thank you : )
That was when Russia had the funds (still do) but the US took steps to not allow them to transfer the funds to make the payment. Missing a payment because you don’t have the funds is looked at differently than when one government is manufacturing a default by another government. I also suspect that the major financial houses, that sold the credit default swaps, complained mightily to the administration, seeing how they, not the Russians were on the hook for the cost of the manufactured default. Notice that we haven’t seen or heard any more about cutting off the funds transfers.
1 Like
There is also more to it actually. It’s only an initial miss and it’s actually meaningless since there is a second deadline. So yes it’s kabuki but…
The point however stands that this doesn’t look like eating our lunch.
What it looks like is a bunch of morons with no actual ability to see the big picture in international finance set up a bunch of ineffective sanctions.
They are not ineffective - they are weak. Also like a handful of people in the entire world see the big picture on international finance but anyway Russia is not winning as a sanctioned country. Not the war mind you. The gonna win that.
Their inflation rate, their reopening Moskvuch factories, their unemployment rate in major population centers screams of eating our lunch
Too “weak” to be effective in accomplishing the objective for which they were imposed.
You won’t get a disagreement there. Just saying that they are doing damage just not the damage to stop the war.
They a merely inconvenient for Putin.
1 Like
Don’t much care what their lunch is when I am being served a ■■■■ sammich
That’s perfectly valid. I don’t exactly agree for a few reasons but it’s a perfect toy validnpositin
Brexit is really starting to cripple the UK economy and the current Conservative government is making a right mess of things.
Could be worse, though…
the russia economy is going great guns!
according to an article that i cant post its contracting by 7.8% in 2022.
google “russian GDP 2022 and find out”
Allan
NATO expected that the “nuclear option” financial sanctions would collapse the Russian currency and the Russian economy. Instead of collapsing, the currency went through a brief period of disruption and is now recovering. The value of the currency has surge about 30% from pre-sanctions levels.
Sanctions were supposed deny Russia key components and stop Russian industry. Instead industry appears to be rapidly adapting and returning to production. For example, Russia’s largest auto maker has restarted production.
In contrast, the effects the self-imposed embargo on Russian energy and food is accelerating inflation and pushing the western economies into recession.
NATO’s plan A is failing. What is the plan B?
Yes, fairy tales used to begin with “once upon a time”. Now they begin with “experts project”.
The UK economy is already contracting, and the situation is deteriorating rapidly. The Russian economy has survived the western nuclear sanctions and is starting to recover.
1 Like
In what way is it starting to recover?
Please answer the question without an expert projecting. Thanks.
Yes because they are accepting ruble for exports thereby increasing its value. That’s why they have had to drop interest rates but they can’t seem to affect inflation. That’s already been pointed out to you.
That’s not even the best part. The best part is it’s value against the dollar and euro is irrelevant. Do you know why ?
Let’s see what their gdp looks like in the in second quarter? Deal?
Yes, any news that does not favor the narratives from Washington is considered irrelevant.
There were people in the White House who recognized that sanctions on Russia would be counterproductive. Consider these quotes from the end of February:
“The sanctions will not target the oil flows as we go forward,” Amos Hochstein, the State Department’s senior energy security adviser, said in an interview on Bloomberg Television. . .
“If we target the oil and gas sector for Putin, and in this case the Russian energy establishment, then prices would spike. Perhaps he would sell only half of his product, but for double the price,” Hochstein said. “That means he would not suffer the consequences while the United States and our allies would suffer the consequences.”
It looks the Biden administration has been “doing something” about Russia even when they know it is counterproductive.
Yes that’s how oil embargo’s work. They cause price increases. It does nothing to show that their economy is recovering. Not even a little bit.
I will never understand this need to defend
And no it’s not irrelevant because it changes the narrative. It’s because Russia can’t deal with euros or dollars. So its value against those currencies is only relevant in gdp calculation
