ukraine triggering one of the worst security crises in europe since world war ii. vladimir putin valley to demilitarized ukraine, adding the assault was targeted at people who have taken ukraine hostage. president biden is set to speak this hour as the u.s. and its allies to punish the russian economy, its financial sector with sanctions. as we count down to the close, we dig into the geopolitical, investing ramifications of this invasion. we have to look at the market implications. romaine: we open the lower on the s&p 500 by 16%, down as much as 2.6%. we saw some did buyers come back but not enough to push us back into the green. the nasdaq which was down 3% is near that water line but most of the damage is done. sentiment on the back.

a dollar spot index up 1% on the day. this will be one of those days that we talk about the superlatives, the worst day since 2028 the best day since 2020. russian stocks, the worst day ever for the benchmark russian index, down 33% on the day. in europe, the erixp, an index that tracks renewable energy stocks in europe. natural gas prices of as much as 50%. oil prices, call prices, and now people are looking to wind and solar stocks, seeing if there is any reprieve from the tension going on. kailey: oil is also one that we have to watch today, at its highest since the summer of 2014. we are at triple digits on brent crude still treating just under $103 a barrel. even wti got a taste of triple

digits earlier today, now at $96.30. this all adds up to this inflationary narrative. one of the ripple effects of this geopolitical situation we are facing that will impact central banks as well as the u.s. president when he addresses the nation today. he will be addressing the world as well as the american audience about how they may feel this when it comes to prices at the gas pump. let's get to jordan fabian who is standing by for us. how does the president walk that line today? >> that is one of the office challenges president biden faces in confronting the situation. on one hand, you have the strategy that the u.s. has pursued so far, threatening sanctions to deter vladimir putin from invading ukraine. that hasn't worked, so the incentive is to ratchet up those penalties. renting out sanctions could have

an effect on american consumers who are already struggling with inflation. if they hit the banking center or critical exports from russia. we will have to wait to see what biden announces, but that is a tight rope that the administration is walking. romaine: we will be listening for any updates on those sanctions. people also want to know if there will be a shift in policy with regard to the military response. >> white house has made clear they don't intend to send u.s. troops into ukraine. that being said, there has been coordination with nato allies in eastern europe, in the savini and poland, who are nervous about the situation happening on their borders. the u.s. boosted troop levels in those countries and officials have been discussing what to do if the violence happens to spillover. this is an extraordinary move by putin that threatens the prospect of a broader more in europe, the likes we have not

seen in decades. caroline: as we await that speech from president biden, we also taken the response from europe. we want to talk through that with our brussels european correspondent maria tadeo. reactions from the united kingdom, sanctions elevated there. what is the reaction in europe? >> before we get to the reaction, we have to look at the situation in ukraine. this is now a clear invasion of the country with heavy fighting in the east, in the south of the country, and troops moving from belarus into the capital of kyiv. that is the information we have from the ukrainian for ministers, they believe there will be a big night of fighting around the capital. that is where the ukrainian president seats and the russians have made it clear that they want this government out.

we will be hearing from european leaders. they say they are working closely with nato and the u.s. to put together what they say will be the mother of all sanctions. will that the it to deter blood recruit? at this point, he is not acting like a rational leader. i would point to an essay he wrote last year where he said, for me, an independent ukraine separated from russia would be an abomination. now he is making good on that. kailey: that raises the questions what good will sanctions do? we'll need to be moving any boots on the ground? maria: ukraine, ukraine is not a member of nato -- we know there was no timeline for nato to join or accept ukraine, so we will not see any fighting from nato troops or american troops in ukraine at this point.

