This page has been archived and commenting is disabled.
Did Saudi Arabia Just Suffer Its Largest Foreign Capital Flight In 15 Years?
The last few days have been almost the worst for the Saudi Arabian stock market in 4 years. Between low oil prices, a new King's big social welfare budget, and now "war," it appears this year's dead cat bounce from last year's exuberance is dying rather rapidly. However, what is perhaps even more troublesome for The Kingdom than the net worth destruction and potential blowback from instigating war against the Houthis is the fact that this month saw the largest drop in foreign curreny reserves on record (over 15 years) for the Arab nation... somewhat suggesting capital flight on a scale never seen before in one of the richest states in the world.
Saudi stocks plunging...
as foreign currency reserves drop by the most on record (in over 15 years)...
An almost $18bn plunge - the most ever - dragging foreign currency reserves back to the lowest in over 3 years...
and the very recent weakness in the Rial (as war began) suggests the picture will get worse...
Charts: Bloomberg
»
- 23274 reads
- Printer-friendly version
- Send to friend
- advertisements -
Your take Yen C?
Between low oil prices, a new King's big social welfare budget, and now "war," it appears this year's dead cat bounce from last year's exuberance is dying rather rapidly.
Hope & Change
LMAO
stick a fork in um.......now its time for the real power to take their gold.....and they will very soon
Big whooop! Here's to hoping their AC stops working for about 3 years.
Problem solved
All Countries with Relationships to the USA are buying US Long Term Treasuries.
An oath of fealty, from the Latin fidelitas (faithfulness), is a pledge of allegiance of one person to another.
-
Looks like there is a big super power in the room. an elephant. Fealty. Big Time(I think I meant).
Fealty leads us to consider other terms of corruption.
This is a nasty situation.
No one is clean. No one is Innocent.
(http://www.treasury.gov/ticdata/Publish/mfh.txt)
http://www.bea.gov/newsreleases/international/intinv/iip_glance.htm
http://research.stlouisfed.org/fred2/series/USNUM (total Banks)
Last Data is from December 2014.
Belgium 2002 = $10.8 B, then 2013 = $163 B, Today $335 B
Bermuda 2002 = $14 B, then 2013 = $94 B, Today ??
Cayman Islands 2002 = $10.7 B, then 2013 = $66 B, Today ??
Canada 2002 = $8.4 B, then 2013 = $46.6 B, Today $69 B
China 2002 = $95 B, then 2013 = $1,272 B, Today $1244 B
France 2002 = $11 B, then 2013 = $42.4 B, Today $79.2 B
Germany 2002 = $38 B, then 2013 = $54 B, Today $72.7 B
Hong Kong 2002 = $37 B, then 2013 = $89 B, Today $172.6 B
India 2002 = $5.2 B, then 2013 = $56.6 B, Today $83 B
Ireland 2002 = $6 B, then 2013 = $91 B, Today $138.6 B
Japan 2002 = $260 B, then 2013 = $1,023 B, Today $1231 B
Luxemburg 2002 = $20.2 B, then 2013 = $107 B, Today $172 B
Mexico 2002 = $16.7 B, then 2013 = $52.7 B, Today $84.8 B
Norway 2002 = $5 B, then 2013 = $74 B, Today $81.6 B
Philippines 2002 = $3 B, then 2013 = $36 B, Today $40.6 B
Poland 2002 = $7 B, then 2013 = $31 B, Today $27 B
Russia 2002 = $3 B, then 2013 = $138 B, Today $86 B
Singapore 2002 = 19.4 B, then 2013 = $82 B, Today $110 B
Switzerland 2002 = $28 B, then 2013 = $157 B, Today $190 B
Taiwan 2002 = $0 B, then 2013 = $183 B, Today $175 B
Turkey 2002 = $2 B, then 2013 = $18 B, Today $77 B
United Kingdom = $45.7 B, then 2013 = $130.6 B, Today $189 B
Good stuff there, Teeth. Very interesting. That data tells the whole story. Clearly central banking is a cosmopolitan cartel. Control of oil, agriculture, metals, etc. is a smoke and mirrors when you have an international consortium that controls the very asset one needs to get all of those things; money.
