Posted on 09/12/2008 6:27:08 AM PDT by TigerLikesRooster
Medvedev Promises Liquidity Injection
12 September 2008
By Courtney Weaver / Special to The Moscow Times
A concerted effort by President Dmitry Medvedev and other top officials to bolster nervy Russian markets failed to impress investors Thursday, despite his pledge that the government would step in with extra funds to plug growing liquidity shortfalls.
"The government and the Central Bank must do everything possible to ensure the flow of additional funds into the financial market,'' Medvedev said during the televised part of a Kremlin meeting attended by senior ministers and state banking officials. "This is absolutely obvious and it must be done."
His comments initially appeared to steady market nerves, but did not produce a hoped-for bounce. After a few hours of flat trading, investors capitulated, and a strong burst of late selling left the MICEX Index down 3.7 percent at 1,073.02 points and the RTS down 2.7 percent at 1,298.08 points at the close.
The RTS has lost 48 percent since its May high, while the MICEX has dropped 45 percent over the same period, as several hundred billion dollars has been wiped off stock values amid falling commodity prices and worries over rising political risk.
Central Bank chairman Sergei Ignatyev conceded Thursday that there was "some [liquidity] shortfall in the banking sector," and said the Central Bank was "taking large-scale steps to refinance several banks.
(Excerpt) Read more at themoscowtimes.com ...
Ping!
I guess Putin and Medvedev have got to stop sending all those new petro-rubles to Switzerland and actually begin to build an industrial base and develop a middle class. Then again, that’s not the Russian way of thinking, so I’m sure their glorious leaders’ Swiss accounts will just get fatter.
Ping!
Vodka?
There’s a big price to be paid when you nationalize other peoples investments. Seemed so easy at the time... Contracts mean nothing now. No sane investor would put money into Russia at this point.
Now they are heading for the direction Iran has been traveling for some time.
That type of thinking goes back to Peter The Great, spoils to the victors. When oil dips to $70 - $80 per barrel then you’re going to see the Russians, and all the companies that have invested heavily there, really panic. Serves them right.
Russia Is the Occupied State for Khodorkovsky
Kommersant ^ | 02/21/08
Posted on 2008년 2월 23일 토요일 오후 8:41:59 by TigerLikesRooster
Russia Is the Occupied State for Khodorkovsky
Mikhail Khodorkovsky regards Russia an occupied state and blames the lack of the nation’s initiative exactly on this occupation, Novaya Gazeta reported with reference to Khodorkovsky’s talk with the lawyers.
According to Khodorkovsky, quite a few different thinkers arrived at one and the same conclusion - mentality of the Russians, the relations of people and elite, the place of special services in public life are characteristic not for the country at war but rather for the occupied country.
Since the time of Tatar and Mongolian invasion, Khodorkovsky went on, the nation has humbled that authorities owe nothing, they don’t make any agreements with people, collecting taxes not for the common targets but as a tribute, for what they aren’t accountable. It is the tradition of many centuries, former Yukos CEO pointed out.
“The freedom-loving people attempted to act differently – joining the elite, moving to the East, to the North, but hardly anything has changed in mentality of majority because of it,” Khodorkovsky explained.
Due to historical reasons, not individualism but anti-collectivism is peculiar for the Russians, i.e. the nation is unable to close ranks for solving common tasks without the leading influence of authorities.
Mikhail Khodorkovsky is serving an eight-year sentence in the colony of Krasnokamensk-town of
But when a capitalist country like the US bails out its crooks using natioanl wealth, etc. that is just ok? Of course the difference is that the junk that is defaulting in the US got AAA ratings from S&P so they kind of have a reputation on the line. What reputation you ask? Well don't.
Love those charts that show the Russian economy jumping off a cliff without a parachute.
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