this is a war that they know they will have to fight for themselves and this is why the ukrainian president today repeated, almost begging, we need weapons. we need nato to facilitate more weapons and go for a big sanctions package on russia. the only way that we can put up a fight. kailey: thank you so much. let's turn our attention back to the market. wall street tried to come to grips with the geopolitical tension and everything happening in ukraine. one analyst writing, this is a triple hit to the economy with higher inflation, lower economic growth, and greater uncertain the. the only still relining is that growth is strong and policymakers and investors are prepared for high inflation. for more reaction, we welcome nancy tengler. given all of that, that this was a market prepared for inflation, have you had to move any money

around today? nancy: not today. thank you for having me. we have been anticipating -- not this -- but i slow down in growth, shift away from growth stocks to a reasonable price. we've been making our moves over the last few months. you are never 100% happy with your portfolio. being a portfolio manager is like being in a perpetual state of dissatisfaction but we are satisfied where we are. our riskier portfolios are up today, reflecting the strength in the nasdaq, which is quite strong right now. it is an interesting scenario, perhaps an indication that people think the fed will not be able to raise as much as they expected. romaine: it was interesting to see there was a threshold where people thought valuations have gotten too far away from the perceived a reality for a lot of folks in the market. still a lot of talk about the economic ramifications, ripple

effect of the russian invasion, whatever the responses by western nations. are we prepared here in this country to deal with those economic ramifications, recession? nancy: i don't think we are. i do think this is analogous to 1990 when iraq invaded kuwait. weaver already in recession, just exacerbated it. i don't think we are in recession now but the smartest thing we can do, the best sanction we can put on russia, is to open up our energy markets. reengage the xl pipeline, renew the leases that have been stalled by the administration, and produce in a way that would bring oil prices down. we have the capability, we were energy independent and net exporter just over a year ago. the timing of the ferc rulings on pipelines is poorly informed,

and we only need to look at germany to see what having a week energy policy does or national security. we love renewables, but climate change can wait a couple of months to get us through this period, so americans don't have to suffer anymore and we send a strong search to russia. caroline: the energy index is down on the day, the only performing sector on the year thus far. you say that you are risk on, but longer term, will we see the cyclical trading to energy stocks? nancy: we are overweight energy. i don't think that trade is over yet i think when you look to the valuations on some of the productivity drivers i talk about often on your show, and our favorites are cybersecurity, which is big for all of these reasons today. cloud providers, the innards of the clouds, semi.

i think you'll be glad that you owned and owns, and you have an opportunity to affect your portfolio because oil is such a small portion of the s&p waiting. we like the names, we have added to some in the last three months. we have added to materials but we have also added to tech names like adobe and microsoft, service now, that are driving future productivity gains. that will be the story as the economy slows. kailey: there is the cyclical play on the sector level but also on the regional level. people saying they are turning to europe. in this environment with war in eastern europe, do you think the u.s. will perform relative to places like it? nancy: interestingly, we have been taking our clients out of the global markets at the margin. we still have some exposure, but we would much rather be here, where we can control and

understand the variables. clear the beer impacted by the rest of the world but i really don't want to own many regions around the globe, take that kind of risk for our clients, particularly with a strengthening dollar. we are light. i think you should focus on u.s. companies that have pricing power, rubbing their dividends. home depot rose 50%. -- 15%. those are the best hedges against inflation. kailey: nancy tengler, thank you. coming up, we will continue the conversation on geopolitics and speak to a guest focusing on political and security risk, to discuss the impact of russia's invasion. ia's invasion.

>> we will continue on a mission to squeeze pressure from the global economy piece by piece, day by day, and week by week.

we will of course use britain's position in every international forum to condemn the onslaught against ukraine. romaine: some tough talk from prime minister boris johnson but the question is does that talk matter, do the sanctions package is that we are hearing from you u.k., the u.s. and other nations, all that have a material impact on president putin's next move? oksana antonenko advises many companies and countries. after years and years of sanctions from western governments against putin and his allies, do they matter anymore to him? >> there will be a time where we all look back and think whether the strategy that the west has been adopting in the run-up to this invasion, using sanctions

as the primary deterrent actually worked. we see that it has not changed his calculations. for him personally, we have to remember that his primary objective is not to help the russian economy or russian competitiveness. his objective is to stay his own power. the more russia is isolated from the global economy, the more russia is dependent on his self-sufficiency, the more likely his power is. they will keep the russian economy hot but the question is if it will hit putin. thus far we have not seen any evidence that it will deter him in the short run. $20 billion in reserves, he has

