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Europe Goes "All In": Will Sanction Rosneft, Gazprom Neft And Transneft
Until this moment, the main reason why everyone mostly dismissed Europe's sanctions against Russia is that despite all its pompous rhetoric, Europe consistently refused to hit Russia where it would hurt: its energy titans Gazprom, Rosneft And Transfneft. The reason is simple: by imposing sanctions on these core energy exporters, Europe would directly threaten the stability of its own energy imports (Russia accounts for up to 30% of German gas imports), and as winter approaches with every passing day, playing with the energy status quo would seem like economic suicide. This all appears to have changed last Friday, when as the FT reports from a leaked copy, Europe's latest sanctions round will boldly go where Europe has never dared to go before, and impose sanctions on the big three: Rosneft, Gazprom Neft and Transneft.
Leaked copy of Fri night #Russia sanctions deal confirms 3 energy cos to be hit by #EU capital markets ban: Rosneft, Gazprom Neft, Transneft
— Peter Spiegel (@SpiegelPeter) September 7, 2014
Am told Monday sanctions announcement to include clarification that repayments of loans by #EU states to #Russia still allowed. #Cyprus
— Peter Spiegel (@SpiegelPeter) September 7, 2014
This is what is known in game theory terms as a major defection round.
It also means that suddenly the stakes for Russia, and thus Europe, just got all too real, as Putin will now have no choice but to really ramp up the retaliatory escalation, which following the food ban can only mean one thing: a staggered reduction in gas flow to Europe.
It also means something else: recall that it was just ten days ago when we reported that Gazprom would begins accepting payment for oil in Ruble and Yuan.
If today's news is confirmed, Europe's dramatic shift in sanctions strategy means that Europe's embargo of both the US Dollar and the Euro will accelerate as Russia further intensifies its shift away from both the west and the petrodollar. The only and clear winner here: China, which will almost certainly step in to provide the funding Russia needs however on Beijing's terms in effect making the symbiotic link between Russia and China even stronger, forcing Moscow to rely almost exclusively on China for trade and funding relations, and suddenly give Xi Jinping all the trump cards.
What China's president will do, now that he has all the leverage in the world to call shots both to the West, the East, and of course, Africa, remains unknown, although those thousands of tons of gold imports that mysteriously enter the country and are never heard from again, may provide a hint.
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Factories run on electricity, heating runs on gas (mostly). Germany is a net electricity exporter (on most days).
CHEMICAL industry needs gas
With electricity I meant energy sources other than gas.
Made a quick fact check: 10,5% of electricity usage in German industry comes from gas source 2013. Downwards trend. This energy source is mainly used to cover peak demand or for specific industries such as smelters and brickworks.
Schatz, you may be right, I'm getting a little long in the tooth, because I remember furnaces running on gas. And I seem to recall a move away from Nuclear in Europe, so electricity is either produced by gas or coal. Could be wrong, I don't profess to be an expert.
If the gas were not needed in Germany, it would not be imported in the first place... This may not be a fatal blow to the German economy, but it will have at net effect based on imported volume that is not longer there...
Absolutely.
You will find me not once refuting that. Just two things I have said: industrial energy usage is only marginally tied to gas in reply to one post and the other point I made was that this escalation is not an "all in" scenario as Tyler alluded to. It's sensationalistic and hysterical. Gas is still being supplied and has not been sanctioned. Putin will hardly go "all in" just because Tyler Durden wants him to and so far we do not know what Putin will do. How about Tyler sticks to the facts.
And Putin doesn't have to cut off gas. It would be a mistake. All he has to do is reduce the tap a little and force the price up. It'll affect the whole of europe not just Germany.
No, it doesn't work that way.
Nearly every m3 of gas that goes through the pipe is tied to a long term contract and a fixed price.
Most of the gas supplied is unaffected by spot market prices. At least up to a medium term. If Gazprom does not supply the amount agreed to by contract, they are in breach of contract and liable to pay some hefty punitive damages. Then you have the issue of future trust in a company that does whatever it pleases with its side of the contract. Try finding partners for the same conditions in future. Dealing with Gazprom will mean additional risk, which means Gazprom will lose out on future favourable conditions.
So either they stick to the contract or they go full sanctions. Because some half arsed thing is not worth the trouble and the damage it would cause to Gazprom and therefore Russia.
If I'd have to advise Putin, I'd tell him to stay cool, bide his time, keep the illusion of secure energy supply to Europe alive, get the Pipelines to Asia up and running, and THEN put on the screws. Anything radical now is plain stupid.
'Facts'don't get clicks and web sites hits & duration of viewers. Every weekend there is a 'featured' Ukraine story that drives traffic.
So you seem to think what is happening is all tidied up in 6 months?
All be over by summer. Christmas was getting a little hackneyed even as propaganda.
actually......NO, they can only draw down the reserves to about 50% in order to maintain pressure.
You don't get it. Those are strategic reserves for the rainy day. NATO can make it that if they want to sure. Tapping into though is not going to allow for normal business. 6 months of gas will be rationed. Try to expand a factory or other marginal increase in activity and you will find you shouldn't because of risk or just flat can't because of supply.
Tap into that and you are just keeping the lights on as you ramp up for war.