We talk about conspiracies like Free-Masons, Illumanati, etc. when really one need only look at data that is available and right in front of their face. Central Bank of... there's your 'not-so-secret society'. These other groups that people blather about give a bad name to those who have some understanding of the real game. The rest of the croud just pledges fealty to some stupid flag that they think represents them.
CBers print their local currency, then sell it for Dollars parked into US Treasuries held at the NYFed. This gets them what, exactly? Access to the US consumer? A TransPacificPartnership?
It's a delicate line, though, because the inflation from all that printing raises local food prices, causes unrest.
Who owns this pile of Treasuries in NY if the government changes abruptly, in Poland, for instance? Will there be a FREE POLISH govt in the US, spending the Dollars it squirreled away?
What's up with Ireland? 4 mln people and Dollar reserves double Germany's. It's holding $34,000 outside the country for every man, woman and child in Ireland. So first you print "the stake" that your Central Bank trades with in the casino? And then you are allowed at the big table? Is this a hedge if the EUR fails? I could actually imagine a FREE IRISH government in NYC spending this....on weapons....civil war, coming to countries near and far.
I'm making over $7k a month working part time. I kept hearing other people tell me how much money they can make online so I decided to look into it. Well, it was all true and has totally changed my life. This is what I do... www.globe-report.com
.
Don't worry, Saudi Arabia. Isreal has your back. No, it's not holding a knife, and it would never be duplicitous.
Looks like a lot of Saudis would like to tade in those bathrobes for a shirt and pants.
When the going gets tough, the tough book flights to Europe
And buy investments in the USA:
http://www.bea.gov/newsreleases/international/intinv/iip_glance.htm
do they worry at all about the pilots?
They must be orunning out of the black gold. Yall something really strange going on in the world. Even the news is changing to more read like it feels out here. To me it feels very ominous I wish I could put my finger on it but watch out over the next couple months it is brewing and at any moment boom
I'm not sure it might be Saudi going after US LT Treasuries or other.
I see a globe with lots of land, why would US Powers, or US Corporations tell people they had big Oil Reserves. ??
US Corporations are only going to reveal their hand if they have contracts.
But I'm paranoid of course...
But let's look at the trend of Nations buying US Long Term Treasuries... Saudi Arabia is under a category of Oil Producing nations that I have not Recorded. I would Predict that these holdings will increase in 2015-2017 to large levels not seen before. Say $300 Billion in 3 years.
Just my Prediction...
I never considered myself a math whiz, but I can count. Foreign Currency Reserves are currency in less currency out less what the gubmint wastes. Let's see, currency in; they are selling their only product for half of what they were last year.
Currency out; the new king gave all the minions bonuses and threw more gubmint cheese to the peasants. Then he invaded his neighbor. This drop in currency reserves might surprise Krugman and the PR department at BLS, but after that...
Then there is the Saudi stock market. If I had to guess, I would lean toward there being some weighting to the energy complex in the SA market index. Enough that international sector arbitrage could explain the drop? I don't know, but if I considered this result an anomaly, that would be where I would look first.
Surely they should have accepted that this was expected collateral damage when they decided to take out Russia and the US frack squad for market share. If someone told them otherwise, I feel confident the royal barber is sharpening the royal razor to cut out his tongue.
