Reasons for the growth of the ruble

[rupol2000]

Since March 11, the trend has changed and the ruble is growing steadily. What is it connected with?

 

[JGalt]

Since March 11, the trend has changed and the ruble is growing steadily. What is it connected with?

Rouble up in Moscow, falls offshore in volatile, thin trading

 

[rupol2000]

Rouble up in Moscow, falls offshore in volatile, thin trading

there is some nonsense in there. The ruble grew steadily, regardless of the negotiations, and Russia has almost no external sovereign debt

 

[JGalt]

there is some nonsense in there. The ruble grew steadily, regardless of the negotiations, and Russia has almost no external sovereign debt

Ruble Rising in the Face of Sanctions

Ruble rising in the face of sanctions

 

[Dekster]

Well when the central bank doubles interest rates to 20% I suppose it creates some demand by large investors i.e. Putin's cronies.

 

[rupol2000]

Well when the central bank doubles interest rates to 20% I suppose it creates some demand by large investors i.e. Putin's cronies.

Because of this, there will be no demand. Interest rate predicts inflation

 

[Toddsterpatriot]

Because of this, there will be no demand. Interest rate predicts inflation

How do interest rates predict inflation?

 

[rupol2000]

How do interest rates predict inflation?

Banks control inflation, they will not hold a deposit at a loss.

 

[Toddsterpatriot]

Banks control inflation

How?

they will not hold a deposit at a loss.

What is "holding a deposit at a loss"?

 

[rupol2000]

How?

they will not hold a deposit at a loss.

What is "holding a deposit at a loss"?

This is a long time to explain if you do not understand finance.

In Russia, for a long time we were told that "America is a country of traders"

In short: whoever prints money knows what inflation will be. The interest rate reflects inflation projections.

 

[Toddsterpatriot]

This is a long time to explain if you do not understand finance.

In Russia, for a long time we were told that "America is a country of traders"

In short: whoever prints money knows what inflation will be. The interest rate reflects inflation projections.

This is a long time to explain if you do not understand finance.

I understand finance, I don't understand your gibberish.

In short: whoever prints money knows what inflation will be.

In short: that's wrong.

 

[rupol2000]

This is a long time to explain if you do not understand finance.

I understand finance, I don't understand your gibberish.

In short: whoever prints money knows what inflation will be.

In short: that's wrong.

This is a simple explanation for people like you. If you don't like it, go read finance textbooks about the relationship between interest rates and inflation.

 

[Toddsterpatriot]

This is a simple explanation for people like you. If you don't like it, go read finance textbooks about the relationship between interest rates and inflation.

Your explanation was wrong.

The Fed prints money.

The Fed didn't know inflation was going to increase so much.

 

[rupol2000]

Your explanation was wrong.

The Fed prints money.

The Fed didn't know inflation was going to increase so much.

In fact, all banks actually do this, but under the supervision of the regulator.

Back off, I'm not interested in teaching you.

 

[Toddsterpatriot]

In fact, all banks actually do this, but under the supervision of the regulator.

Back off, I'm not interested in teaching you.

No bank prints money, except the Fed.

Back off, I'm not interested in teaching you.

That's good, 'cause you don't know what you're talking about.

 

[justoffal]

Since March 11, the trend has changed and the ruble is growing steadily. What is it connected with?

The Petro-yuan is making its debut....

 

[justoffal]

there is some nonsense in there. The ruble grew steadily, regardless of the negotiations, and Russia has almost no external sovereign debt

China and Russia are hiding an enormous amount of trade that's being done over land by rail system. It can't be measured by the West in terms of the dollar system and so really it's unexaminable at this point. What is becoming apparent though is that the dollar has a very real and very serious competitor for global reserve currency status. The Petro-yuan.

Saudi Arabia may just have sealed the Doom of the Petro-dollar by signing a huge contract with China to sell oil in Yuan instead of dollars. Since I believe the ruble is now inextricably tied to the Yuan the ruble will also benefit from this trade.

 

[rupol2000]

Now there is information that Putin announced the complete transition of all oil and gas payments to the ruble. Perhaps these are fakes, moreover, it is not clear how this is technically possible with inflation of more than 20%, but there is such information.

 

[rupol2000]

The Petro-yuan.

It's impossible. The entire Chinese economy is built on the depreciation of the Yuan.

Most likely there will be no miracles, the dollar will simply be replaced by the euro. Everything is going to this, Europe has been fucking the US in the ass for a long time, since the collapse of the Bretton Woods system

 

[justoffal]

It's impossible. The entire Chinese economy is built on the depreciation of the Yuan.

Most likely there will be no miracles, the dollar will simply be replaced by the euro. Everything is going to this, Europe has been fucking the US in the ass for a long time, since the collapse of the Bretton Woods system

Well sure that's a distinct possibility.... But don't count out China's ingenuity. I have long insisted that China's GDP numbers are artificially inflated by manipulation of the Yuan valuation. However having said that let us remember that the ultimate currency is the man hour. Barring a total social collapse of the Chinese system
China simply has more of them available than anyone else does. Even if the Petro-yuan does not succeed in replacing the dollar it will be instrumental in destroying it.