managed to disconnect russia largely from the international economy already. russia is dominated by the state. sanctions for him is not a major challenge in the short run. in the medium run is a different story. caroline: i like that you talk about the way that russia has insulated itself from the global markets. i am reading so much about isolating them out of the u.s. dollar, the swift messaging service, to enable transnational transactions to occur. will that limit him? people saying that will reduce gdp by at least 5%. >> the payments, disconnecting, even from the dollar only, those sanctions will send a massive shock to the russian economy, private sector. but russia is still essentially

dependent on raw material exports, oil and gas exports, rare metals, other raw materials. as long as they are able to export those materials and receive revenue from it, it is not something that will cripple the russian economy immediately. i mentioned before it will hurt the russian banking sector, private sector, but most of the russian economy is now dominated the state. unless president biden can create a global coalition that will stop russia from receiving revenues from entities, it will not hurt the russian economy sufficiently to change the outlook. kailey: if it doesn't change putin's calculus, what is the risk posed to the rest of the baltics? oksana: the immediate risk is only in terms of the spillover of the ukraine crisis.

his putin plans to occupy the entire territory of ukraine, we are likely to see a very prolonged, bloody war with a lot of casualties which is likely to stretch from eastern ukraine all the way to the borders of poland, romania, hungary, slovakia, these other countries. very large outflow of refugees. some suggest may be millions. certainly, tens of hundreds of thousands. the question is whether the fighting in the west of ukraine would spillover into the neighboring countries. we also see cyberattacks today. will putin use these to target the countries in eastern europe and the baltics takes? caroline: fascinating and we already see the ripple effects. thank you so much. romaine: she made a great point

about whether the west would divorce itself from the oil and gas. today on the bloomberg, we got a report that the flow of gas from those pipelines out of russia into some of those european nations are still at the same levels prior to the invasion. caroline: we have not seen any curtailing of commodities but the market is a forward-looking thing. 50% increase in gas prices. we will be diving into the geopolitical nature of this with china refusing to condemn russia's attack on ukraine, instead urging restraint on all parties. we will be speaking about the china-russian relationship. this is bloomberg. ♪

caroline: welcome back to our special coverage of bloomberg markets the close. as we see the evolution of a full on attack from russia into ukraine, china refusing to condemn the invasion. instead urging restraint by all parties. we want to get a check on where the geopolitics stands with all of this worldwide. andy brown covered china for two decades, just got back from the olympics. an extraordinary environment, i'm sure. talk about the ripple effects. the relationship between russia and china only seem to have been deepening. >> first of all, we have to remember vladimir putin's assault on ukraine flies into the face of every one of china's

foreign policy principles. respect for state sovereignty. mutual respect. nonaggression. win-win solutions. yet, china has tethered itself to this increasingly unhinged autocrat in moscow and find itself now in an impossible position. hence all that can do is all that you mentioned, these platitudes about the need for diplomatic solutions, deflect all the blame onto the united states for allegedly inflaming -- fanning the flames of war. romaine: give us a sense of why that tether is there, is a geographic, political, economic? >> there is no economic benefit for china in one a lot of pure putin is doing to the extent that it drives a dagger through the heart of globalization. nobody has benefited more than

china. it is the world's second-largest economy, has interests all over the world, including billions in ukraine. ukraine is china's largest trading partner. on a broader level, china has an interesting global stability. it wants to push back against the united states, believes democracies are on its last legs, believes that the future is autocracies, but china wants stability. vladimir putin wants to use brute force and violence to break apart the global order. china wants to rewrite the rules. it doesn't want no rules. romaine: why am i to believe that xi jinping and vladimir putin are different? >> they have a lot in common. they are both authoritarian figures, they both want to revive the ancient glories of their country's past.

40 vladimir putin, that means reassembling the ussr in some shape or form. an important of xi's aspiration is to recover taiwan. you can see there are parallels there. but xi's challenge in recovering time on our orders of magnitude more difficult than ukraine. romaine: andrew brown, thank you. this is an extended addition of bloomberg markets: the close. our eyes on the situation with russia and ukraine, the response from western nations. we are awaiting the president of the united states as to what that response will be. we have other gas that we will be talkio,dinghael shaoul.