Uhh, don't the Sauds have 750 billion in foreign currency reserves?
ref:
http://www.eia.org/todayinenergy/detail/.cfm?id=19971
http://en.wikipedia.org/wiki/Golden_gimmick
http://en.wikipedia.org/wiki/King_Saud
http://en.wikipedia.org/wiki/Saudi_Aramco
jmo
indeed, you're correct, but... with thousands of deadbeat sheikhs only taking and never giving back-- as in greece 'not paying taxes' on their vast prime land holding and always spending well beyond their means, is quite similar to? well you know what i mean... and millions of plebs out of work just waiting to destroy sa antiquated sharia-law and religious police.
again jmo
http://research.stlouisfed.org/fred2/series/ROWFDN... ($3.16 Foreign Investment USA)
http://research.stlouisfed.org/fred2/series/GPDI ($2.69 Private Domestic Investment)
http://www.bea.gov/newsreleases/international/intinv/iip_glance.htm
http://www.bea.gov/newsreleases/international/intinv/iip_glance.htm ($26 Trillion foreign compared to $22 for US) (This is very interesting as Big Banks are growing strongly, but the number of total us banks is dramatically decreasing, like someone is gaming the system, Commercial Banks in the U.S. - FRED - St. Louis Fed)
http://research.stlouisfed.org/fred2/series/USNUM (total Banks)
It is no secret that the Saudis have been meeting with the Chinese on a monthly basis for building trade relationships ex dollar....this could be factions within the princes to change this order..a regional war creates chaos which extends US dollar hegemon.
sa has been the financial backer of pak's nuclear program which basically controlls afghan`taliban, with the nwfp (north-west frontier province) also at their ?beckoning?. the chinese need peace in xinjiang with the rebellious uyghur's radicals stirred-up by pak's fanatical sunni jihadist (in the past we called them christian crusaders). this is the node from the silk-road that must not be impeded.
so, china will except sa oil, but on their terms?
jmo
It is no secret that the Saudis have been meeting with the Chinese on a monthly basis for building trade relationships ex dollar....this could be factions within the princes to change this order..a regional war creates chaos which extends US dollar hegemon.
China wouldn't mind a strong dollar when it's eagerly dumping US Treas for gold and real assets. As long as the wars (Ukraine, Yemen, Iraq etc) don't jeopardize oil supply, China will reap some benefits -- relatively cheaper gold bars, more competitive export prices, better leverage over Saudi Arabia in promoting use of RMB for oil, maybe even some unexpected sale of military supplies and hardware.
The US is not the only one that can benefit from Controlled Chaos.
Looks like Saudi and allies are going in with Shock and Awe. Over 100K troops, battalions of armor and motorized infantry, back by large air forces. The plan seems to be conquest followed by a joint Israeli/American puppet ruler of Yemen. Simply add Yemen to the Zionist camp. I know a lot of folks are going to be killed, but the result will be worth it to the west.
Now we all know this is perfectly legal and not aggression.
"If you're going to shoot, shoot. Don't talk." - Tuco
Yeah, not a peep about unlawful invasions and such. Coming up, blue helmets.
Every one of the "kingdoms" has a significant, and abused, Shiite minority backed by Iran. We are quickly moving beyond the "proxy war" stage out there. You will have a very hard time getting Americans to care about the corrupt Saudis and their medieval wahhabists. No matter how many movies Jon Stewart makes trying to turn the Iranians into this century's Germans, we ain't buying.
That would be a double edged sword. Yes, we would finally be keeping our noses clean but there would be global reaction to us not sticking up for an ally. Oh well, the spiral must continue.
I seriously doubt that the US has ever truly considered Saudi Arabia "an ally". A tool for supporting petrodollar hegemony, yes. A cheap source of energy, yes. An ally? not when the Saudis are about to accept other major currencies for its oil. Besides, a thoroughly corrupt, barbaric and incompetent regime like the Saudi government cannot possibly be an ally in any meaningful way.
With allies like that, who needs fucking enemies?
I would re-enlist if I thought I'd get a chance to kick Saudi ass.
the jewish fellas
yes those oriental brown ones called the
the house of saud
they really gotta go.
time to wind this mi6,cia zionist experiment up.
the planet cannot take any more depleted uranium missile radiation.
and as for sisi the jew running egypt fuck you
you dumb oriental tool
Is this a problem from your perspective and from your social group?
http://research.stlouisfed.org/fred2/series/USNUM (total Banks) (Steady Decline, Systematic Decline, Systematic Corruption, and I think Manipulation)
Consolidation is the name of the game. Blow a bubble, pop it, clean up. Currently in action with oil. The bank thing is a long term play.