Is that 'reserve' of gas similar to their 'reserves' of gold that they thought was at the FED? I seem to remember an issue with Germany being able to actually GET that gold when they wanted/needed it...
Everyone is lying. If Germany says they have 6 months of reserves, figure they ACTUALLY have a couple of pressurized tanks sitting around in a warehouse somewhere.
You are correct, the problem comes next year as the reserves are refilled over the summer months.
CH1: NATO has gone insane.
I can only guess that they are that desperate for a war.
It's just job security, a "reason for being". nothing more.
No, this is a big move and one which will have major repercussions. The EU has shifted allegiances and Russia is being treated like 'the new snotty nosed kid on the block.'
The Ukraine thing is only going to get bigger, uglier and more bloody too. MOst Novorussians cannot believe that they actually signed the agreement and there are huge calls of traitors in the midst. Oligarchs are stepping in and calling the shots and speaking for groups that no one gave them the right to and the guillotine has already been set up in Donetsk & Lugansk with certain names seared into the frames.
Russia may do a full retard and think 'Fuck it' and step in and take Eastern Ukraine now after all. I mean what the fuck have they got to lose? and, at least Putin convinces his people of a moral victory albeit late.
Actually, the Russian people do not want Putin to invade Ukraine at all. Who in his right mind would want such a country? Even the East. The economic hit would be enormous.
I've been saying that for six months.Nobody in their right mind would want it.
But I do agree with this bringing us closer to a "fuckit" moment, but it will be
ecobnmic not military. Russia's military is basically defensive. Removing access to capital
markets mean they can be destroyed as a tit for tat, with no real cost.
.This is actually very bad news for the petrodollar, and dumb as a rock, if the strategic goal is
its survival.If you want to destroy it though,its a great move.
They don't want the whole Ukraine.
Take a good look at where the oil/gas/coal fields are. In the same places that have majority ethn ic Russians. Add to that the Ukraine gov's decision to cut off water to Crimea. Ukraine is going to lose these areas, and a big chunk of the Black Sea coast.
Throw in Right Sector "Punishment" battalions executing ethnic Russians ( and bravely running away before the Uke regular army units protecting them got surrounded ).
Yea, someone gave the Ukrainians advice that pretty much mandated Russian intervention of some kind. A whole bunch of Russian Army folks are on indefinate leave, and they all decided to volunteer to fight in Donetz.
The ethnic Russian militias are no longer being run by a WWII re-enactor, and the Uke army is now surrounded and in deep shit.
"They don't want the whole Ukraine."
Agreed -to a point. Russia has no nostalgic desire to reaquire Chernobyl and it's surroundings unless vast portions of neighboring lands are ceded as well.
Estonia however is nicely positioned...the Gulf of Riga, the Baltic Sea...
Not a big economic hit actually. Eastern Ukraine IS Ukraine, thats where all the coal, foundries and manufacturing facilities are. Not to mention that would have a secure land bridge to Sevestapol and Crimea if they gained the East. The Western Ukraine woud be fucked however, its more of a Western model of an economy, fast food workers, retail stores and some wheat farms and Hunter Bidens fracking operations. The Western Ukraine would be hella fucked if they loast their bread and butter, Eastern Ukraine.
The farmland
The landbridge to Crimea
The shut of the sea all way to Odessa and control the port
All this is pluses
Would be better to spend on build up these regions than problem of spend defense because enemy on its border
Putin is better off not invading. Supporting the seperatists in their fight but letting them win with their own blood makes their victory valid, in their eyes. They will earn their freedom and free they will be. If Russia invades and does the killing and dying for them they earn nothing. At least that is the way I hope he sees it.
Russia doesn't need to get a fight started. They have nukes to defend themselves. They have oil and gas as offensive weapons. Europe cannot defeat Russia militarily by attacking Russia. Russia can defeat Europe and the US economically by being patient. Time is on Putin's side here.
Every lash out by the west is more and more obvious to everyone not blindered by western media. Every rotten event makes the west look worse. The dollar is coming to a precipice and it is a one way trip. Starting a shooting war with the west would only provide more life support to the dollar. No, Putin should not invade. The beast is flailing and will soon fall on its own.
Eastern Ukraine offers very little for Russia. It would have, maybe, a year ago before it's been blown up and turned into smouldering ruins by Kiev.
On top of that, if Russia were flooding weapons into the region, then Russia would be LESS intent on taking the territory (because if they annexed such an area, they'd have some fairly well armed guerilla groups).
Putin's best plan, and given his statements, shows he wants a unified Ukraine. He wants the eastern populations to be a counter agent to Kiev to keep the Ukraine militarily neutral.
As for neutrality, I'm hoping that I can find a group here in Canada to begin advocating that Canada leave NATO.
As a dual US-Canuk citizen I support that idea fully.
They are NOT sanctioning Gazprom Gas, so this has nothing to do with the gas contracts. They are sanctioning Gazprom Neft - the oil subsidiary of Gazprom. So let's not get hysterical here.
But it is true that Putin will now have to significantly escalate the sanctinos on the EU. Perhaps automobiles and flights over Russian territory? Whatever they may be, it is the EU which will hurt the most.
