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RU Sanction Effects | March - 2022

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Well if things keep up we will find out who is right soon enough..... Frankly hope we are both wrong for the outcomes of a Russian collapse.
Basically the implied threat the other day in reaction to the sanctions was this.
If Russia is faced with an economic situation like the USSR had at the end we might just use our nuclear weapons.
 
Pretty sure if Russia economic collapses, we will see some of the same like in 1991( when they also had nukes, and alot more troops ) -> military coup -> repulsed by civil -> new goverment. Its the western powers plan ( might backfire with their own propaganda to support Ukraine, see rising claims from the public to go in and put a no fly zone in Ukraine, which clearly would provoke a war that the nut heads in Russia wants. So I hope the western politicians keep their heads cool and wont react on the influencers and nut heads we have here in the west )
 
Common sense tells me Putin will launch before his country is controlled by another or even reach such collapse. This why i said he will exhaust his conventional forces against Europe to seek relief from those countries he defeats. Failing that he launches. He will not idly sit back and suck it up like you all hope for. Trust me. Don't fool yourselves.
I tend to agree here, the phrase " I will not fade quietly into the night " if it applies to any world leader it's Putin. A man so resentful and full of animosity for the west will never accept defeat. He said as much referring to himself and those would perish in armegeddon as "martyrs", while west burns in hell.
 
Pretty sure if Russia economic collapses, we will see some of the same like in 1991( when they also had nukes, and alot more troops ) -> military coup -> repulsed by civil -> new goverment. Its the western powers plan ( might backfire with their own propaganda to support Ukraine, see rising claims from the public to go in and put a no fly zone in Ukraine, which clearly would provoke a war that the nut heads in Russia wants. So I hope the western politicians keep their heads cool and wont react on the influencers and nut heads we have here in the west )
I agree IF (big if) Russia were to collapse there would be a myriad of problems the world is not ready to deal with.
Their nukes
I suspect China would try to move in areas along their borders especially those with hydrocarbons.
Expansion of military minded Islamic actors
And the nukes again.

Some might claim this was all the plan in the west I don’t really see it though.
The west was barely ready to react to the war in Ukraine along nato boarders
And second given all the players involved this is about an organic conflict that could spool up in this region as imagined. Unless of course Putin is involved in the attempt to collapse Russia.
 
I read somewhere earlier in the day that there was supposed to be a vote at the Duma to have the ruble backed by gold. Russia has huge reserves of gold. It makes me wonder how much gold reserves that the US actually have. That could be the game changer that most didn't think about.
 
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I read somewhere earlier in the day that there was supposed to be a vote at the Duma to have the ruble backed by gold. Russia has huge reserves of gold. It makes me wonder how much gold reserves that the US actually have. That could be the game changer that most didn't think about.
The value of one nations money isn't souly based on what they have in their vault "metaphorically" speaking. The value of ones currency is based off national stability, infrastructure, quality of life, internet access, school systems, health care infrastructure, jobs, the taxes they collect, ect.

The value of a national currency is basically like a grade you get from teacher on how well your doing.

So Russia could have all the gold in the world. Still won't help them. If businesses can't & won't work with Russia they will never be able to come out of that hole. Not just business but enegery sector too is being forced or willingly removed by private sector from global markets. No amount of gold can help that.
 
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I read somewhere earlier in the day that there was supposed to be a vote at the Duma to have the ruble backed by gold. Russia has huge reserves of gold. It makes me wonder how much gold reserves that the US actually have. That could be the game changer that most didn't think about.
In a disruptive environment like this backing you currency with gold only go so far.
You claims or proof of gold has to be verified a d accepted.
What good does having a gold back currency do if most of the banks in the world still won’t accept you currency.
It might stabilize its internal inflationary problems

It’s a risk for any FX trader to buy rubles even with that. They will only ever see their return if russia prevails however long that might take.

Gold in the hand is one thing but it’s still just a speculative investment (a good one). Countries could go buy raw materials with a gold transfer.
But it still will do little for individuals and businesses to purchase products and materials overseas.
 
Yes indeed. Wars have been started over much less crap.

What happens when the bulk of the Russian people show up at the Kremlin demanding answers as to why they can't get money or a loaf of bread costs 80 million rubles. If things are not taken care of properly a collapsing or swirling Russian Nation could be disastrous for everyone.

EVEN IF Putin didn't bring everyone down with him. We would still have like 6,000 nukes just floating waiting to be taken or sold on the black market after a collapse. The implications are mind boggling.
It makes me wonder why the west is doing this knowing how seriously it could backfire.
 
In a disruptive environment like this backing you currency with gold only go so far.
You claims or proof of gold has to be verified a d accepted.
What good does having a gold back currency do if most of the banks in the world still won’t accept you currency.
It might stabilize its internal inflationary problems

It’s a risk for any FX trader to buy rubles even with that. They will only ever see their return if russia prevails however long that might take.

