russian financial problems.

[rockriver]

http://www.telegraph.co.uk/finance/economics/11305146/The-week-the-dam-broke-in-Russia-and-ended-Putins-dreams.html

I spent some time over Christmas with a recent grad with majors in econ development and international studies
I wasn't on the internet much. right now, I'm sure wishing I had seen this before he flew the coop.

I don't understand the consequences of a major nation having these problems...
somebody on here want to speculate of how this will play out?


text below....


Gallows humour is back in Moscow. Asked what he would do to stop the rouble spiralling out of control, the former governor of Russia’s central bank replied: “I would pick up a pistol and shoot myself.”

This was the week when the country’s long-festering crisis turned virulent. A last-ditch attempt to defend the exchange rate by raising interest rates to 17pc failed within hours, yet the shock is surely enough to set off a chain of corporate failures and push banks over the edge.

Traders in the City watched open-mouthed as the dam broke on Black Tuesday. The event exposed the awful reality that the Kremlin does not have the infinite foreign reserves that many had supposed. “What is happening is a nightmare that we could not even have imagined a year ago,” says the central bank’s deputy chief, Sergei Shvetsov.

The currency has since stabilised at 60 to the dollar. But it has lost half its value in a year. Russia’s $2.1 trillion (

[prc-104]

Gotta remember the source.

Well written article but then again from the same folk who parrot our gov media line.
They also said the US had the highest GDP in 20 years but didn't mention the fake figures had 40% of our GDP produced by .GOV.
The .GOV prints money, it doesn't produce anything which the GDP is supposed to based upon,

From my view, Putin could be doing an amazing black swan.
China is supporting them.
They have less foreign debt than any other county.
They supply 74% of the natural gas to all of Europe except Italy and if he raises the price or worse stops all credit buying and cuts the gas off, it's gonna be a cold winter in the EU.

Russia's got a lot going for it and Obama and his kidiots in the state/cia are bumblers and we may end up paying for it.

I for one don't want to live in a detroit type usa but big O is pushing for that.

Gonna be an interesting year.
Chinese Curse: May you live in interesting times!

[Rmplstlskn]

As I tell anyone who asks or cares," We live in more dangerous times than the Cold War ever was..."

Rmpl