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mark: i'm mark crumpton with bloomberg first word news. russia has confirmed its ground or since has moved into ukraine, saying troops cleared from

crimea -- they entered from crimea. a russian lawmaker says the intent is to ensure april moscow government, pushing out any u.s. influence. the government in kyiv has declared martial law after meeting with g7 leaders, president biden tweeted they agreed to move forward on, in his words, devastating sanctions and other economic measures. russians foreign minister says russia "will always be ready for a dialogue with nato." but sergey lavrov reiterated their concerns that russia's demand to prevent ukraine from joining nato and other security guarantees had been ignored .global news 24 hours a day, . >> the chance to return to the international obligations. as we take the measures

announced by the president to ensure the security of the country, of the russian people, we will always be ready for dialogue which will bring us back to justice and the principles of the united nations chapter. mark: russia's attack in ukrainian cities and vases with airstrikes and showings and civilians have piled into trains and cars to the. russian tanks rolled across the border and what was described as a full-scale war that could rewrite the geopolitical order, and whose fallout has already reverberated around the world. there has been a stock row in russia today following news of the invasion. it is the third worst plunge in market history in local currency terms. investors are dumping the nation's assets as moscow's military action is being condemned by western leaders who have bowed to step up penalties

on russia. global news 24 hours a day, on-air, and on bloomberg quicktake, powered by more than 2700 journalists and analysts in over 120 countries. i'm mark crumpton. this is bloomberg. romaine: this is a special edition of bloomberg markets: the close. as mark was just telling us, we have 2700 journalists and analysts in more than 120 countries. one of them is henry meyer in our moscow bureau covering international affairs for us. we want to get a better sense of how people in russia are reacting to the news of this invasion. henry: we have seen some scattered protests across the country. approximately 1000 people were detained today in about five

cities -- 45 cities. there are a lot of people who are privately aghast at what is happening, but the level of repression we have seen in the last few years, people are frightened to speak their minds. i think the war which is now taking place is a huge shock to the russian population. caroline: talk about that shock. from many i am hearing, understanding how putin has changed over the years, and in the last couple of years, becoming less isolated and less understood. it was a swift turnaround. is he understanding the way that his people think right now? henry: i'm afraid that he has this mindset at the moment where he is determined to go for broke, restore russian control over ukraine. he does not take any account of

public opinion. he believes there will be a price to pay, it will be an economic price, but that is too bad. this is something that is important in terms of history. as you mentioned, the isolation is a large part of it. during the pandemic, he has been very much isolated from the outside world, and this is one of the reasons we are in the situation we are today. kailey: henry, thank you. he was talking about the economic price russia may have to pay, but sanctions could also mean a price for global economies. it raises the question of what this means for global central banks. we started to see a pullback in expectation for the number of hikes we could see from the ecb, boe, and the fed. but it has not pullback much. we still expect the federal reserve rate to be 148 basis point tire by the end of the year.

let's get more on this with michael shaoul of market field asset management. difficult for central banks when you have growth concerns and higher inflation. how does that change the calculus? michael: i don't think it will change it a great deal. i am of the mind that growth is pretty strong and inflation will be the number one issue for central banks to address at the beginning of 2022. maybe there is some pressure on banks like the federal reserve to do 25 versus 50 basis points in march. if what is happening in ukraine has a long-term impact on commodity supply, definitely that would be inflationary. caroline: i'm interested by the reaction function from the fed or ecb. robert himself is a hawkish

official at the ecb, talking about moving toward normalizing policy, but the speed may be delayed. is that what the market is trying to suggest, putting off the 50 basis point hike in the u.s., putting on the september hike in europe? michael: i would be cautious about interpreting anything happening on a day like today. it is a big margin shock, cross asset trades all over the place on a day like this. i wouldn't take market prices that seriously on a day like today. i think central banks to have a political audience, broader social audience. i am sure the ecb remembers its terrible mistakes in the summer of 2008 and 2011 when it did hike. the fed remembers its mistake in