Of course, this will probally all be denied today, and by tommorrow, all bets will be off about these sanctions and further denials will say that Europe is still considering "other options".
I may be a complete moron, but here's what I see. Europe is in a desparate situation. Their banking system is collapsing, and their economies are in the toilet. So, they all get together, point a stick unto the Russian Bear and when he reacts, the EU will blame Russia for all it's problems. As far as I can see, this is the only scenario that makes sense.
Anybody else have an explanation for why these imbiciles are acting this way?
Probably.
Evil or incompentence?
BOTH.
The Rothschilds and their ilk stand to benefit handsomely, both with their energy assets that suddenly become more valuable and by having the opportunity to buy assets on the cheap while the blood runs (and the cold kills) in the streets.
It's just another giant transfer of wealth from the "fat" middle class Goyim to the "needy" trillionire Zionists.
Europe does not go to the restroom without permission from Uncle Sam. And does what Uncle Sam asks. All this has to do with NATO expansion into Ukraine!
Take that up a notch. Ukraine is not the target or the goal. Russia is. This has to do with surrounding and further isolating Russia. You have to tie in the event in Syria. Ukraine is just one theatre of operations.
The imbeciles are doing someone elses bidding. The NWO to be precise.
Israel uber alle.
The NSA has something good on them
The EU is being pushed by the US, who are being pushed by the NWO Zionists... They are accelerating their agenda because in their view the entire planet is teetering on the precipice of economic, religious and social collapse... These psychopaths do not realize that it is their actions that is driving the planet into the ground...
"The Mouse that Roared"
Nothing makes sense, really. The only thing I am sure of is that the Americans are behind it. And why the Europeans are so stupid as to go along after NSA and all the other shit they have had thrown their way I really can't understand.
I would tell America to go and take a hike!
Because they are a clusterfuck of psychopathic and sociopathic morons gone frantic. So they blame Russia for their collapse, what's new they blaming Putin for everything now anyways. After blaming Russia what next, nuclear war? The coming west collapse is quite obvious, looks to me like Putin is just waiting for it to happen, strenghening his defenses via alternative trade relations, nuclear deterrence readiness, internal Russian cultural pride strengthening, sound economic policies, conventional war jui jitsu, and gentle nudges to the dollar collapse. Keep the touch light, fluid, multifaceted, and wait. Putin is a NWO problem, unless the zio's have some supersecret deal going on with China and Russia. I don't know about anyone else but I'm in no mood to become a NWO zionist slave.
An old white guy with his fat wrinkled belly exposed and a tanto in his hand would be more appropriate Mr Banzai.
I'm not much of a poker player, but I think it's usually not a good idea to go "all in" when you're bluffing behind a lousy hand and the other players have already seen your cards. Long wool socks and mittens.
I am long wool socks and mittens. :)
Until the cold sets in, and the gas doesn't flow.
yes completely agree, and just a reminder...German nuclear plant shutdown plans are proceeding. So there will probably be a knock-on.
http://www.world-nuclear.org/info/Country-Profiles/Countries-G-N/Germany...
And who will pay the cost? The ones making the decisions?
This is the product of Government, Law, Banking and the Military. All of which require all of us to support them in taxes, participation and acceptance.
Would not self government, social mores and agreements, silver and gold and community miltias accomplish the same things? At much less cost in lives and wealth?
It was one thing when they were an inconvenient nuisance, but when they start killing, poisoning, starving and freezing the people, will we finally say enough is enough? When the State becomes everything and tyranny reigns supreme, why do we continue to capituate?
Just say no more...
Judging by the affects of artillery on Ukraine's armored formations, community militias aren't going to cut it.
Going all in to get the Plebes angered at the gas being turned off and making support for MOAR WAR. Good luck, Europe.
Assuming that is true. then USA must drain USD drastically immediately, otherwise world accelerates USD avoidance for real trade.
So, assuming that is true:
Fed will call margin on the system in one way or another very soon, otherwise, bye bye USD
"USA must drain USD drastically immediately"
HOW?
Draining liquidity domestically will crash the markets, revealing the underlying rot unadressed by the system manamement.
It would destroy the whole status quo/msm reflation/recovery wealth effect meme.
One cannot make claims of economically provident trickle down/wealth effects during an emission/additive phase and then discount the reciprocal economically inprovident trickle up/poverty effect during a remit/extractive phase.
Of course The FED could just buy the indecies directly and put the pilfered shares in it's pocket -I mean in an SIV... Equity expropriation to protect the balance sheet from embedded credit risk.
What mechanisms exist for draining US$ liquidity internationally?
Default on Treasuries? Fiat negation of bank balances at chartered institutions? ( Hmmm. Even where the legal protections for domestic deposits exist the FDIC might take awhile to actually pay out to certain foreign entities and allow certain institutional CDS stacks melt in the heat a while? ...thinking about AIG...still under FED control? )
There is no mechanism for "draining" the USD.
And if the Fed and the Treasury fuck up hard enough, holders of US Dollars will want out of them yesterday. If no one wants them, they have to be used in the US to buy shit.
So all the Dollars come home, and all that inflation we have been exporting comes home to roost.
Winter is coming.
