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The Greek "White Knight" Emerges: Putin To Give Athens €5 Billion For Advance Gas Pipeline Fees

Tyler Durden's picture




 

With Greece teetering on the edge of insolvency and forced to raid pension and most other public funds, ahead of another month of heavy IMF repayments which has prompted even the ECB to speculate Greece should introduce a parallel "IOU" currency, a white knight has appeared out of nowhere for Greece, one who may offer $5 billion in urgently needed cash. The white knight is none other than Vladimir Putin. “Just because Greece is debt-ridden, this does not mean it is bound hand
and foot, and has no independent foreign policy,” Putin said previously.

According to Spiegel, citing a senior figure in the ruling Syriza party, Greece is poised to sign a gas deal with Russia as early as Tuesday which could bring up to €5 billion into the depleted Greek coffers.

The move could now "turn the tide" for the debt-stricken country according to a senior Greek official.

As Reuters adds, during a visit to Moscow earlier this month, Greek Prime Minister Alexis Tsipras expressed interest in participating in a pipeline that would bring Russian gas to Europe via Turkey and Greece.

Under the proposed deal, Greece would receive advance funds from Russia based on expected future profits linked to the pipeline. The Greek energy minister said last week that Athens would repay Moscow after 2019, when the pipeline is expected to start operating.

 

Greek government officials were not immediately available to comment on the Spiegel report.

Of course, this being Greece, the probability of actual repayment is negligible: after all the likelihood of a Greek default is astronomical, and €5 billion will do little to change the mechanics of Greek debt sustainability. And Putin very well knows this.

However, the Russian leader is not acting out of the kindness of his heart, but merely engaging in another calculated move, one which kills two birds with one stone:

  • Following the death of the South Stream, whereby the EU pressured Bulgaria to refuse passage of the Russian gas pipeline to Europe, Russia needed an alternative route of bypassing Ukraine (and Bulgaria) entirely, something which according to Kremlin's plan should happen over the next 3 years. And with Hungary and Serbia all eager to transit Russian gas to the Austrian central european gas hub, Greece was the missing link for a landline transit. With this agreement, Russia gets the green light to extend the Blue Stream all the way to Austria and preserve its dominance over the European energy market while leaving Ukraine in a completely barganining vacuum.

 

  • Perhaps just as importantly, suddenly Russia will energy as the generous benefactor riding to Greece's salvation, in turn even further antagonizing the Eurozone and further cementing favorable public opinion. As a reminder, several weeks ago we showed that Russia already has a higher approval rating among the Greek population thatn the Eurozone. In this way, Russia has just won a critical ally for the very low price of just €5 billion, without even having to restructure the entire Greek balance sheet should Greece have exited the euro and been attracted to the Eurasian Economic Union. Which also means that all future attempts to impose further sanctions on Russia by Europe will fail thanks to the Greek veto vote.

Russia is not alone in seeking to divide the spoils of the collapsing Eurozone: Beijing has also sought to invest in Greece's infrastructure and bought up €100m worth of short-term government debt last week the Telegraph reports.

Ironically, it was none other than Germany's finance minister Wolfgang Schauble who said the Greeks are free to pursue deals with Russia and China as they rush to avoid an impending bankruptcy. Turns out the Greeks decided to do precisely as the German suggested, and the outcome will certainly not be to Germany's liking.

The only question following what may well be another masterful stroke by Putin is what will Europe do, now that Putin has in the span of under one year, not only "annexed" Crimea but fully drawn Greece (and the Mediterranean courtesy of Cyprus) into its sphere of influence.

*  *  *

While we are sure the European leadership will be 'disappointed' at Greece's get-out-of-Troika-jail card thanks to Russia, The Greek people have already expressed their opinion on just who they trust more...

Despite all the western propaganda...

*  *  *

Finally, for those confused about the flow of funds, here it is:

Russia (Gazprom) gives Greece money, which Greece uses to repay the IMF, which uses the Greek money to fund a loan to Kiev, which uses the IMF loan to pay Russia (Gazprom).

A perfect circle.

 

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Sat, 04/18/2015 - 09:58 | 6006049 Jacksons Ghost
Jacksons Ghost's picture

Putin indirectly paying Western bankers? He is going to want something big.