2018. my assumption all along is that the fed would go 25 in march because it has the option of additional hikes later on in 2022. i think ukraine is a reasonable excuse to take that off. romaine: certainly provides a bit of cover. i'm curious whether it also induces more coordination among central banks in a way that we were not anticipating a few months ago. michael: one thing i would not be surprised to see is the rollout of fx slots, particularly into eastern europe. that is fairly easy for the ecb or the fed to do. it has been used before successfully in 2008. a way of getting liquidity to that part of the world which is most directly affected, may need it the most. that is the coordination you may see, but this is one of those times when central banks have

found themselves way behind economic progress. it is very difficult to see central banks avoiding some sort of material tightening in 2022. i don't think they have much of a choice. kailey: when central banks are type income and geopolitical risks are at the forefront, where do you find safety? michael: i don't think there is much safety but there is opportunity. we think we are in the middle of a powerful commodity bull market. those are the sectors that are doing the best. the indexes with very high commodity weights, doing terribly today, are where you want to be for the rest of 2022. caroline: thank you so much for your expertise. michael shaoul, the ceo of

market field asset management. we are about to hear from president biden himself, awaiting comments on the russia into ukraine attack, the ramifications. oil has been surging, up to $105 at one point. we will discuss the cross acid implications of this. ellen wald will be with us from the atlantic council as we await the president of the united states. this is bloomberg. ♪

romaine: there you see a picture

of the east room of the white house, the largest room in the white house, waiting to hear from president joe biden about whatever the responsible be to russia's incursion into ukraine. as we wait for the president to speak, we are keeping our eyes on the markets. it's been a relatively wild day, the nasdaq down 3%, now higher by .6%. one group of stocks still in the red are the russian stocks. i believe the president is now coming out. president biden: good afternoon. the russian military has begun a brutal assault on the people of ukraine without provocation, without justification, without the necessity. this is a premeditated attack. vladimir putin have been planning this for months, as we have been saying all along. he moved more than 170 5000

troops and military equipment to positions along the ukrainian border. he moved to supplies into position, built up field hospitals, which tells you all you need to know about his intentions all along. he rejected every good faith effort that the u.s. and our allies and partners made to address our mutual security concerns through dialogue to avoid needless conflict and avert human suffering. for weeks, we have been warning that this would happen, and now, it is unfolding largely as we predicted. in the past week, we have seen showing increase in the donbass, a region in eastern ukraine controlled by russian separatists. the russian government has perpetrated cyberattacks against ukraine. we saw staged political theater in moscow, outlandish and baseless claims that ukraine was about to invade and launch a war

against russia, that ukraine was prepared to used chemical weapons, that ukraine committed a genocide, without any evidence. we saw flagrant violation of international law in attempting to unilaterally create two new so-called republics on sarin ukrainian territory. and at the very moment the united nations security council was meeting to stand up for ukraine's sovereignty to stave off invasion, putin declared his war. within moments, missile strikes began to fall on historic cities across ukraine. then came the air raids, followed by tanks and troops rolling in. we have been transparent with the world, we shared declassified evidence about russia's plans and cyberattacks and false pretexts, so there could be no confusion or cover up about what putin was doing.

putin is the aggressor. putin chose this more. now he and his country will bear the consequences. today i'm authorizing additional strong sanctions and new limitations on what can be exported to russia. this will impose severe cost on the russian economy both immediately and over time. we have purposely designed these sanctions to maximize a long-term impact on russia and to minimize the impact on the united states and our allies. i want to be clear, the united states is not doing this alone. for months we have been building a coalition of partners representing more than half the global economy. 27 members of the european union including rats, germany, italy, the united kingdom, canada, new zealand, australia and others to amplify the impact of our response. i just spoke with the g7 leaders