7.62x54R
don't bring a WW2 weapon to a WW3 fight
Oh yes, always bring a Mosin to the fight, you may have to paddle, never know..
http://7.62x54r.net/MosinID/MosinHumor.htm
"if the Fed and the Treasury fuck up hard enough, holders of US Dollars will want out of them yesterday. If no one wants them, they have to be used in the US to buy shit.
So all the Dollars come home, and all that inflation we have been exporting comes home to roost."
IMHO, such a scenario would imply that DEEPLY negative interest rates are imminent. Who pays to borrow if Trillions are flooding in looking for income streams? Earnings per $ will totally collapse. A mass repatriation such as you suggest wouldn't be based on fundamentals or productivity and would involve corporations leveraging up and laying off employees. Short term this would be an economy based on even more eggregious levels of .GOV encouraged speculation and rampant misallocation.
Can inflows simply be blocked via the FedWire and/or the major FX desks?
For that matter, .GOV simply expropriates cash all the time. Sometimes there is no option to actually fight to reclaim your expropriated funds. ...& if you want it back you have to prove where you got it from!
"Dollars? Yeah, we do use them. EU/Asian/Brics/etc. Foreign and say you have lotsa dollars, huh? NO -You can't just bring your 'dollars' in here and spend them freely. Take a number and sit in the big room with the other people with big fat duffel-bags of money that haven't shown us where it all come from -and we'll call you eventually..."
Treasuries will either rise in price and collapse in yield dragging rates into the abyss -or Treasuries crash and rates rocket blowing up The FED's balance sheet and multiplying the rolling vig on the UN-REPAYABLE National Debt.
Financial system is not edible, neither can it be used to fuel a car.
Debt is self destructive via defaults or expiry
Issue is RESERVES, not debt.
There is $60+ trillion around. Too much. $20 trillion has to be extinguished.
Issue is WHOSE $20 TRILLIONS?
Where is the NOT-U.S. Dollar currency to pay for dissolving all the assets that those US Dollars are already sitting in?
For the international Dollars to come back to the domestic US the assets in which they are presently allocated must be sold.
The foreign held Dollars are often in US Treasuries. Do you expect them all to be sold so that the owers of those Dollars can go to the United States with cash in hand to buy what exactly?
For $20 Trillions to be removed from an asset class there has to be a buyer for those assets?
WHO is going to pay in WHICH Currency to fuel the global liquidation of Dollar denominated assets which must rationally precede a domestic repatriation?
Same as with Lehman and Bear stearns.
Shutdown a couple of primary dealers and shutdown a couple of offshore banking centers.
Like in Cyprus.
Gone
"Same as with Lehman and Bear stearns."
Lehman is still being dragged around in the courts in Manhattan these seven years later.
The losses and remaining assets still have not been allocated. I'm not even going to ask questions about criminality, statutes of limitations, etc...
Yes it can.
Sell bonds
Sell gold
Shutdown a bank
And: Even taxation extinguishes dollars.
"Even taxation extinguishes dollars."
The obvious answer if this is your position is to tax accrued wealth and capitol gains rather than labor.
Production is what drives an economy; not hoarding, rentier skimming and productivity theft.
No.
I was explaining what extinguishes usd
"Sell bonds"
The FED sell bonds? How does this 'extinguish' dollars?
The Federal 'debt' is NOT going to be paid down no matter how many Bonds are bought or sold by The FED.
Selling US Dollar denominated bonds requires that someone with US Dollars buy them. Or print the US Dollars out of thin air and buy them. ALL I see in either case is a transfer of US Dollars and bonds at best and the creation of counterfeit currency and purchase of perpetual .gov instigated rentier streams.
AGAIN: The Federal 'debt' is NOT going to be paid down no matter how many Bonds are bought or sold by The FED.
"Sell gold"
How does this 'extinguish' dollars? The Dollars end up in the hands of the Gold seller. ZERO extinguishment of dollars.
"Shutdown a bank"
How does this extinguish dollars?
In the last wave of major banking failures the bad debt was bought up by The FED and US Treasury -with newly printed out of thin air US Dollars. Dollars were NOT extinguished. Dollars were created against already defaulted, known to be fraudulent, and non-existant collateral !
"And: Even taxation extinguishes dollars."
I understand the textbook argument for making such an assertion; but, has it ever actually been done? Taxation does fund a certain amount of government programs. I have never heard anyone assert that taxes received by the IRS are literally destroyed and I would like to see any actual evidence of this ever having occoured...
When has taxation actually been used as a tool to diminish the outstanding money supply?
You have the typical confusion of DEBT vs RESERVES.
I am talking about reserves, not debt
When the Federal Reserve receives USD, then USD is extinguished by law. The Fed is like a blackhole of USD by law
I could as easily say:
"You have the typical confusion of LAW vs. POWER.
I am talking about power, not law."
Go ahead and tell me what You think reserves are and how they can be sequestered and why they should be destroyed.
WHY would The FED Banks want to be rid of reserves that they are being paid ( legally questionable -see that power vs. law issue ) 100% risk free interest for parking at the FED.
Everyone acts as if reserves are actually not invested in something or other.