Sat, 04/18/2015 - 10:06 | 6006056 somecallmetimmah
somecallmetimmah's picture

Maybe if we give more weapons to the Ukrainians, it'll help calm things down?....

Sat, 04/18/2015 - 10:25 | 6006062 Arius.
Arius.'s picture

"Of course, this being Greece, the probability of actual repayment is negligible..."

 

Common tyler, you know better than to pile on "being greece rhetoric" ... just sayin'

 

btw, interesting move on Friday .. my take has nothing to do with Bloomberg chat rooms, perhaps a bit more with no margins on short sell in China and probably much more with Greece ... will see what Monday (and the next week or two) will bring

Sat, 04/18/2015 - 10:50 | 6006157 Bill of Rights
Bill of Rights's picture

More like a behind the scenes derivative implosion

http://investmentresearchdynamics.com/wp-content/uploads/2015/04/RRP.png

Sat, 04/18/2015 - 11:23 | 6006225 palmereldritch
palmereldritch's picture

'Greece' and 'Putin's Pipeline'? These headlines should write themselves

Sat, 04/18/2015 - 11:42 | 6006261 Terminus C
Terminus C's picture

Nah, the only part that mattered in this article is the end, the rest is just optics.

A perfect circle indeed.  Almost like a washing machine...

Round and round we go.

Sat, 04/18/2015 - 12:20 | 6006328 Manthong
Manthong's picture

So, I forget.. from where do the greatest chess players originate?

..and from where does the long lost western logic and philosophy originate?

Maybe some nice Tennessee whisky or Rhine wine could help the Bulgarians in their sorrow now.

When the Queen is finally trapped, it will all come down to how many tons of shiny no longer are there in her storm cellar.  

 

 

Sat, 04/18/2015 - 13:33 | 6006509 Lore
Lore's picture

Never mind 'Turkish Stream' or 'Blue Stream.'  The whole pipeline complex about to save European national economies should be commemorated as 'Putin Stream.'

Sat, 04/18/2015 - 13:47 | 6006541 Latina Lover
Latina Lover's picture

EU Brussels to USSA President:  You.Must.Attack.Russia. NOW.

Sat, 04/18/2015 - 15:44 | 6006829 Manthong
Manthong's picture

And another thing..

The sociopaths that are currently in control think that they can just put their foot down, all will be well  and the peasants will eat their brioche as appropriate.

They might be a bit too much optimistic.

Sat, 04/18/2015 - 16:04 | 6006862 RafterManFMJ
RafterManFMJ's picture

5 Billion Euro to buy the Greek's friendship; 5 Billion US to enslave and destroy the Ukraine via Nazi Fascist Civil War.

Putin plays chess while Oblamo and Company (get it?) shit on the globe and wonder why people are abandoning them.

Unreal.

Sat, 04/18/2015 - 17:13 | 6006995 Haus-Targaryen
Haus-Targaryen's picture

Oh come on.  This is a suprise for no one. 

Sat, 04/18/2015 - 17:48 | 6007069 macholatte
macholatte's picture

 

More pieces to the puzzle:

1. There is one pipleine from Russia to EU now which goes through Ukraine.
2. Do Russkies want a second pipeline so they can bypass Ukraine and all the probems or just increase the flow?
3. Arabs want their own pipeline to EU.
4.  Can there only be one more pipeline or is there room for a third from the ME?
5.  What is stopping the EU from simply NOT buying gas from Russia once the Arabs are online?
6.  The wars in ME are stopping the arab pipeline which is good for Russia. Is Russia instigating is ME?

7.  Where is there any benefit in any of it to the American sheeple?
8.  Why is the USA involved?  Can’t the EU $16T economy carry its own water?

 

Sat, 04/18/2015 - 18:08 | 6007122 HowdyDoody
HowdyDoody's picture

What is the value to Russia of a veto over further EU sanctions against Russia?

Sat, 04/18/2015 - 18:27 | 6007171 cnmcdee
cnmcdee's picture

The squids and reptillians must be rolling around the floor in convulsions!! How *dare* anyone interrupt their feeding cycle!!