this morning and we are in full in total agreement. we will limit russia's ability to do business in dollars, euros, pound, and yen to be a part of the global economy. it will limit their ability to do that. we will stop the ability to finance and grew the russian military. we will impose -- impair their ability to compete in the high tech 21st century economy. we have seen the impact on the ruble, which earlier today it weakest level ever in history. russia's stock market plunged today. the russian government borrowing rates spiked by over 15%. today's actions, we have now sanctioned russian banks that together hold around $1 trillion in assets. we cut off russia's largest bank, which holds more than one third are russia's banking

assets, cut off from the u.s. financial system. today, we are also blocking four more major banks. that means every asset they have in america will be frozen. this includes vtb the second largest bank in russia, which has $250 billion in assets. as promised, we are also adding names to the list of russian elites and their family members that are -- were sanctioned as well. as i said on tuesday, these are people who personally came from the kremlin's policies, and they should share in the pain. we will keep up this drumbeat of those designations against corrupt billionaires in the days ahead. on tuesday, we stop the russian government from raising money from u.s. or european investors. now we will apply the same restrictions to russia's largest state owned enterprises, companies with assets that exceed $1.4 trillion.

some of the most powerful impacts our actions will, over time, as we squeeze russia's access to finance and technology for strategic sectors of its economy and degrade its industrial capacity for years to come. between our actions and those of our allies and partners, we estimate we will cut off more than half of russia's high-tech imports. it will strike a blow to their ability to modernize their military. it will degrade their aerospace industry, including their space program. it will hurt their ability to build ships, reducing their ability to compete economically. and it will be a major hit to putin's long-term strategic ambitions. and we are prepared to do more. in addition to the economic penalties we are imposing, we are also taking steps to defend our nato allies, particularly in the east. tomorrow, nato will convene a summit -- we will be there -- to bring together the leaders of 30

allied nations in close partnership to affirm our solidarity and to map out the next steps we will take to further strengthen all aspects of our need to alliance. although we provided over $650 million in offensive assistance to ukraine just this year, last year, let me say again, our forces are not and will not be engaged in the conflict with russia in ukraine. our forces will not go to europe to fight in ukraine but to defend our nato allies and reassure those allies in the east. as i made crystal clear, the united states will defend every inch of nato territory with the full force of american power. the good news is nato is more united and more determined than ever. there is no doubt that the united states and every nato ally will meet our article five commitments which says an attack

on one is an attack on all. over the past few weeks, we have ordered hundreds of thousands of troops to germany and poland as part of our commitment to need to. on tuesday, in response to russia's aggressive action, including its presence in belarus and the black sea, i authorize the deployment of ground and air forces already stationed in europe to the eastern flank allies, estonia, latvia, lithuania, poland. our allies have also been stepping up, adding the rest of nato, adding the rest of their forces and give abilities to ensure collective defense. today, within hours of russia unleashing its assault, nato came together and authorized and activated a response plan. this will enable nato's high readiness forces to deploy when and where they are needed to protect our nato allies on the eastern boundaries of europe.

now, i am authorizing additional u.s. force capability to deploy to germany as part of nato's response, including some of the u.s. forces that the u.s. department of defense placed on standby weeks ago. i have also spoke with defense secretary austin, chair of the joint chiefs millie, about additional moves should they become necessary to protect our nato allies and support the greatest military alliance in the history of the world. as we respond, my administration is using every tool at his disposal to protect american families and businesses from rising prices at the gas pump. we are taking active steps to bring down the cost. american oil and gas companies should not exploit this moment to hike their prices to raise profit. in our sanctions package, we designed energy payments to continue. we are closely monitoring energy supplies for any disruption.