Where is all this 'money on the sidelines' stacked? I feel like driving by and taking pictures of the heaps of trillions in 'idle' money...
Even IF the law were being stringently follwed by The FED, FED cartel, and Treasury; HOW would the FED attract $5t in US dollars out of the system and into it's clutches, and WHY would it destroy the money instead of -at worst- simply remitting it to the US Treasury?
Are they not already buying the indices?
Maybe they could buy back the ferner reserves with gold... hahahahahaha
Easy peasy
Unwind QE or call margin on Barclay's and Deutsche bank same as to Lehman and bear Stearns
Economy improved immediately after Lehman up to when started QE which reversed the economic gain.
We need a triple Lehman in order wipe out multiple claims on real assets.
After triple Lehman, econony improves quickly but bank lobby will be decimated which is good
"Unwind QE or call margin on Barclay's and Deutsche"
Unwind QE? WHO is buying up all the worthless MBS and defaulted AIG shit, etc.....& WHY?
The 'excess reserves' that have been earning interest at the FED will just disappear; but the Treasuries will be made available to the Banks at wonderful new cheap valuations with fat new rates -real positive rates vis-a-vis inflation?
One hitch is that the loss on the FED balnce sheet will be paid for by taxpayers: effectively another round of subsidies and bailouts to the captured failures run by most of the same criminals that were in charge in 2007...
"After triple Lehman, econony improves quickly but bank lobby will be decimated which is good"
Liquidation is the historically acceptable manner of dealing with defaulted debt. There should have been no bailouts.
Calling margin on DB and Barclay's is all well and good unless it means recapitalizing BAC & JPM & AIG, etc. at levels a hundred fold larger than the 2007-2009 bsailouts after their derivatives stacks collapse to the tune of multiples of the DB's and Barclay's performing assets.
think Cyprus
Cyprus didn't emit the world's reserve currency.
The derivatives stack put in play during the Cypriot event was insignificant compared to what a genuine Primary Dealer cull or the collapse/demise of Deutche and Barclay's would entail.
I also seem to remember that many institutions and persons seemed to be fully aware of what was coming in Cyprus and got theirs out. Insiders got clear of that mess to a large extent. How is more of this kind of unbalanced corrupt selective purging of bad debt and accrued reserve going to bring the system to order.
Allowing some out of the exits and trapping others in the demolition is not a recipie for stabilization..
Oligarchy itself must be destroyed where ever possible. Merely wiping out a portion of the feudalist wealth in some kind of political consolidation while totally impoverishing millions is not the answer.
WHAT OF THE 'DEBTS' OF GOVERNMENTS? WHY NOT DEFAULT?
RESET.
Jubilee. End the feudalism.
Destroy the modern model of slavery perpetuated by corrupt governments.
End the perpetual slavery aka generation and sale of taxpayer productivity streams disguised as government debts.
Margin call on Deutsche Bank my bet to set off a financial weapon of mass destruction. Just the name `Deutsche` makes for a perfect fall guy.
If her time comes don`t be surprised, she`s been set up for a long time and all the rats have left ship already.
The Can Will Be Kicked Down The Road
http://www.theatlantic.com/business/archive/2014/03/the-em-trillions-em-...
The memo will go out. Corporations will sell their foreign currencies and repatriate their dollars to put in the New York Stock Exchange. Stock splits will flourish. The DOW will break 20,000. Nothing else counts.ekm1
No
a deflationary collapse calls attention to the Fed. Hyperinflation will look like a disease that has come in from Africa. Besides hyperinflation feels good at first, the people will applaud.
Deflation, in a purely fiat system simply will not be allowed. Collapse of the currency is surely the plan. It has been done many times (and deflation in a fiat system has never happened) and unto itself will not be the end of the world or the US.
If deflation not allowed, then world will accelerate USD avoidance and Saudis will execute bank lobby oligarchs one by one at daylight
"Saudis will execute bank lobby oligarchs one by one at daylight"
WTF are they waiting for?
Saudi Arabia has regular beheadings and I have heard of not ONE bankster or bankster stooge top hat toppled.
Oh, wait. U.S. is busy busting up or side-lining or sanctioning other Oil producers or would be Oil producers such as Iraq, Libya, Iran, Russia... Price is held high and market constricted. ...& a happy flush OPEC means banksters and bankster stooges tip their top hats at one another on their way to and from meetings with the Sovereign Wealth Funds...
This is not a matter of just drain dollars.
This is mostly a matter of WHOSE DOLLARS are going to be drained or extinguished via:
-QE unwind
-shutdown of a couple of insolvent primary dealers (almost all of them are insolvent)
"This is mostly a matter of WHOSE DOLLARS are going to be drained or extinguished"
ALL things being equal: WHY should the WHO matter in a goddamned insolvency liquidation?
IF YOU LOSE THE HAND YOU DON'T LEAVE WITH ANY MONEY FROM THE KITTY, DAMMIT. LOSSES ARE JUST THAT: LOSSES.
Any other discussion is a discussion amongst criminals; exactly why this mess is a fucking mess in the first place...
The problem with euthanizing insolvent primary dealers is that there won't be any.
WHO is gonna buy Treasuries then without exposing the actual nature of the Treasuries as feudalist perpetual income streams created not by selling debt meant to be paid back but by selling the productivity of the Citizenry?