Sat, 04/18/2015 - 18:50 | 6007227 knukles
knukles's picture

Pootie looks suspiciously Photo Shopped in that Pic....  The light and shadow on their faces don't seem consistent.
But WTF.  They handled it all by Skype.
Now, if Mike and Barry would just take a nice long vacation without the kids, things could all be better

Sat, 04/18/2015 - 23:31 | 6007748 acetinker
acetinker's picture

Mike?  LO fkn L!

Sun, 04/19/2015 - 01:35 | 6007873 Squid-puppets a...
Squid-puppets a-go-go's picture

perhaps im one step beyond cynical, but maybe this is what the EU/IMF have been angling for: Russia to pay for the infrastructure to give them an alternative to ukraine pipeline

Sun, 04/19/2015 - 09:47 | 6008226 GMadScientist
GMadScientist's picture

Nah, this would also cede control as well, something they would never sign onto willingly.

Sun, 04/19/2015 - 10:06 | 6008261 philipat
philipat's picture

I smell a rat. This is just too easy for Greece. Putin holds all the cards and must have extracted some substantial guarantees in return. If not, Greece will need the money more than ever a few months from now and the pipeline can go ahead even after Greece pulls out of the Eurozone (But not necessarily the EU).

Sun, 04/19/2015 - 09:35 | 6008193 GMadScientist
GMadScientist's picture

He doesn't seem to have a right hand, perhaps it's stuffed somewhere cozy in Greek fashion.

I've seen my share of payday loan centers, but never one with Cyrillic signage.

Sun, 04/19/2015 - 09:25 | 6007798 Vincent.Vega
Vincent.Vega's picture

1) Nord Stream is also up and running: http://en.wikipedia.org/wiki/Nord_Stream

Germans are still struggling against the ZOG occupation, though German National Liberation Movement is not covered in the US (Americohen, to be exact) media and the Nord Stream gives Germans hope to survive the coming Greatest Depression -- as a part of the Germany-Russia-China axis.

Don't forget that WWI was started to prevent Germany from building the Berlin-Baghdad Railroad -- there is a good book by William Engdahl (who now lives in Germany), The Century of War: http://www.amazon.com/Century-War-Anglo-American-Politics-World/dp/07453... or here: http://www.takeoverworld.info/pdf/Engdahl__Century_of_War_book.pdf

 

2) Russians don't intend to increase the flow to Gayrope, other than to their German cousins and Yugoslav brothers.

Gayrope is a Tier 2 vassal to the US (Cohenada and UK being Tier 1), but enjoys a free lunch as well -- without having any human capital (other than swarms of degenerates) or natural resourses whatsoever. Russia, along with other colonies of the ZOG/US, pays a colonial taxation (all central banks in the world are branches of the Federal Reserve, and are currency boards, pretty much, though ECB has a higher status than the other CBs and collects a colonial tribute from its own vassals), and that cash flow comes back to colonies as high interest rate "investements", in the mid 90's the prime rate was reaching 200%, completely preventing any modernization of the industry.

Putin's ultimate goal is to supply natural gas only to Germany and China/Asia. And once the colonial cash inflow to Gayrope is cut, along with natural gas (since there is nothing to pay with), that territory is going back to the Dark Ages.

 

3,4,5) EU is technically a bankrupt anyways (see 2)

All the wealth accumulated by the West in the last five hundred or so years of colonialism/parasitism was gobbled in the post-WWII years (to compete with USSR's social state, quasi-social states were created in the West, with the ephemeral "middle class") -- and there is nothing left now.

 

6) So far Russia is trying to put out the conflict in Syria. However, it would be inaccurate to blame the USA only, wars in the Middle East are instigated by ZOG and US is just their tool, same as ISIS.

ZOG's idea is to create an ultimate chaos and hell in the rest of the world and provoke a capital run into the US debt instruments -- and after that voila, ta-da, start a hyperinflation (with USD losing approximately 80% of it's value almost overnight, within 1-2 month). That's the only way for  ZOG/"elites" to resolve the  government debt issue (the overal debt is estimated to be USD 60-80 trillion) and to escape the faith of Bardi family: http://en.wikipedia.org/wiki/Bardi_family

 

7)  John F. Kennedy tried to save the sheeple but never managed. The only hope, i believe, is Putin, who's puting the Fight of the Century against the ZOG, and if he succeeds, the sheeple can be freed along with the rest, and that's the only benefit for them.

