Posted on 03/30/2022 8:03:16 AM PDT by JonPreston
They shot the World Financial attack on Russia and missed or did minimal damage.
Disaster of a foreign policy which is completely incoherent.
This is an anomaly in the Russian market caused by Russian restrictions on moving capital out of Russia. The retail is right now R81 to $1 and heading south.
Just for fun I’m doing a series of puts on the ruble, Yandex, Gazprom, and mail.il
I suspect I’ll end up in the net gain.
I disagree...but I guess when you start at the bottom of the pile, falling a bit more isn’t an issue.
Their economy was bordering on third world to start.
They have so many resources. Without corruption, they would be the biggest “store” in the world.
I like best the hordes of Western companies forced to leave Russia by their governments.
McDonald’s has all the supply chains locally, ready to restart tomorrow under another name without a penny coming back to the original company.
Finnish Nokia tire company used to make 72% of the high-end tires at Russian facilities, none of the materials are sourced from Finland.
And the list is endless.
I already told you, pay off your bar tab before you gamble your money.
Corruption is a squirrel used to demonize the non-compliant administrations. Between LA and Krasnodar the former is more trird worldish and you know it. Would you cite any recent example of Russian corruption negatively affected foreign business lately? I am not interested in examples from 20 years ago.
I tell people about this and they look at me like I am crazy. I tell them to imagine $25/gallon gas and they almost laugh at me. So many don’t understand that the worldwide petrodollar has kept US currency from collapsing.
Can you explain why their economy sucks compared to their resources?
Can you explain why their demographics suck?
Based on international standards, they “should” be more robust than they are.
If you are suggesting corruption is not rampant in Russia, then you are shilling for someone. People I know who live there describe it to me on a regular basis.
If you want to come on a public forum and talk economics, please don’t be disingenuous. It makes your silly pro Russia crap sound “trollish.”
None of ithis was thought through. Just looking at the effect of this on fall crops or energy prices would tell us this.
It really is a replay of Corona shutdowns. Sanctions on a country like Russia with its vast supplies of commodities is ludicrous on its economic face.
Americans are going to suffer. Possibly starve.
Democrats and a few Republicans, are okay with that.
On the Western companies leaving: pay attention to the details. One example:
Three days ago VR (Finnish company) left.
Today
***
VR Group announced over the weekend that it would suspend freight traffic from Russia due to the sanctions in force for the time being. At the time, Matti Koskinen , President of VR Transpoint, said that VR Group had made the decision to comply with the sanctions imposed on Russia by the West.
The British authorities have now clarified the information: sanctions against Russian Railways (RZD) do not apply to VR Group’s agreements. As a result, VR Transpoint’s eastern freight traffic will resume today, Wednesday.
***
Full text in Finnish:
https://www.ts.fi/uutiset/5613293
Of course Russia is corrupt, but so are other countries. Ease of business ratings say it is better in terms of government pressure and crime than most of the so-called free world. Russian demographics is among the best in Europe. Most of the economic problems are based on external pressure designed to deter development though. It is as clear as day.
Russia is corrupt?
What about the U.S. government?
In recent years, the USA is rated around number 20 on the list of the world’s least corrupt nations. Nineteen other countries are rated more “clean” than America.
“Russia is NOT going to walk away from this without significant long term damage to their economy.”
Correct.
But neither is the west.
MAD.
“And, Russia hasn’t even begun to retaliate.”
May be true.
There is talk of them requiring rubles for ALL commodities, grain, fertilizer, gas, oil and metals.
Add a little pressure to the Persian Gulf and the west will feel a LOT of pain.
Pain will be abundant.
Your petrodollar hysteria us based on pure and unadulterated ignorance. We are talking Industrial strength ignorance.
Since one of you Pooties like to post stuff from this guy, I’ll use him as the debunker of that kook nonsense.
Note his 5.3 trillion is now about 6.3.
“All these claims that the “petrodollar” is going to collapse are a total joke. Oil is less than 10% of world trade. These people are living in the ’70s. Hey, cut the hair and get rid of the bell bottoms. It’s 40+ years later! There is not even an attempt to offer a true honest analysis of the subject. Just look at the figures. The oil and gas drilling sector make up between 4.6% and 6.5% of the global economy. The FX market DAILY trading volume is about $5.3 trillion,which dwarfs the equities and futures markets no less oil and gold. Just look at the numbers.”
Actually long term it may be good for us as it will hopefully get us to move production back home.
“Democrats and a few Republicans, are okay with that.”
A few Republicans? A Few?
That’s laughable.
98% of them.
Sound advice!
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