On the plus side, I drive a lot and see a lot of new coops, savings banks, and the like so there is fresh blood. Too bad most of them play with derivatives as assets.
I'd like to see a quick all out war between Saudia & Iran.
I'm in the popcorn industrial complex so I'd like to see it drawn out.
Can't believe some asshats gave that red arrows.
exactly how would a quick all out war between Saudi Arabia and Iran benefit you?
An oil spike to front run, weapons to sell, and a rescue for the shale complex when the Saudi spice stops to flow.
Better start buying dollars and stop pumping oil fuckers.
Saudi Arabia just issued a statement saying they were going into Yemen to protect Saudi's living there; you know, kind of like Putin said they were going into Crimea to protect Russians living there.
Did I miss the news about the Yemenites vote to join Saudi Arabia? You know, kind of like the Crimeans did?
But where did it go for gosh sakes? Could it be their poor folk or B of A San Fran or Chase Man or Missouri farm land or condos in San Diego?
Or did it go where it's super safe? I sure know that's where I'd go...
IF I WERE SATAN'S SEED!
https://www.youtube.com/watch?v=lEJCmrhDh9U
Church Lady
Moon of Alabama has a good story on how making this about Iran and proxy wars is wrong
Houthis rep as great allies and pit bull adversaries. Sauds and Egyptians about to find out what boots in the rubble are going to mean when their soldiers start going home in body bags
I hope they give them the same pounding the Russian Rebs gave the UkI Neo Nazis
http://www.moonofalabama.org/2015/03/the-wahhabis-war-on-yemen.html
Maybe the whole purpose of this war. To boost american asset demand.
Create threats everywhere, wait for the money to come to the empire.
Do you think the Saudis know they are being used?
Do you think the US does?
Israel is uing US to fight Israel wars, in turn US is using Saudi Arabia to fight their war in Yemen.
And Saudis want to use Egypt to deliver the foot soldiers.... quite funny if it wre not about killing.
Americans learn quite quickly from their masters.
edit: the blocade of Hormus is a good move from Saudis, it could get the oil price go back to $100/b
This would have happened 20 yrs ago - less Bush41, $18T
Surely a coincidence that the us ad France started their bombing runs on tikrit at the same time what with all those Iranian troops local. Yemen is about Saudi. Curious that the green Saudi defen,se minister is running the op with nayef looking over his shoulder. Aq has tried to assassinate him a few times which must mean he represents an unpopular faction with someone - helping explain maybe the spate, of recent us defense contractor kills inside the kingdom. And what of the Abdullah purge post transition, except for the Abdullah lineage heading the national guard who was trolling DC days before the power transition. Now as dep crown prince and with hiS very anti brotherhood father turning up suddenly dead as the Egypt spring cranked, like the head former head of Egypt Intel who allegedly checked into a Us hospital and never came out, one must assume nayef sees enemies inside and outside the kingdom. Yemen is a backfire. Those deaths of Saudi border guards up north and the deployment of 30k troops some months ago is the bigger story. Caveat emptor with the clash of Islam meme the harder it Is pushed
Clearing the peasants off the potential path for profitable petrol pipelines...
Maybe it is capital flight. But why mess around with centrifuges and the moronic duo of Obama and Kerry, when the Pakistanis can provide an expedient balance of power. Check their inflows for a blip. $18B should buy a handful of deterents to Irans atomic ambition. As Obama switches to the Shiite side, the Sunnis will strengthen ties among themselves and with China. It is going to get ugly from here.
Looks to me like the deep pockets treasure chest they planned to use in the war on oil prices is rapidly depleting. Look for $90 oil by June.