Posted on 09/01/2017 12:14:27 PM PDT by Lorianne
Today Russian President Vladimir Putin declared war against the hegemony of the U.S. Dollar. Of course, he couched the declaration in a statement saying Russia would work to counter the ‘excessive domination’ of certain reserver currencies.
The comments were published in an article in the runup to the BRICs summit scheduled to begin Sept 3 in China.
“We are ready to work together with our partners to promote international financial regulation reforms and to overcome the excessive domination of the limited number of reserve currencies. We will also work towards a more balanced distribution of quotas and voting shares within the IMF and the World Bank,” Putin commented, reported Russian state news agency TASS.
“I am confident that the BRICS countries will continue to act in a consolidated manner against protectionism and new barriers in global trade,” he said. “We value the BRICS countries’ consensus on this issue, which allows us to more consistently advocate the foundations of an open, equal and mutually beneficial multilateral trade system and to strengthen the role of the WTO as the key regulator in international trade.”
“The goal is to create a package of cooperation measures to work against the restrictive business practices of large multinational corporations and trans-border violations of competition rules.”
“We hope to be able to discuss new large-scale cooperation tasks in trade and investment and industrial cooperation at the Xiamen Summit,” Putin added, referring to previous BRIC agreements recently negotiated.
SNIP
He is wasting his time. The desirability of a currency as a reserve currency is determined by the value of the debt that can be bought with it. Everybody want to earn a return on their cash holdings. You might go out and buy yourself a big pile of Putin-Rubles, but then what will you do with your money? Anybody feel like investing in a Russian corporation? Sound like a safe investment?
I think this was already being pursued, wasn’t it?
Maybe they are now going to try to shift it into high gear.
thank the neocons for their obsession with reviving the cold war
True. He’s just pissed because Trump’s global moves against China are squeezing him.
Besides us “Free-Traitors” who wants a strong (versus foreign currencies) dollar? It makes imports cheaper and exports more expensive or so the theory goes. Seems like Putin’s goal would help the US balance of trade.
Maybe the Fed should bump interest rates again and raise the dollar more. Russia’s currency may be better than pesos but it’s still trash.
It's not what Putin does that counts for anything in this.
Since the FDR administration (with a respite in the Reagan Administration), the US Government and the Federal Reserve have mismanaged the Dollar and Debt hampering sustainable stability and value.
The currency of choice for worldwide exchange and trade will eventually change unless the US changes it's principles regarding currency.
Putin and other nations seek to strengthen and stabilize another currency to compete with the Dollar.
None of them are there yet, but a couple are maturing. The US has no choice but to rebuild the Dollar (and our economy) and President Trump has certainly given our economy a kick in the pants to get it up and moving, he knows how to do business.
I believe he also knows the value of a strong and stable Dollar and will drain the Federal Reserve corner of the Swamp. He certainly has acted on Taxes, if only the Swamp RINOs and GOPee will follow.
It will be slightly painful to rescue the Dollar, but a lot of it can be inflicted on Leftist waste and foreigner bums and criminals.
That’s about like NY State saying that it wants to replace the dollar as the world’s reserve currency - because the entire Russian economy is the size of New York’s...
...and if that idiot, Cuomo, and that bigger idiot, DeCommio, would get out of the way, then NY’s economy would grow faster than Russia’s.
I admire Putin for trying to strengthen and secure his own country, but I’m not really worried about what he does - short of launching nuclear weapons.
Yeh we are shaking an our boots Putey.
actually the russia ruble is a safer bet than The US dollar these days.
positive balance of payments - check
little foreign debt - check
booming private sector - check
gov’t parasites small - check
No it isn't. Not unless you just want to hold them and make no earnings on your cash. You don't dare invest in Russia if you are a foreigner. The Russians steal from foreign investors with total impunity.
No it isn’t. Not unless you just want to hold them and make no earnings on your cash. You don’t dare invest in Russia if you are a foreigner. The Russians steal from foreign investors with total impunity.
Even with all of that it’s safer than the dollar.
No it isn’t. Not unless you just want to hold them and make no earnings on your cash. You don’t dare invest in Russia if you are a foreigner. The Russians steal from foreign investors with total impunity.
Even with all of that it’s safer than the dollar.
He’s not so stupid to think the dollar will be replaced with the ruble. Russia’s goal is to reduce the dollars influence and replace it with anything else
Converting to a specie backed currency would make Russia more free by limiting the government's ability to inflate and spend. And that would be a very good thing for the Russians. But it wouldn't have much effect on the value of the Ruble as a reserve currency. Only secure good earning Russian debt can do that. If you want people around the world to hold your currency you have to have investment opportunities for that currency.
Everyone pointing out the weaknesses of the Dollar are right, but it's still the best reserve currency out there and the Ruble is not poised to challenge it.
I think Bitcoin or something like it will accomplish that. It will reduce the influence of Putin's own currency at the same time though. Eventually we'll get back to a gold backed banking system, but with digital markers this time.
see sharp,
you’ve been drinking that neo-con koolaid.
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