Posted on 02/28/2022 8:54:01 AM PST by SpeedyInTexas
Elina Ribakova, deputy chief economist at the IIF, said on a call Monday that she expects a contraction of at least 10% in Russia’s gross domestic product and double-digit inflation as a result of the sanctions.
“This takes us back to the 1990s when the [Russian] economy was in complete disconnect from the global economy,” she said, adding that Russia will likely be forced to default on its roughly $60 billion in external debt because of lack of access to the foreign exchange needed to repay it.]
Gee cant they print more money? Like us?
Boys, get off those computers, go stand in line to convert your rubles into dollars!
Where do you live in Russia?
Hope it was worth it Putin. Such a moron.
Printing rubles is the easy part. Getting hard currency is the hard part.
[The Bank of Russia said it was still assessing the feasibility of whether to open all its markets on Tuesday.
Stock trading on the Moscow Exchange was closed Monday as the country dealt with the impact of punishing financial sanctions announced by the West in retaliation for Russia’s invasion of Ukraine.
On Tuesday, currency and money-market trading on the Moscow Exchange will begin at 10 a.m. local time, which is later than usual. It also said early morning and evening sessions on the Moscow Exchange have been canceled from March 1 until March 5, the Bank of Russia said Monday.
The new trading limitation builds on a lengthy list of restrictions implemented to curb the continuing economic fallout from Russia’s invasion of Ukraine. Earlier, the Bank of Russia shuttered stock trading for Monday.]
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I looked it up a month ago:
US Debt to GDP ratio : 130%
Russia: 18%
Did I just see Peppermint Patty say that anyone that watched Putin’s press conference last week knows that something is wrong with him?
OMG!
Like Joe uttering gibberish?
Like when Biden said, I think we can win back the House?
Come on, man!
A Canadian-owned Reuters piece. ‘nuff said for me.
Well, that will move that finger closer to the red button. Nothing to lose pretty soon. Take others with you while you commit suicide. Politics is a dance of death.
Yup. This is not just a war with the Ukraine, it’s a war on the U.S. dollar also.
He is a moron and I hope this is the end of Russia as we know it. US should take Putin out of the game before he does something crazy with nukes.
A tiger cornered is dangerous. Could prompt more severe responses.
Western Central Banks have cut off the Russian Central Bank from managing its Forex Reserves. the Federal Reserve needs to be in the middle of any US$ holdings it has, so its only logical - if the Russian Central Bank can’t access US$, they won’t be able to pay US$ liabilities.
It's almost like Brandon is trying to destroy America.
“make it so other countries will quit using the U.S. dollar as the default currency.”
That’s laughable and only mindlessly parroted over and over by those who don’t have a clue as to why the dollar is the reserve currency.
In the US, or currency is backed by US Treasury debt - "a claim on the future labor of people in the US.
What happens when debt defaults?
Claims on future labor - in the amount of the default - go away. In other words, the money supply shrinks immediately by the amount of the default.
What happens when a money supply shrinks?
It means existing debt becomes harder to pay off.
It means a nation's currency strengthens (less money to buy goods and services, so each unit of money is worth more). This is devastating to factory nations like Brazil, Russia, India, and China.
It means commodity prices tank.
What's happening in Russia right now could easily spill into China's economy and push them over the edge, since they're already on the brink of an extreme deflationary spiral because of their real-estate bubble popping.
Anybody think the Fed is going to raise? I don't. Never have.
currency backed by debt is worthless.....
Not true.
All money in the entire world (save a very few countries like Yemen) is debt-based.
Power in our modern economy is derived - not from how much money somebody has - but how many claims on the future labor of others people own.
Controlling the future labor of others (slavery) is what it's all about. Most all of us are debt slaves.
The US Treasury needs to get back to issuing our currency, and not having it backed by US treasuries.
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