Anything left of the PD system will only be left because of political machinations anyway.
Where is a Goldman Sachs bank branch? GS is a bank holding company, right?
More Oligarchy.
Default them ALL.
RESET.
FUCK THE CORRUPT DEAD SYSTEM.
All human made systems are corruptible and self destructive
There is no way around elite.
Civilization is elite rule by definition.
People choose leaders to rule over them so people don't have to think hard.
"Civilization is elite rule by definition."
I refuse to accept any definition of 'civilization' which is predicated upon my enslavement.
IF the 'elites' of your so-called civilization deem that I have no value to them outside of my productivity then I have no higher aim than destroying your 'civilization'.
The world is changing.
Concepts like democracy, social welfare, retirement, self actualization, etc.: these were relatively unknown a few generations ago. The French and Russian and American revolutions showed that the rule of the 'elites' is flawed acceptance of it is waning.
The way that 'civilization' is managed will have to change as well lest it become reviled and purged along with the corrupt and insatiable elites and their corrupt sycophants.
Parasites eventually get jettisoned and/or killed off.
These self-annointed 'elites' are just a class of parasites; the world will indeed continue to spin if we stop feathering their opulent nests with our productivity and turn them out to work for their own bread..
Only heaven offers freedom.
Here on earth, we choose elite to rule over us. That's just how it is.
"People choose leaders to rule over them so people don't have to think hard."
People who choose leaders to rule over them so that they don't have to think hard are precisely the sort of people who have no right in forcing such choices on anyone else.
There is no reason that people chosen to rule by people who choose leaders to rule over them so they don't have to think hard should by one sanction be granted some blanket sanction over anyone who did not choose them to rule over them.
IF YOU want a mommy YOU can keep YOUR mommy.
I do NOT need and do NOT want -and will NOT accept- a mommy appointed by a bunch of sheep and children.
"Here on earth, we choose elite to rule over us."
I'm not part of your 'we' no matter how many times you try to claim that I am.
The conditions that YOU choose are yours. Trying to impose YOUR decisions as to who should manage YOUR affairs onto MY affairs might result in you and your affairs and the managers thereof -being destroyed.
Get this through your fool head: YOU are not ME. The rules YOU chose to rule YOU have no jurisdiction in my life and dealings.
I am ThroxxOfVron.
I am explaining 4000 years of documented history. That is all I am doing
"I am explaining 4000 years of documented history. That is all I am doing"
Old history. Dead ideas in discredited books. The world is not flat.
For most of those 4,000 years most people lived short brutal ignorant lives. In some parts of the world a magnificent industrial and technological revolution has changed the way billions of people live: how long, how comfortably, how freely.
4,000 years is over by a few hundred. We aren't going back there unless the mommy-elites that some child-sheep have demanded for themselves blow the world up trying to mommy-fuck ALL of us with their hubris and greed and condescension bullshit..
Fuck that history. Fuck those elites and the baby-sheep that give up their rights and their lives for the false security the elites provide at the highest costs they can possibly charge for it...
That 4,000 years of history is not today. It is over. Finished.
What You and I DO NOW HERE TODAY is what matters.
IF History proclaims me a slave to someone else's insecurity complexes and cultural baggage then that History can go fuck itself.
Man's social hierarchy is corrupt as designed because those who are drawn to it and operate it are congenitally psychopathic.
By the way, ekm1 : I did not down-vote You a single time.
I perceive that You are attempting to be honest to whatever extent possible and I am still trying to understand You.
Some charts or links might help You to dispell the apparent (?) confusion over what we are discussing...
I don't believe the bureaucrats. I think The FED lies. I think the IRS lies. I think the Congress lies. I think Obama lies.
Telling me what the LAW is means nothing as I have no way to know that the law is being followed and every time I find that it has not and is not being followed no one is held to account for it. IF the govenment cannot be held to account to it's own laws then discussion of legalisms are semantic at best.
Selective enforcement of laws by the bureaucracy is base treason and negates the right of the bureaucracy to claim legitimacy for any activity whatsoever: from enforcing the laws against others to picking up their fucking paychecks...
When a cop breaks the law, even if it is to enforce the law; he destroys his right to not only enforce the law but forfeits his right to equal protected under the law himself.
Never bought the deflation meme. But by the way liquidity
got flushed down every back alley and except food and energy
massive inflation failed to take hold today`s Havensteins might have been up to something so far.
Should have been hyperinflation and gold 5000 4 years ago.
Central bank global central planning adding zeros
keeps things running.
The ELITES have ALL the gold so WE all lose again. Your few coins mean nothing.
The cease fire is being interrupted by occasional shelling - reportedly both sides!
So what will Merkel do?
Yup. The ethnic Russian militias aren't going to stop until the Ukes inside their country surrender.
Stupid, stupid, stupid europeans.. Stop listening to the U.s.a. And start cooperating with russia and China.mthis will bring more prosperity for your future.
Some of us are fully aware.
It's those clowns in Brussels under NSA(Neocon) 'guidance' from Washington.
.. either that , or they are all complete imbeciles.
.. or both , probably.