Gold in the hand is one thing but it’s still just a speculative investment (a good one). Countries could go buy raw materials with a gold transfer.
But it still will do little for individuals and businesses to purchase products and materials overseas.
I understand what you're saying and agree. I wasn't even looking at an investment point of view, like you said, I was thinking 'internally' versus normal trade. It might stem their inflation some internally.
 
It makes me wonder why the west is doing this knowing how seriously it could backfire.
It’s true couple of personal thoughts
One of the lynch pin propositions of history and conflict is the mistakes made to mollify an aggressor which did nothing to stop an eventual conflict anyway.
So is this a time and place to stand up to an aggressor? It appears a lot of people believe so.

But yes war and conflict is always dangerous there are always risk. What are you to do.

Ukraine and NATO could have given Putin what he wanted sure. Ukraine never in NATO.
Would that have still stopped the eventuality of something like this? I honestly don’t think so. Might not have been this year might have been 2025 but I suspect eventually Putin a d Russia wouldn’t have been happy till their was a pro-Russian gov in Kiev like Belarus.

Here’s a wild hairy ass idea.
Putin rejects the no nato guarantees
A week of fighting continues much the same
NATO continues troop build up
And then NATO and Ukraine announce in special session Ukraine is now a nato member and Russia must withdraw within specified time frame or NATO would declare war on Russia.

Issues like this are always fluid.
There are no hard fast proven doctrines that guarantee if you do this this will happen. There are only probabilities and time and events are always changing those probabilities
 
I understand what you're saying and agree. I wasn't even looking at an investment point of view, like you said, I was thinking 'internally' versus normal trade. It might stem their inflation some internally.
Personally for someone who has been in the "know" about economics for decades and seen how world markets have react first hand to every world crisis for multiple decades now....

It's not going to help even a little. If Russia can't do business their money will be worthless and might as well be used as TP if the pressure is kept. They have and will continue to have runaway inflation which only leads one place.
 
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Russia can hold out for a long time with its huge reserves. I have doubts that the West can engage in a war with Russia, The West is far too indebted! China is watching silently, it is she who will take advantage of this in terms of the economy.
America's economy is more likely to collapse
than the other 2.
Americans, you dream a lot!
 
Personally someone who has been in the "know" about economics for decades and seen how world markets have react first hand to every world crisis for multiple decades now....

It's not going to help even a little. If Russia can't do business their money will be worthless and might as well be used as TP if the pressure is kept. They have and will continue to have runaway inflation which only leads one place.
Leads to war.?
 
Russia can hold out for a long time with its huge reserves. I have doubts that the West can engage in a war with Russia, The West is far too indebted! China is watching silently, it is she who will take advantage of this in terms of the economy.
America's economy is more likely to collapse
than the other 2.
Americans, you dream a lot!
You make a lot of pronouncements but never any current or historical facts. What’s the deal?
Chinas holds a lot of US debt sure. But this isn’t a China US issue. This would be a China vs US and Europe and India and Japanese issue.
Japanese are the largest foreign debt holder of US debt. China has slot of things but China doesn’t have the ability to feed itself. Chinas economy is dead if their markets dry up.
China has virtually no hydrocarbon reserves. They are just as intertwined and dependent on the world economy are the US is. Their mega farm leases in Africa have failed. Their smart and shrewd yes but they are not some invincible monolith that is guaranteed to rule the world.
The world could turn on them as quickly as they seem to have turned on Russia.
They are however probably looking at Russia’s oil and gas fields and licking their lips at the opportunity this situation presents. Remember China and Russia distrust each other more than the trust.
 
This is worst case scenario a leadership change or one brought on by a collapse. I don't believe Putin has pushed past the point of no return yet-(economically).

But Putin will be soon passing the point of no return if he keeps it up. Soon he will literally be cut off from the world entirely like DPRK.

The private sector is doing their own bans from across the board on their own. Russia has become toxic to work with now. Ontop of the sactions makes this extremely dangerous gamble for Putin and his nation economy.
 
This is worst case scenario a leadership change or one brought on by a collapse. I don't believe Putin has pushed past the point of no return yet-(economically).

But Putin will be soon passing the point of no return if he keeps it up. Soon he will literally be cut off from the world entirely like DPRK.

The private sector is doing their own bans from across the board on their own. Russia has become toxic to work with now. Ontop of the sactions makes this extremely dangerous gamble for Putin and his nation economy.
He still deals with China and can exchange with there banks as far as Russian currency and gold are concerned. He already supplies gas to China and can simply cut off supplies to Europe re-routing to China. Russian oil sales can also continue to Africa and Brazil and China.
 
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