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To: Cronos

Russia’s ruble is stronger now than before this conflict started.Biden sanctions are backfiring and hurting the US.


15 posted on 04/14/2022 5:36:41 AM PDT by CarolinaReaganFan
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To: CarolinaReaganFan
Umm, the Ruble has maintained it's relative strength against foreign curriencies because the prime interest rate in Russia is 17%.

That maintains the value of the currency, but chokes the domestic economy.

20 posted on 04/14/2022 6:07:10 AM PDT by Mr. Lucky
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To: CarolinaReaganFan
CRF Russia’s ruble is stronger now than before this conflict started.Biden sanctions are backfiring and hurting the US.

Because the exchange rates you see are totally artificial. Russia doubled its interest rates and set up rules to make it difficult to move assets out of country or to different currencies. The question is whether that’s sustainable since this is a very expensive way to prop up a currency.

If you want to see how a free market would price the rouble, you have to look at the black market in Russia, just like in the old Soviet days. I have heard, but have been unable to confirm this, that the current black market exchange rate is 300 roubles to the USD, representing a drop to 25% of the pre-invasion value. This is consistent with expectations.

22 posted on 04/14/2022 6:11:22 AM PDT by Cronos
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To: CarolinaReaganFan
CRF Russia’s ruble is stronger now than before this conflict started.

oh and your statement is false - on feb 20th the exchange rate was 77 rubbles to 1 USD. Today is is 82 rubbles in the OFFICIAL rate -- considering that no one is allowed to exchange the rouble, in the same way the North Korean currency was closed.

24 posted on 04/14/2022 6:13:30 AM PDT by Cronos
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