Thanks to Veritas for pointing out this episode to me!
Saker Message:
Thanks to Veritas for pointing out this episode to me!
There are structural features in motion which is not related to Russia but to all countries which are to depending on US dollar loans.
http://www.telegraph.co.uk/finance/comment/ambroseevans_pritchard/11300454/Fed-calls-time-on-5.7-trillion-of-emerging-market-dollar-debt.html
The good part for Russia is that it is not the state which is in debt but the private sector.
Capital control will be the best responds to this problem. As raising rates hurt the domestic economy. Capital control will hurt the “fast” money (aka speculators), long term investors in Russia will lok at the growth potential.
http://www.nber.org/papers/w8142
OT: Remember the Sauron’s eye story in Moscow? It’s ongoing, and not just in Moscow. The beast won’t stop until it’s starved. Christmas must be deconstructed, they say. Don’t wish people a Happy Christmas. Say “Happy Holiday!” But I nearly fell off my seat when I saw an extremely sinister Sauron’s eye-like initiative for the street lighting for this Christmas in Bologna, Italy (on one of the main drags into downtown Bologna). Check out the masonic pyramids and eye motif they use.
http://www.imolaoggi.it/2014/12/18/bologna-luminarie-con-simboli-massonici-il-comune-e-arte/
Now that’s what I call a smoking gun!
It’s presented as part of an ‘artistic’ initiative (‘artist’: Luca Vitone), to commemorate the victims of the bombing of Bologna station on 2 August 1980 (the station is just round the corner from this monstrous ‘artwork’). 75+ died.
Chutzpah if ever i saw it! – when the guilty parties with full public backing i) monopolise what they see as a has-been (the celebration of Christ) with their own black mass and ii) trample gleefully over the sensitivities of those of us (including myself) who remember that day very well.
Very short and clear analysis in french on the failure of the recent attack on the ruble:
https://www.youtube.com/watch?v=eXAm_HZ8KWM
Thanks for posting this very informative discussion. You are helping my education which has been sadly neglected.
I am in disagreement with a fundamental premise of what everyone else seems committed to. It can be summarized in a statement Putin is said to have made at his recent Q and A session with the public: “Financial speculation is not a crime.”
My understanding is that this is wrong, immoral and destructive. Yes, financial speculation as it is practiced today is this and more; it is murderous, criminal and one of the major sources of evil, resulting in a culture of suffering and death for all of us to various degrees.
In support of my contention, I call to witness religious and secular history. Christians, including Orthodox and Roman Catholic, have condemned usury as a sin, up until recently. Muslims still condemn it. As for Jews, I’m not sure.
What happened to change condemnation into now universal acceptance? Is this progress or regression? I claim this change is degradation of morality, caused by greedy, heart-less speculators using the power of the state.
I listened to about a half hour of Putin’s Q and A, and got the feeling that he’s just repeating a script of the speculators. He’s trapped in their scam. Yes, he may save the system by stopped the more insane version of the U.S. and their stooges but the problem of usury remains. It remains in my mind nothing less than a crime against humanity resulting in genocides and holocausts.
From my point of view, it is disgusting to watch the general ignorance on the faces of Putin’s audience; and the betrayal of the moral principles of religion and secular people with a conscience.
I could be wrong. I acknowledge that Putin and Russia cannot simply drop usury. They have to stop the U.S. led massacre with whatever tools they have. But do the Russian people understand their own history on usury? If they win this currency battle, will they eventual return to the morality of their religious heritage and cultural tradition? Will they lead all of us to a restoration of sanity and safety? Or in their ignorance, will they lead us like lemmings over the edge of unsustainabilty and terror?
Important link to understand the attack on the ruble:
http://russeurope.hypotheses.org/3166
Keiser – what is he?
No wonder so many people want to criticise RT.
Great guest though. Quite how Liam Halligan is allowed to work at the Telegraph I really don’t know. Far too sane.
