Here is something to pay attention too over the coming week....

Here is something to pay attention too over the coming week. Very important.

US President Joe Biden will hold a “face-off” call on Friday with Chinese leader Xi Jinping, as Washington warned China against considering military support for Russia. This would likely see a dramatic escalation of tensions between Beijing and all Western governments. This is a price that I think Xi would even baulk at paying. I mean, after all isn’t the customer always right? At the end of the day, and taking sanctions to an extreme, China is unlikely to risk ending up with Russia as its only trading partner, and I think that is what is going to be on the table come Friday when Biden and Xi sit down for their meeting.

It's going to be an important “face off” meeting for two leaders and one that will have important implications for the markets. A pivot by China away from Russia (which I think is likely) could set stock markets up for a big risk on recovery heading into April from some of the most oversold conditions since March 2020.