we have been coordinated with major oil producing and consuming countries toward our common interest to secure global energy supplies. we are actively working with countries around the world to elevate collective release from the strategic petroleum reserves of major oil consuming countries. and the u.s. will release additional barrels of oil as conditions warrant. i know this is hard, and that americans are already hurting. i will do everything in my power to limit the pain the american people are feeling at the gas pump. this is critical to me. but this aggression cannot go unanswered. if it did, the consequences for america would be much worse. america stands up to bullies, we stand up to freedom -- for freedom. this is who we are. we also reviewed the morning i made last week. if russia pursues cyberattacks against our companies, critical infrastructure, we are prepared

to respond. for months we have been working with the private sector to harden our cyber defenses, sharpen our ability to respond to russian cyberattacks, as well. i spoke last night to president zelensky of ukraine. i assured him that the u.s., together with our allies and partners in europe, will support the ukrainian people as they defend their country. we will provide humanitarian relief to ease their suffering. in the early days of this conflict, russian propaganda outlets will keep trying to hide the truth and claim success against a made up threat. history has shown, time and again, how swift gains in territory eventually give way to grinding occupations, acts of mass civil disobedience, strategic dead ends. in the next few weeks and months, we are with the hearts of the people of ukraine.

the ukrainian people have known 30 years of independence. they have repeatedly shown that they will not tolerate anyone who tries to take their country backward. this is a dangerous moment for all of europe, for the freedom around the world. putin has committed an assault on the principle that uphold global peace. now, the entire world sees clearly what putin and his kremlin allies are really all about. this was never about a genuine security concern on their part. it was always about naked aggression, about putin's desire for empire by any means necessary, by building russia's neighbors through coercion and corruption, by changing borders through force, and ultimately by choosing a war without a cause. putin's actions betrays sinister visions for a future of our world, one where nations take

what they want by force. but it is a vision that the united states and freedom loving nations around the world oppose with every tool of our considerable power. the united states and our allies and partners will emerge from this stronger, more united, more determined, more purposeful. putin's aggression against ukraine will end up costing russia dearly economically and strategically. we will make sure of that. putin will be a provider on the international stage. a nation will account for russia's naked aggression against ukraine. when the history of this era is written, putin's choice to make an unjustified war against ukraine will have less russia weaker and the rest of the world stronger. liberty, democracy, human dignity, these forces are far more powerful than fear and oppression.

they cannot be extinguished by tyrants like putin and his armies. they cannot be erased from people's hearts and hopes by any amount of violence and intimidation. they endure. in the contest between democracy and autocracy, between sovereignty and subjugation, make no mistake, freedom will prevail. god bless the people of a free and democratic ukraine. god bless our troops. associated press. >> what interactions have you had with the russian government? president biden: i hear the first part, do i have a plan to speak with putin -- >> making sure this does not spiral into a larger complex. president biden: it is a large conflict already. the way we will aspire to not

spiral into a larger conflict is to buy providing forces to the eastern nations that are a member of nato. nato has been more united than ever. i have no plans to talk with putin. wall street journal. >> mr. president, you didn't mention swift in your sanctions that you announced. is there a reason why the u.s. is not doing that? is there a disagreement among allies regarding swift, whether russia should be allowed to be a part of it? president biden: the sanctions we have impose on all of their banks have equal or more consequence than swift, number one. number two, it is always an option, but that is not the position that the rest of europe wishes to take. cecelia vega, abc. >> sarah, sanctions have clearly not been enough to deter

vladimir putin to this point. what will stop him? how and when does this and? do you see him trying to go beyond ukraine? the second question, the statement that he gave last night, the threat, that the west will face consequences greater than you have faced in history, is he threatening a nuclear strike? president biden: i have no idea what he is threatening. i know what he has done, number one. number two, no one expected the sanctions to prevent anything from happening. this will take time, and we have to show resolve, so he knows what is coming. so the people know what he has brought on them in russia. this will take time. he will not say, these sanctions are coming, i will stand down. he will test the resolve of the west to see if we stay together, and we will, and we will impose significant cost on him. >> will he go beyond ukraine?

>> two topics quick. markets are down and gas prices are up. i know you always talk about the difference between wall street and main street, but everybody seems to be in for some economic pain. how economically painful is it going to get poor people in this country? and i have one more question. president biden: first of all, there is no doubt that when a major new your power attacks and invades another country, that the world is going to respond. marketable respond all over the world, there is no doubt about that. number two, the notion that this is going to last for a long time is highly unlikely, as long as we continue to stay resolved, imposing the sanction we will impose on russia, period. your next question? >> did you