A bit too much noisy – this Keiser. It looks like his only job is to show that everything is right in Russia.
Having your currency fall by 50% is by definition not good. It causes trouble for a lot of companies and destabilizes the economy. So although Russia may be doing the right thing in the given circumstances or not it certainly should evaluate what it should have done differently to prevent such a situation to have arisen.
Cheery christmas message reminder from jim.
this quote, the book “morals and dogma…”, etc can be found to read anywhere for free, as it was written in 1871 by albert pike, or at least his handlers who told him what to write.
http://www.jimstonefreelance.com/
The Third World War must be fomented by taking advantage of the differences caused by the “agenteur” of the “Illuminati” between the political Zionists and the leaders of the Islamic World. The war must be conducted in such a way that Islam (the Moslem Arabic World) and political Zionism (the State of Israel) mutually destroy each other. Meanwhile the other nations, once more divided on this issue will be constrained to fight to the point of complete physical, moral, spiritual and economic exhaustion. We shall unleash the Nihilists and the atheists, and we shall provoke a formidable social cataclysm which in all its horror will show clearly to the nations the effect of absolute atheism, origin of savagery and of the most bloody turmoil. Then everywhere, the citizens, obliged to defend themselves against the world minority of revolutionaries, will exterminate those destroyers of civilization, and the multitude, disillusioned with Christianity, whose deistic spirits will from that moment be without compass or direction, anxious for an ideal, but without knowing where to render its adoration, will receive the true light through the universal manifestation of the pure doctrine of Lucifer, brought finally out in the public view. This manifestation will result from the general reactionary movement which will follow the destruction of Christianity and atheism, both conquered and exterminated at the same time.”
transcript of Putin’s press conference:
http://eng.kremlin.ru/news/23406
@ Wim
” it certainly should evaluate what it should have done differently to prevent such a situation to have arisen.”
In normal times 50% drop can be fixed by normal means.
This was started on purpose by USA and other interests, with the aim of destroying Russia, or at least Putin.
The only way to prevent it would have been to lie down and obey USA commands…including things like
* remove from Ukraine troops which are not there
* “give back” the Crimea, where Kiev already cancelled their lease on the Black Sea Fleet base
* in other words let themselves get evicted from the navy base
* probably to sign a confession about shooting down MH17
and at this stage maybe to fork over a few billion or tens of billions in “reparation” to Ukraine.
There has been a drop in the ruble, it is coming back up again, Russia has certainly made a profit on the reversal, used it to get more of their big businesses bring their money home, leaving egg of USA face for failing to bring them down, and the fallout yet to roll through the rest of the west.
Abnormal times take abnormal methods. It looks like they were strong enough to get through this in one piece. Let’s see the coming weeks how the other side fared.
The point the guest was making about Cameron’s remark (apologies – I didn’t catch his name) seems to me very significant in terms of the Russian population’s perception of the ruble as against the dollar.
Here in the west, of course, it is all about the big money players who have no national affiliation and will play the market, and that’s a war that was launched on the ruble, even to the extent of affecting the population there apparently to some extent.
The efforts which go into comments here are much appreciated by us readers and learners. As are those of the site manager. Thank you all very much.
The Economic Weapon written by Alfred Zimmern during WW1.
“It is enough to emphasise the fact that the economic
weapon is the most powerful in the varied armoury
of the Allies, and that, if the Alliance holds together and
consolidates its forces, no human power can prevent it from
ultimately—and indeed, as all the omens indicate, soon
rather than late—bringing victory, final and decisive, to the Allied cause.”
Note that Germanyin 1900 financed construction of railroad from Turkey to Baghdad [it already ran to Turkey].
That would bypass the sea-routes of England and open the entire Eastern world to German trade.
That is vital data in understanding historical events. It was England’s navy that isolated Germany from trade in WW1. Embargos, sanctions, etc are still in use as war weapons. Not to mention attacks on German currency after WW1 as the German Republic was established [Weimar government].
