(Adds details on Russia-Ukraine conflict)

NEW YORK, Feb 28 (Reuters) - BlackRock is upgrading its position in developed market stocks and downgrading credit, saying it sees "greater clarity on the Ukraine conflict and reduced risk of central banks slamming the brakes to curb inflation."

"We now know what we are dealing with: a protracted stand-off between Russia and the West," strategists and managers at the world's largest asset manager wrote in a research note on Monday, sent by a spokesperson.

"We also think it has reduced the risk of central banks slamming the brakes to contain inflation."

Investors' interest rate hike expectations "have become excessive," creating opportunities in equities, they noted.

Russia's invasion of Ukraine last week intensified market volatility. The benchmark S&P 500 stock index at one point last week closed more than 10% below its Jan. 3 closing record high, confirming it was in a correction. (Reporting by Caroline Valetkevitch Editing by Bernadette Baum)