply. China on the other hand has emerged as a strong Russian ally which inoculates them from Russian retaliation but Xi Jinping is doubling down on Covid lockdowns thus shuttering large swaths of the economy and causing its own immense problems.