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Russia’s Sanctions - Hit Banks Attract Chinese Financing

OWoN: The Gravy Train is off the rails folks. Driven by Power Drunks high jacking all your futures.

If the need for dollars continue to decline courtesy of folly as Banks and countries flock to China for safety, what happens to dollars required for imports? The BRICS are getting their central bank ready by exchanging their Treasury Bills for gold where possible and that is not going to stop.

Inflation will likely hit America like nothing before which will cause prices to increase tremendously and price inflation will skyrocket as the value of the dollar declines in buying power. The Fed will be forced to cover the unused dollars which are going to come back to America, in greater quantities than they are now.

The irony is that Russia and China are dumping Treasury debt to pay for pipelines, and no MSM will touch this story.

The danger is the time when exporters to the U.S. request an alternative payment than the dollar, and what happens then. The vulnerably is when gold sales run out. Not the paper side but the ability to deliver physical metal, as has been written about extensively by various bloggers. 

Shanghai is settling in physical metal and while the wide spread rumor is that the Chinese longs will call the paper; what is more likely is a indirect assault will be a repriced gold and silver on the Shanghai exchange when London runs out. The Comex is quickly irrelevant and this problem in London will cause a Forex derivative crisis which will, in turn, create a dollar crisis and perhaps a money crisis when the real definition of money is discovered.

While we may be some distance away, do not swayed by time, as movement behind the scene is occurring. Perhaps the banking failure scenarios being practiced this week are a forewarning of this type of event, whether it is still this year or early next, or possibly longer. This quarter many public companies are going to make their profit projections by not spending marketing "soft" dollars and what they will do next quarter is an unknown. Clearly the market prices on stock are an illusion.

Whatever happens, consider what will done as the world will drastically change, as the momentum of events increases.


Russia’s Vnesheconombank, VTB and Rosselkhozbank, hit by Western sanctions, have attracted financing from the Exim Bank of China - Image: VTB


Russia’s Sanctions - Hit Banks Attract Chinese Financing


RIA Novosti
13 October 2014

Moscow – Russia’s Vnesheconombank, VTB and Rosselkhozbank, hit by Western sanctions, have attracted financing from the Exim Bank of China.

The agreement was signed Monday by the banks chiefs in the wake of a meeting between the heads of the Russian and Chinese governments.

The European Union and the United States have imposed several rounds of sanctions on Russia over its alleged involvement in the Ukrainian crisis, a claim Moscow has repeatedly denied.

In July, Sberbank, VTB, Gazprombank, Vnesheconombank and Rosselkhozbank were barred from raising funds on European Union capital markets. Sanctions against the Russian state-owned banks were also imposed by Australia, Canada, Switzerland and Japan.

Western sanctions have brought Russia closer with China, as well as with India and the countries of Latin America, as Moscow has significantly increased its economic, trade and technology cooperation with the above-mentioned partners.

Chinese high-ranking officials have repeatedly stated that China opposes western sanctions against Moscow.

link

10 comments :

  1. Breath in - Breath out-----many times in row to digest all, thought known however when it comes closer it makes strange feeling in knees or spine .....

    ...... foundations of illusions will be shaken and fall off .....

    ;;;;;;
    Let us be brave, prudent and strong....good luck to all.....

    ReplyDelete
  2. John and Canauzzie, what do you think that the revalue of the US dollar will do to us here in Canada?

    ReplyDelete
    Replies
    1. The dollar has to get pounded at some stage. A c35% drop seems very plausible. Only an idiot like Harper would saddle Canada to tracking his Zionist Cabal buddies worthless paper when Canada could have tracked the Pounds, Euro or even Yuan. Tied to the dollar,Canada will get really hurt. Harper will sell the country out to shelter his Zionist thug buddies.

      Delete
    2. Thanks for replying John. I was hoping for better news for Canadians, but at least I have had notice and can make my decisions. What countries do you recommend that will be safe and keep the value of their money?

      Delete
    3. Mary Ann

      The UK, Luxembourg or Monaco.

      Delete
    4. John

      Thanks for the information. And much thanks to both yourself and Canauzzie for this site and all the valuable information that you provide.

      Delete
    5. I would think Liechtenstein and Singapore would be good choices as well.

      Liechtenstein is not a part of the European Union dictatorship and uses the Swiss Franc.

      Singapore is one of the most stable countries with the lowest government corruption on the planet.

      Monaco and Luxembourg both use the Euro which is under the auspice of the Brussels Dictatorship.

      They are offshore banking hubs, but the European Union and their currency is as questionable as the dollar, in my opinion.

      Delete
    6. While researching banks I found this bank that seems to be positioned around the world in some of the best offshore havens. Plus they are a very old bank headquartered in Vaduz, Liechtenstein.

      https://www.vpbank.com/

      Delete
  3. Really, it won't make sense if Russia participates in reverse sanctions...UsA will get it's due with the abandonment of the trade deals in dollars...it's only a matter of time as countries run to Russia and China for safety.

    ReplyDelete
    Replies
    1. Russia
      Moscow Has Every Right to Introduce Sanctions Against US, But Chooses Not to
      http://en.ria.ru/russia/20141016/194130602/Moscow-Has-Every-Right-to-Introduce-Sanctions-Against-US-But-Chooses-Not-to.html

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      Russia
      Moscow Has Every Right to Introduce Sanctions Against US, But Chooses Not to
      Topic: Sanctions Against Russia
      Russian Deputy Foreign Minister Sergei Ryabkov comments on US sanctions against Russia, saying that amid numerous US sanctions against Russia, Moscow has every right to begin introducing sanctions against the United States, but chooses not to follow this path.

      Russian Deputy Foreign Minister Sergei Ryabkov comments on US sanctions against Russia, saying that amid numerous US sanctions against Russia, Moscow has every right to begin introducing sanctions against the United States, but chooses not to follow this path.
      © RIA Novosti. Valeriy Melnikov
      00:17 16/10/2014
      Tags: US-Russia relations, sanctions, Sergei Ryabkov, United States, Russia

      Updated 00:46 a.m. Moscow time.

      VIENNA, October 16 (RIA Novosti) - Amid numerous US sanctions against Russia, Moscow has every right to begin introducing sanctions against the United States, but chooses not to follow this path, Russian Deputy Foreign Minister told RIA Novosti.

      "This is a reflexive, instincts-based reaction of Washington on what does not fit into the American idea of how, with whom, to which extent and upon which basis to do business. Strictly speaking, we now have every right amid this mass of anti-Russian US sanctions to impose sanctions against the United States non-stop and in all the areas," Sergei Ryabkov said.

      Russian Deputy Foreign Minister noted that Moscow has repeatedly stated that Russia cannot get engaged in the sanctions war and will not follow this path.

      Earlier, David Cohen, US Under Secretary for Terrorism and Financial Intelligence said that the United States may introduce more sanctions against Russian companies in light of oil deal with Iran.

      Relations between Russia and the West have deteriorated significantly amid the crisis in Ukraine, as Western politicians and media have repeatedly accused Russia of meddling in Ukraine's internal affairs and aiding independence supporters in the country's southeast. Moscow has repeatedly denied the allegations.

      Over the past few months, the United States and a number of its allies introduced several rounds of economic sanctions against Russia. The sanctions particularly target the country's banking, defense and energy sectors.

      In August Russia responded to the western sanctions with a ban on food imports from the United States, the European Union, Canada, Australia and Norway.

      NOTE:
      See, makes no sense, their whole plan implodes upon itself. They didn't think this through thoroughly..."masters of the universe??" which universe?

      Delete

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