Posted on 08/15/2023 6:19:59 PM PDT by marcusmaximus
Russia’s central bank on Tuesday hiked interest rates by 350 basis points to 12% at an emergency meeting, as Moscow looks to halt a rapid depreciation of the country’s ruble currency.
The ruble slumped to near 102 to the dollar on Monday, as President Vladimir Putin’s economic advisor, Maxim Oreshkin, penned an op-ed in Russian state-owned Tass news agency that blamed the plunging currency and the acceleration of inflation on the “loose monetary policy” of the central bank.
(Excerpt) Read more at cnbc.com ...
Marcus is worried for Russia!
What about BRIC?
The mouthbreathers in the West don’t understand that sanctions have cut the interaction between the ruble and Western currencies.
Putinomics! LOL!
Enjoy your "fun" for the evening.
China’s not doing good. Russia isn’t.
I’m not sure I’d want to join that effort.
When this was being touted as the end of the dollar, I urged
folks to sit back and watch to make sure this was going to
work. It still may, but it’s not going to be an easy ride
> IMO.
Which is beyond Moscow's control, since no one wants to buy, or trade anything in Rubles, including Rubles on currency exchanges. Both India and China are telling Russia to buy and sell in Rupees and Yuan respectively. That tells how much the world trust the Russian Central bank and the Ruble's stability.
Hyperinflation, anyone?
My guess is that the BRICs currency idea will go like a session of the Indian Parliament: lot's of talk, talk, talk but nothing done because there is not enough bribe cash and favors to go around, with the next election reshuffling the cards of the world's largest multiparty democracy soon enough for another try. A too little appreciated virtue of democracy is that it tends to kill off new ideas by exhaustion through endless gasbaggery, bad ideas like the BRICs currency especially.
He’s a troll, just a pathetic hack. I’ve stopped participating on the Ukraine threads. Just a waste of time arguing with these twits.
But not a waste of time for you to be a crybaby.
Clown. China and India are now Russia's big trading partners. Putin's effed up ruble has also been plunging against the Yuan and the Rupee. So now the Russ have to sell more oil to China to buy the crappy Chinese stuffs they crave. I have no idea what Russians buy from India, Maybe ghee?
The BRICs, as an anti-USA economic coalition are not living up their hype/ The pro-Putin crowd here has been hyping BRICs for years here.
As a political entity, the EU is dominated by a Franco-German political alliance that is secured militarily by NATO and the US. The EU central bureaucracy is characteristically thuggish and peremptory in its dealings with other members. That was enough to drive Britain out and limits the EU's appeal.
Nevertheless, the current EU members are close enough in interest, culture, and history to make it work. The euro has therefore become a mostly successful regional currency based on the strength of the German economy and Germany's willingness to subsidize and lend to other EU members.
The euro though never lived up to the hype that it would become a global currency alternative to the dollar. And the EU's joint arms programs have mostly failed, as has its effort to create an EU military as an alternative to NATO.
So, with those problems and limitations in the far more favorable context of Europe, just how can the disparate interests, culture, and history of the BRICs be merged into a successful political and economic alliance? To even pose the question illustrates just how improbable any success would be.
And with such shaky foundations for a BRICs alliance, just how can it be the basis for a viable currency? At most, a BRIC currency would become a way to settle a handful of deals between the BRIC members without using dollars. Even then, just how are excess credits to be more than dead book keeping entries instead of viable assets?
Gold backed credits could be used, but in the event, that would have to be a way of simply making BRIC member currencies convertible into gold between their central banks and national governments. And if that is what they intend to do, how can they prevent BRIC members from using their BRIC currency credits to poach gold from each other?
When France did that to the US, it helped push the US off the Bretton Woods system of limited gold backing for the dollar. Such an issue would easily explode the BRIC currency scheme because, unlike the dollar or the euro, it would not be founded on the underlying national economies.
LOL. You think I’m hurt over propagandists here kissing Ukraine’s ass?
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