The fly-over permissions to Russian territories....don't forget them....
Ouch.
So what exactly does 'leaked sactions' mean.?
The real question is WHY they were 'leaked'?
Again..this is just for public consumption. Its a show boys n girls. Get your popcorn.
The leaked threats we read about in the papers don't mean a thing.
The private concessions and bargaining we don't hear about are all that count.
"The private concessions and bargaining we don't hear about are all that count. "
Like Kissinger meeting Putin , giving further instructions and the play must go on ?
THE SHOW MUST GO ON
I prefer Freddie Mercury and Queen to Kissinger and Putin.
https://www.youtube.com/watch?v=t99KH0TR-J4
Europe slits own wrists.
Around 80% of Russian crude goes to Europe - esp Germany, Netherlands, and Poland - but most countries in Europe purchase Russian crude and its products to some degree. To cut back on those exports might well put a hurting on Europe, and perhaps even cause a rise in the price of crude, offsetting somewhat the costs of the sanctions on Russia.
This could get interesting.
I'm surprised Norway is buying gas from Russia.
Also Oil is much easier to ship by tanker than NatGas, which is why oil "flows" easily to whoever wants it, wherever in the world. I don't know Russia's oil shipping terminal capability, but suspect it can be ramped up in short order. If the EU doesn't want oil, someone else will, especially at a discounted price. I suspect Russia isn't worried at all... "The spice must flow." I guess the USSA has convinced EU that it is really best for them to have a Depression so the USSA can avoid it and remain last man standing. Stupid Europeans is all you can say.
Illustrates just how effective EU propaganda is.
And people claim Russia is where the propaganda is.
If a Rothschild or a Rockefeller or a Blankfein or Dimon don't run into Rooskie trouble on this get ready people because they are coming for us.
This just in from the BLS: Adjusting for weather Napolean took Moscow in 1812.
Tihis is when we find out just how tough and rubbery merkels fucking tits are.
because they are about to be ripped off
"If today's news is confirmed, Europe's dramatic shift in sanctions strategy means that Europe's embargo of both the US Dollar and the Euro will accelerate as Russia further intensifies its shift away from both the west and the petrodollar."
For all the USD collapse talks, how many of you are BUYING RUBLES????? Ruble is at record lows vs USD. You will make shitloads of money if you buy the ruble, Russian economy is doing great, full with natural resources and GDP per capita equal to the poorest EU member states.
I like your post. Even though I only have a suspicion where you stand in this politically (your avatar might be the giveaway), I always love a "put your money where your mouth is" challenge. I bet most would fight tooth and nail to avoid being dragged from their cozy lives in the US or Europe to the more rugged and hardy environs of Russia.
It's not about the dollar/ruble. I believe the dollar will be stronger. It's not about moving to Russia. It is about reclaiming this country from weasel statist fucks like you guys. The coming collapse will be our chance to reclaim and rebuild. I look forward to seeing you.
Funny you should mention that Onenut. I just did.
All countries on the planet are using fiat.
If you convert to gold or silver backed, you will be bled dry of currency by desperate bankers who want out of fiat. So you don't convert to hard currency. You wait until the fiat bubble bursts, and then you issue new hard money out of the wreckage.
People who think they can escape by buying better fiat are just whistling in the dark.
Yes, that is exactly what would happen. A country that went to PM currency would watch as their currency disappeared as soon as it was circulated...bought up by people everywhere. They wouldn't be able to keep it at home, it would be the hottest-selling thing on the market.
So yes, the world fiat system has to come down first. But perhaps that is what these gold-buying countries are waiting for...
It broke through a double bottom pattern more down to come.
which means it could only go up once we wade thru' the mess, and things settle down!
Rubles can only obtained from Russia. Dollars are not accepted anymore to purchase Rubles. Euros have to be converted into Yuan first via the fixed rate exchange mechanism which is in operation between the EU and China (excluding the Dollar in this process).
Even flouride addled idiots will only (willingly) make sacrifices for their country when it makes sense.
Zibig Brzezenski is back pulling the strings.
I'm not sure which is more evil, Brzezenski or Kissinger...
Two sides of the same coin.
Yep, they work for the same bankster familes. They do not work for us mundane's. They could care less if you are shot in the gut, blown apart, frozen to death or bankrupted in the process.
wasn't too long ago that exxon started drillingdestroying humanity together with rosneft in the arctic (if you were paying attention)
these new sanctions: a strange way to address climate change? call me a wishful thinker...
the elephant in the room:
Well, now it's very clear that the US are using their obedient European slaves to start a war against Russia. They are pushing the situation to the limit, but of course any negative consequences for any possible development are blamed only on Russia, the West is never guilty of anyting. I can't believe that there doesn't to be any single European leader who rejects such kind of suicidal measures. Possibly European countries lost their independence after World War II, once the US soldiers came here to stay; that meant the end of any freedom of all of our countries.
That is correct. Your central banks are now the field offices of Goldman Sachs.
All of the major banks have been personal possessions of the Meyer family for decades. And the central banks, including the fed, are run by people who used to work for those same banks.
You are about a century behind the curve here. Gratz on getting up to speed.
US nukes can be retargeted in minutes. A fact I'm sure is mentioned in informal
discussions, often.
