There is no greater disruption to life itself than war. It reminds us that no matter what secondary impact the situation in the Ukraine will have on the economy and our businesses, people are losing their lives. What a horribly sad situation.
Toy Stocks Mixed on the First Day of Fighting (1:40 PM Eastern Time)
Dow Jones Average -1.83%
Hasbro – 0.22%
JAKKS + 0.41%
Walt Disney Company + 0.14%
Spin Master – 4.48%
Funko – 0.79%
Plastic Prices Likely to Rise
Oil prices are up due to the fighting in the Ukraine. Russia is one of the world’s major petroleum exporters, and due to their incursion, petroleum prices have been soaring. They are hovering closed to $100 a barrel which is the highest since 2014.
Petroleum based plastics are the material of choice for the toy industry. As a result, look for further cost increases for toys.
As petroleum based plastic prices rise it is a good time to change to hemp plastic, as Lego has decided to do.
Did you read the documents I sent about this yet?