The Economic Weapon is very much in play.
For those unfamiliar, Keiser is noisy for sure, but he brings a vast array of intelligent people through his show – witness this one, with his calm sidekick (and wife) Stacy Herbert, and Liam and Constantine – immense intelligence and informed analysis at work, while Keiser plays the loudmouth, but with good questions.
His show is watched by 20 million viewers around the world, and I don’t how many of those are in UK but he’s definitely a presence there. Keiser is a trader of old, and he understands markets – stocks, bonds and currencies – very well. His current show-biz thing is to be a bit wild, but it’s only his act. The underlying paradigms that he attacks and champions are the things to note.
Keiser is actually the perfect man to turn to for this currency war. Thanks for this show, Saker, it was an excellent one, and reinforces many of the things we’ve been concluding here in these threads.
@Anonymous 17:41
Icke speaks on Pike’s 3 world wars, Isis, Ukraine etc.
https://www.youtube.com/watch?v=HK5ZAapfylQ
ALL
Anonymous links to other sources @15:51, 16:29 and 16:44 provides a lot of good news on the Russian response to the CITY (of London) attack on the Ruble.
Reminds me of the Rothschild false reporting of the battle of Waterloo that lead to the fire sale of the London stock market by the then France based Rothschild empire.
http://www.counterpunch.org/2014/12/19/ruble-takedown-exposes-cracks-in-putins-defense/
Ruble Takedown Exposes Cracks in Putin’s Defense
by MIKE WHITNEY
“Like we said, Putin might be a great chess player, but in his battle with the US, he’s getting his clock cleaned. So far, he’s been no match for the maniacal focus and relentless savagery of the Washington powerbrokers. Yes, he’s formed critical alliances across Asia and the world. He’s also created competing institutions (like the BRICS bank) that could break the imperial grip on global finance. And, he’s also expounded a vision of a new world in which “one center of power” does not dictate the rules to everyone else. That’s all great, but he’s losing the war, and that’s what counts. Washington doesn’t care about peoples’ dreams or aspirations. What they care about is ruling the world with an iron fist, which is precisely what they intend to do for the next century or so unless someone stops them. Putin’s actions, however admirable, have not yet changed that basic dynamic. In fact, this latest debacle (authored by the RCB) is a severe setback for the country and could impact Russia’s ability to defend itself against US-NATO aggression.
So what does Putin need to do to reverse the current trend?
The first order of business should be a fundamental change in approach followed by a quick switch from defense to offense. There should be no doubt by now, that Washington is going for the jugular. The attack on the ruble provides clear evidence that the US will not be satisfied until Russia has been decimated and reduced to “a permanent state of colonial dependency.” (Chomsky) The United States has launched a full-blown economic war on Russia and yet the Kremlin is still acting like Washington’s punching bag. You can’t win a war like that. You have to take the initiative; take chances, be bold, think outside the box.”
The biggest enemy come within. Like Germany got problem in the 1920ish. By banks lending money for speculations. And the RCB lending money to the banks. There are no easy solution to exchange fluctuations but in Russia the economics is sound and should not be a target for speculation. Though its possible that the Ruble has been overstated. Mine solution to speculators is don’t care let them play out and sooner or later they will burn the money. Mean time a lot of things happens. You can’t buy BMW and more. And if you have to import important stuff it will raise in price. Soo the important sitt still in the boot and wait out the speculation. This you should do if you have a not regulated currency. The problem for me is that there are too little information how the speculators get there money soo maybe i have to adjust mine solution to the problem. But i think most of the comments and also the blogg writer understand to little about economics.
Hmm…
If we equate this financial fight with an armed conflict, then it follows that importance of winning the war is much higher than winning a single battle.
When you are not quite prepared to fight or outnumbered or outgunned – it is better to withdraw, conserve what forces you have and build more. Choosing one’s battles is a sign of a capable commander.
