Possible French entry into war – a bluff?

Last Updated: 5. März 2024By

The Worst Imaginable Scenario for Investors in Germany Would Undoubtedly be the Spread of the Ukraine War to Central Europe. Unfortunately, there have been some indications of this recently, which I would like to address for you today.

Not only your investment strategy, but possibly your entire life plan depends on these developments.

Possible Entry of France into the War – a Bluff? Last Monday evening, French President Macron was quoted as saying that he did not rule out the deployment of French ground troops in Ukraine. While there is no consensus to officially send troops, they will „do whatever is necessary to prevent Russia from winning this war.“

Such a step would effectively mean France’s entry into the war and likely that of the entire NATO. The Russian response would not be long in coming. World War III would then be in full swing. Most likely, it would even be a devastating nuclear war.

It should be noted that Russia, as the world’s largest nuclear power, has many times more nuclear weapons than France. However, in the end, it does not matter whether Europe is turned into a nuclear wasteland with 20 or 200 nuclear weapons.

In the local media, Macron’s statement was put into perspective. Behind this is the military strategy of keeping the enemy – in this case Russia – in the dark about what one is willing to do in the conflict. So to speak, only as a deterrent. A foolish argument that assumes that one could somehow control the Russian reaction to such threats.

Fico warns of escalation with Russia Some people in the EU or NATO seem to be losing all their inhibitions. The Slovak Prime Minister Robert Fico commented on this without mentioning any names.

According to zdf.de, he confirmed the plans of some EU and NATO countries to consider sending soldiers to Ukraine. Fico spoke of a document that „sent shivers down his spine.“

He also warned of a „dangerous escalation of tensions“ with Russia and an expansion of the conflict. Unfortunately, Fico did not mention which countries are considering sending troops. That would have been very enlightening.

In my opinion, these statements confirm the worst fears. Some NATO governments are apparently playing with the fire of a third world war. And apparently against the will of the majority of their citizens.

Why the worst case is unlikely to happen Now for the positive part of the development. Point 1: German Chancellor Scholz immediately rejected any consideration of ground troops. Similar statements came from Budapest, London, and other NATO countries.

Point 2: the stock markets did NOT react to the news. As long as the markets ignore the (still verbal) escalation, we do not have to worry too much. However, I believe it is essential to keep a close eye on the situation.

You should also take a look at the long-term DAX chart now, as the DAX is approaching a very critical point. More on this in one of my next posts.

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