Bribery and ordinary blackmail don't allow any other explanation.
Realpolitik.
Now, it's very clear that the Sauds are using their US and EU slaves to start a war against Russia. Only the Sauds have everything to lose by 1) Russia becoming the ascendent energy empire; and 2) Russia devaluating the Saud's petrodollar reserve currency.
By itself, the US has very little at stake in the Uke.
"I can't believe that there doesn't to be any single European leader who rejects such kind of suicidal measures."
I can. A control mechanism. Kiddies.
Do as I say or I'll blow my head off!
"Hold it. The next man moves ..."
Like Mad 'Buy Bonds' Ben said: buy the dip! :)
A cold winter and a collapsing European industry will not go down well with the European people. When they need to chose between staying warm/having a job and 'freedom and democracy for Ukraine' they will chose the former. But a cold winter and people losing their jobs might be the strategy of TPTB in order to make people put up with what they have planned.
You totally underestimated the effects of continued anti-Russian propaganda and conditioning.
Like George Carlin said, look at your average voter and remember that half are dumber than they are.
George Carlin quotes always +1
You are right, there is a lot of anti-russian propaganda. Not everybody is as critical and smart as the average ZH respondent. People are being brainwashed but there are also a lot of people who don't buy the propaganda.
Jews along with Obama want to destroy Europe.
Euros should all be out in mass together, and so should we.
long ski masks
This proves beyond a doubt how broke and desperate the e.u.s.s.r and western nations are.Insanity is rampant while intelligence is nil.
"When all else fails they take us to war" G Celente.
"The business of America has become War" G Celente.
I note that many dislike Celente but these two quotes (and many others) are rapidly becoming a reality. If something, someone doesn't diffuse this situation it will quickly get out of control.
" It would be well for your government to consider that having your ships and ours, your aircraft and ours, in such proximity... is inherently DANGEROUS. Wars have begun that way, Mr. Ambassador."
The Hunt for Red October"
The possibility of being incinerated because of insane fascists in Washington, London and Berlin will definitely ruin your day. What we're watching is not a movie,,, it's real and it's disgusting.
No bankers jumping for several weeks now.Hmmm...
Worldwide shortage of nailguns,faulty hottubs,and chipped mercedes coupes?
This is an extremely interesting 9 minute video from the Donetsk Republic. It shows extraordinary
humane treatment and release of captured Ukrainian soldiers. The Christian behavior of the Donetsk Republic puts to shame the crude barbarians who rule in America and Europe and the media shills who whore for the Western barbarians.
https://www.youtube.com/watch?v=us9lPiQ9btA&list=UUdnB82ob_V7EXwwcCtB1vUg
http://www.paulcraigroberts.org/2014/09/01/25542/
It's also military genius.
Unlike ISIS, if you are taking some incoming heat from the Rebels, just surrender. You will be well treated and sent home to tell everyone how well you were treated when you surrendered.
Encourage your opponents to surrender as quickly as possible. Make it easy for them. Hell, make it a pleasant experience! Give them a warm cup of soup and a free vodka!
http://www.google.ch/search?q=shoot+in+the+foot&client=safari&rls=en&prm...
The West will not allow a ceasefire in their Ukraine war. Especially not a Russian created one. They want a bigger war, not a smaller one.
Putin is a chess player. He saw what we did in Iraq and Libya. I'm sure this was long in the planning.
just has to hang tough for two years till pipeline is finished.
Two years? I'm thinking more like 6 months or less if China throws it's population at the problem.
The US/EU (possibly) just handed the Chinese world hegemony.
The US sent almost all its manufacturing to China. No manufacturing, no sustainability for a longer war. By getting the EU into supporting sanctions, EU manufacturing is toast. As was pointed out, China is also now the market of last (only) resort for Russia, at least Russian energy.
With most manufacturing in China, the US has no leverage. Possession being 9/10th the law, US corporations can scream all they like - they are still fucked. Socialist control freak education has also decimated the ability of the workforce to recover. The US can't rebuild without massive Chinese support, which gives them enormous leverage.
I guess all those campaign donations to Bill and Hill really paid off.
this is good read on situation. add to it covering tracks for "missing" 11 trillion since lehman in bailouts, stimulus, QE in God knows what else, et al. plain and simple, west is house of cards; just a matter of time.
The pipeline that is less then 1 tenth of what he sells to EU?
August sanctions netted my GZPFY:US just over 20% last month. Yes, by all means sanction away!!!
Well at least blankets and winter coats will be selling like "hot cakes" this winter in Western Europe!...
...and Russian brides.
“Those who cannot remember the past are condemned to repeat it." (George Santayana)
In Europe , there is always someone who wants war .
http://www.telegraph.co.uk/history/world-war-one/10991582/Revealed-how-K...
the King informed Sir Edward it was "absolutely essential" Britain go to war in order to prevent Germany from achieving “complete domination of this country”.
Has EU heard of an expression: Shooting yourself in a foot?
If Russia tells the EU only rubles, yuan or gold for it's oil and gas, this will further wound US petro dollar hegemony. It's the US that is shooting itself in the foot. And it somehow seems intentional to me? I smell a rat!