Putin is not an idiot. I’m sure that he knows very well which among the people around him are actually on his side, which are just waiting to betray him and which are 50-50.
His time will come. Remember the shock the cancellation of South Stream caused throughout the Europe? Bulgarian government is nearly crying in public.
As far as I can see, Russia will prevail in anything not involving nuclear war. And if that happens – we all lose.
Fort Russ has translated a very interesting article by Sergey Lopatnikov, written 5 days ago on Dec 16.
I don’t know him, but he’s evidently written about the Ruble for some years, and he celebrated on Tuesday that the central bank was finally entering the game.
Russian Central Bank Has Entered The Game
He’s a little difficult to read, he writes a little bit in short hand – I’ve read it twice so far, and I’ll go back for another.
Lopatnikov is saying that Russia has been discussing the Ruble’s value for some years, and what’s been happening is a shift in policy – and thus a shift in the power of internal interests – from imports and foreign loans to exports and internal credit. All this makes it necessary to down-value the Ruble, which has been holding to an exchange rate originally set up for massive imports and loans held by the west. Listen to this:
“Naive people suppose that a prohibition on Russian banks and companies from borrowing abroad is ‘sanctions for Ukraine’, but in reality – these are sanctions for the withdrawal of gold and currency reserves from abroad… The residue simply got lower than the debt load of the Russian companies, and the Western creditors ended up in the zone of commercial risks not covered by the GCR. As a result, holding the rouble exchange rate in favor of borrowers was senseless. The choice is either pawn the reserves under Western control, or reduce own risks and live off one’s own.
“The second choice was picked by agreement on both sides: It is Russia that began to take out the reserves out of the Western paper, and to collect gold. So instead, internal credit will be growing and a more refined mechanism, through creation of sufficient investment in countries, first of all in China, which have good investment positions in the West.”
and this:
“The Central Bank, quite naturally and correctly used the reduction of the price of oil to lower the rouble WITHOUT DOING NOTHING AT ALL.”
Russia generally has thought since last year that the stable exchange rate should be 45-48 Rubles to the Dollar, says Lopatnikov (at this moment it’s weaker than this, around 58). He says that by February-March, the central bank will have it stabilized at that mark, and in the meantime, no whining!
How interesting…man that Russian guy sure knew his stuff…made it sound so easy…thanks Saker, and Veritas…good news from a libertarian Russian Irishman. Wow.
Hi Sasy…actually I don’t find that scary….not to worry.
Hi Love Govt….
‘My understanding is that this is wrong, immoral and destructive. Yes, financial speculation as it is practiced today is this and more; it is murderous, criminal and one of the major sources of evil, resulting in a culture of suffering and death for all of us to various degrees.’
Love Govt when Putin says financial speculation is not a crime…that’s exactly true. In today’s world its not a crime…its not illegal…that’s all he means…he’s not talking about morals…he’s talking law.
Whether or not it should be a crime is a philosophical discussion and Putin’s not really a philosopher…he’s extremely pragmatic…superbly so.
Here we go again with people thinking how Putin and Russia “should do it” … Putin and Russia are just trying to save the ship now…not idealize.
Ann
Hi Ann!
It’s pretty eerie to see the same kinda thing in Detroit, too:
http://www.inquisitr.com/1687274/satanic-snaketivity-at-michigan-capitol/
Merry Christmas!
Grieved linked an excellent article-The Russian Central Bank Has Entered The Game, which will leave many scratching their heads about how the world of money works. The world is over run by deception. People often end up supporting their enemies without knowing it!
Inflationists are typically the type of Yavlinski and Glazyev.Up front, they are strivers for the people, but actually, guardians of the interests of the bankers and the traders… Please read the whole link…it is important!
