Posted on 10/06/2014 9:04:43 AM PDT by Alter Kaker
MOSCOW, Oct. 6 (UPI) -- The value of the Russian ruble hit a historic low Monday when compared with U.S. and European currencies, the Russian Central Bank said. It took just over 40 rubles to buy one U.S. dollar, or just over 50 rubles to buy a euro, in Monday trading, the bank said.
The bank said last week it was struggling to keep Russian inflation in check because of U.S. and European sanctions on Russian energy companies. Sanctions were imposed earlier this year because of Russian policies in eastern Ukraine, where pro-Kremlin rebels are fighting for more authority.
Exports of crude oil, petroleum products and natural gas account for nearly 70 of all Russian export revenues in 2013. The World Bank finds Russia's export-based economy leaves it vulnerable to geopolitical tensions.
Victoria Nuland, U.S. assistant secretary of state for the Bureau of European and Eurasian Affairs, said last week sanctions "can and will" be rolled back provided Russia respects Ukraine's sovereignty.
Nuland left Sunday for Kiev to discuss the status of the conflict in eastern Ukraine.
“Sanctions are making Russian goods more expensive, forcing the Kremlin to debase its own currency to make their exports more competitive.”
Bingo!
Russia strike? At who, with what?
They have more nukes than we do.
So if recent production reports are to be believed even slightly that the USA is about to become the king of oil production globally (thanks to fracking), then if we suddenly start selling cheaper gas to all of Putin's oil clients we can really sink them?
Putin was warned. Tighten the sanctions more, make the Russkies bleed.
Oh right - because his response to a recession will inevitably be global thermonuclear war. That's really in Russia's interest. < /sarc>
The ruble was the world’s worst performing major currency last quarter, down about 15% in a quarter - well beyond what other petro economies suffered. Hydrocarbons are huge for the Russian economy, but sanctions and higher risk perceptions are having a clear effect on their own.
One effect of sanctions, is that oligarchs are stampeding for the exits, to shelter their assets overseas, before they get blocked or confiscated in an escalating round of sanctions. So they are selling rubles to buy assets in other currencies.
A lot of wealth is concentrated at the top over there. Moscow has more billionaires than any other city on Earth, even though their total economy is much smaller.
We and NATO have better nuke capabilities against that single country, and is that what you think of the 142 million Russians, that they are ready to commit nuclear suicide?
What is going on that is so horrible to the Russians that they suddenly switched to wanting to erase Russia in nuclear war?
If they don’t shoot themselves in the foot first by cutting off supplies.
Sanctions were imposed earlier this year because of Russian policies in eastern Ukraine, where pro-Kremlin rebels are fighting for more authority.
...
So the sanctions have nothing to do with the Russians stealing Crimea.
Leave it to Nuland to sound “retreat” before winning the battle.
Poopin is a sheer genius.
He had the respect of his people at home, respect of the global community, a peaceful setting for his nation at home, and a relatively good economic relation with the global community.
Now he’s got families wondering where the hell their boys are.
He has lost a lot of respect in the global community.
He’s got a hot zone on his Western front.
He has seriously damaged his nation’s economic standing.
Simply brilliant.
Someone call in the Poopin-scooper crew...
Euro sanctions will change when it gets freezing this winter and the Soviets cut off that gas tap.
Yes but only half of their nukes will work.
But he’s a step closer to rebuilding the USSR.
Poopin will need good luck for that, since he can’t even ensure his own present economy will survive.
They are having serious problems in Crimea. He can’t even get the area he’s already annexed right.
Can they go any lower? The Ruble has been worthless for years.
Russia allows it’s currency to float in the market place ...what a radical idea.
I’ll wager Greece and the other failed Euro states are jealous.
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