Sergei Glazyev and the MMT crowd are easy money inflationists. They claim to represent the PEOPLE, but in effect the represent the debtors rather than savers. The biggest debtors are governments and bank financed speculators. The inflationists wish to steal the time and energy of the working and producing class, by settling loans with cheaper(easy) money. The oligarch’s are really just like the idle poor, who have discovered easy low interest money means they can live without work on the blood of those who produce and work. These parasites call the system we have capitalism, but it is big government, big corporations, the idle poor, and oligarchs using easy money to destroy and coop the fruits of the creative and working class. The USD Empire is descending into chaos because of MALINVESTMENT caused by easy money. The oil shale industry is an example of malinvestment as the result of cheap money! Read Drilling Our Way Into Oblivion
Putin should “turn the table” at USA and the west. In stead of them saying: “abandon Donbass/Novorossia, abandon Crimea and maybe we will lift the sanctions”, Putin should say: “Abandon the Kiev-hunta and the sanctions or we will libarate not only Novorossia but all land east of the Dnepr too”. and then immediately recognise Donbass AND Novorossia and give them enough help so they can get liberated!
Nic
Dear Saker, I know you don’t necessarily agree with the items you post. Still, your choice of this conversation of Keiser and Gurdgief is puzzling. I have no doubt that like me you find Keiser to be a decent human being from whom one can learn a lot. It’s just that in this case Keiser, celebrating the free float of the rouble as some sort of victory for rationality, is tacitly falling back to the comfort zone of his stockbroker past. He is far closer here to the destructive part of neo-liberal dogma than Paul Craig Roberts, who actually played a crucial role in running the US economy under arch-capitalist Reagan.
Here is Roberts’ view: “considering the gangster nature of financial markets in which the US is the heavy player, a country that permits free trading of its currency sets itself up for trouble.”
Gurdgief thinks Russia must have a vibrant currency market to get the financing, from abroad, that it needs. Here is what Roberts says about that: ” Russia should self-finance. If Russia needs foreign capital, Russia should turn to its ally China.” Self-financing is the main point about central banking that Ellen Brown and others have taught us, and of course that no sovereign country need pay rent on its currency to private bankers, as Russia (along with most of the world, including the US) presently does.
“By following neoliberal prescriptions, Russian economists are helping Washington’s attack on the Russian economy,” says Roberts. So, too, Saker, are the people here whose views you have posted. Given how misled public opinion is in Russia, that is a pity.
Kind regards,
sarz
(Am re-sending this, after failing to get through yesterday, because of faulty internet at this end. Hoping for a response from Saker, even if everyone else has wandered off.)
http://fortruss.blogspot.co.uk/2014/12/the-anti-russian-policies-of-eu-succeed.html
good article-rus re-orientates transport trade big time away from Baltic countries now suffering -especially Lithuania who has been most vocal against Rus.
Novorossiya claims AFU going to attack soon 15000 troops 40 tanks Lughansk; another child killed in Gorlovka-which has been the focus for AFU in recent weeks.
MOSCOW, December 22 (Sputnik) – The US intends to swap all of its supervisory personnel in the country’s Russian embassies and consulates for American citizens, following a thorough background check.
MOSCOW, December 22 (Sputnik) — Beijing is willing to help Moscow and believes that Russia “has the ability and the wisdom to overcome the current economic difficulties,” the minister was quoted as saying by the South China Morning Post. Wang did not outline any specific measures, according to the newspaper.
KIEV, December 22 (Sputnik) – Ukrainian Prime Minister Arseniy Yatsenyuk on Monday gave himself kudos for holding the country’s foreign debt at $72 billion for 2014. well, USA is giving military aid and Ukr sponges off everyone.
POW’s reported that MRE’s are impossible to consume either due to a strong chemical taste or lack of taste, or poor health effects with regular use. “Even a starving dog wouldn’t eat this crap”, – described his attitude toward American MRE’s one of the UAF soldiers, who switched to the side of DPR-AFU forces dispirited a bit…..According to information received from local residents , 83 km from Donetsk, in the village of Granitnoe, Telmanovo district, Donetsk People’s Republic, English-speaking mercenaries were spotted.
According to a resident of Granitnoe Roman S., mercenaries often appear in the shops and markets, moving in small groups, they have new NATO uniforms, communicate with each other in English, bringing a translator along with them, not allowing to take photos of themselves under a threat of use of weapons.
On Sunday, December 14, 2014 about 600 employees of the Odessa Portside Plant (OPZ) and members of their families came out to rally against the takeover of the company by Privat Group of oligarch Igor Kolomoisky, as well as demanding an end to the economic blockade of Donbass. Were Kharkiv protesytprs released from interrogation?
Note-Turkish pipeline, Turkey is putting TAPAN as priority. Note Belarus is having problems re Rus, economy, and is turning to closer support/ association? with Ukraine? But Serbia more reliable-MOSCOW, December 22. /TASS/. Belgrade will never introduce sanctions against Russia even if Serbia joins the European Union, Serbian Parliament Speaker Maja Gojkovic said on Monday at a meeting with the members of Russian parliament’s lower house, the State Duma. December 22. /TASS/. The cooperation between Russia and Serbia has reached a strategic level, the speaker of Russia’s lower house of parliament, the State Duma, said on Monday.
“We highly appreciate the level of cooperation between Russia and Serbia.
“As I know the accession to the European Union is the priority task for Serbia. By taking this opportunity the EU is trying to impose its values on Serbia and sets the imposition of sanctions on Russia as a condition for entering the Union…”China considers any sanctions counter-productive in international relations”, Zhou Li said.
I think Japan said something last week too in support of Rus?
Rus says foreign banks with rus 30%+ stake can apply for rus loans to aid projects in Russia. December 21. /TASS/.
Ukrainian President Petro Poroshenko and US Vice-President Joseph Biden had a telephone conversation on Sunday to discuss issues of international financial assistance to Ukraine, the press service of the Ukrainian head of state said.Re IMf , Eu, anywhere.
Trying to find out about 21 Dec meeting re minsk……..21 Dec
The Ukrainian head of state drew attention to the importance of the meetings in Minsk. “Thanks to the effective interaction between us the terms ‘Minsk format’, ‘Minsk memorandum’, ‘Minsk protocol’, and ‘Minsk agreements’ are now part of the history of diplomacy. The entire world now says that they are the foundation of the peace plan of President Poroshenko and the foundation of the peace process in Ukraine. They have been recognized by the UN, the European Union, and the G20. They actually represent a no-alternative model for the de-escalation of the situation in some parts of Donetsk Oblast and Lugansk Oblast,” said the Ukraine President. Thought they had ignored it all together?? AFU continue to break ceasefire?
© ITAR-TASS/ЕРА/TATYANA ZENKOVICH/ARCHIVE
Belarus to consider aggression against any CSTO member as military threat — Belarus DefMin
MOSCOW, December 22. /TASS/. Member states of the Collective Security Treaty Organization (CSTO) plan to establish collective air force.
MINSK, December 19 /TASS/. Belarus will consider aggression against any member state of the Collective Security Treaty Organization (CSTO) as a military threat to its own security under the country’s “On Martial Law” which parliament amended on Friday.
MOSCOW, December 22. /TASS/. Russian President Vladimir Putin may have a separate meeting with his Belarusian counterpart, Alexander Lukashenko, on Tuesday or will agree on such talks to address the most pressing bilateral problems, Russian presidential aide Yury Ushakov said on Monday.
LUHANSK, December 22. /TASS/. Head of the self-proclaimed Luhansk People’s Republic (LPR) Igor Plotnitsky said on Monday he is ready to take part in the Contact Group meeting in Minsk if a concrete document is coordinated
MOSCOW, December 22. /TASS/. Moscow has invited US President Barack Obama to attend celebrations on the occasion of 70th anniversary of Victory in the 1941-1945 Great Patriotic War -also invited president North Vietnam.