At this point Pitin is having too many issues with the enemy inside his country, since Russia did lose The Cold War to ZOG, and the colonial "Russian" Contitution was written by the US (i.e. ZOG, since US is its victim since the Civil War) consultants in the 90's. The Central Bank of Russia, technically being a branch of FED, is not controlled by the state, and a "president" is supposed to be a guarantor of the (colonial) Constitution and can't change it. In fact, the role of a president is pretty much a colonial notary (check if ten other signatures are there, then sign the document too), so Putin acts a leader of the Russian National Liberation Movement.

PS

To say that the Ukraine is not a part of Russia is like saying that New Mexico or Texas are not parts of the USA.

Russian North West (the "Baltic Countries") and South West (the "Ukraine") are under occupation by the US (i.e. ZOG) and are under direct control of the US Embassy in Kiev, with its staff head count being biggest in the world.

It's not the first time around: http://en.wikipedia.org/wiki/Polar_Bear_Expedition (American sheeple/goyim sent by ZOG to Russia to kill Russian goyim)

[...]

The Polar Bear Expedition (also known as the Northern Russian Expedition, the American North Russia Expeditionary Force - ANREF or the American Expeditionary Force North Russia - AEFNR) was a contingent of about 5,000 United States Army troops[1] that landed in Arkhangelsk, Russia as part of the Allied intervention in the Russian Civil War and fought the Red Army in the surrounding region during the period of September 1918 through July 1919.

[...]

 

Sun, 04/19/2015 - 09:48 | 6008229 GMadScientist
GMadScientist's picture

I'll take places trampled by Mongol hordes for $1000, Chuck!

Sun, 04/19/2015 - 20:36 | 6009704 Vincent.Vega
Vincent.Vega's picture

You nailed it. That's exactly the real intention behind the QEs: to take over the last remaining physical assets/production facilities in the world for peanuts (it's "White Man's burder" to civilize lower forms of life, i.e. goyim, by cleaning them out).

PS

The "History"/"His Torah" has nothing to do with the past. It's a bunch of myths created by ZOG. Chingiz Khan/Cohen/Kogan was not a Mongol, his hords were Khazars (Ashkenazi):

The Serpent People Return to Ukraine by Texe Marrs: http://www.texemarrs.com/082014/serpent_people_return.htm

Sun, 04/19/2015 - 18:59 | 6009450 unicorn
unicorn's picture

hey vega, thx for the engdahl pdf;) 

if you understand german you should read jürgen roths "gazprom, das unheimliche imperium"

gazprom is more related to germany, than anybody seems to know here

Sun, 04/19/2015 - 00:02 | 6007785 will ling
will ling's picture

no doubt long gamed.

Sat, 04/18/2015 - 13:48 | 6006543 Anusocracy
Anusocracy's picture

I'd gladly pay you Tuesday for a bailout today.
- Wimpy Greece

Sat, 04/18/2015 - 14:48 | 6006698 max2205
max2205's picture

I got to get in my time machine to see how this ends....be right back....

Sat, 04/18/2015 - 13:52 | 6006549 Tall Tom
Tall Tom's picture

So, I forget.. from where do the greatest chess players originate?

 

 

Persia (Iran), where the game was developed. Russia merely adopted it later.

 

http://en.wikipedia.org/wiki/Chess

 

Chess is believed to have originated in Eastern India, c. 280 – 550 CE,[27] in the Gupta Empire,[28][29][30][31] where its early form in the 6th century was known as chatura?ga (Sanskrit: ???????), literally four divisions [of the military] – infantry, cavalry, elephants, and chariotry, represented by the pieces that would evolve into the modern pawn, knight, bishop, and rook, respectively.

 

Belief without empirical substantiation is not convincing...

 

The earliest evidence of chess is found in the nearby Sassanid Persia around 600, where the game came to be known by the name chatrang. Chatrang is evoked in three epic romances written in Pahlavi (Middle Persian). Chatrang was taken up by the Muslim world after the Islamic conquest of Persia (633–44), where it was then named shatranj, with the pieces largely retaining their Persian names. In Spanish "shatranj" was rendered as ajedrez ("al-shatranj"), in Portuguese as xadrez, and in Greek as ????????? (zatrikion, which comes directly from the Persian chatrang),[32] but in the rest of Europe it was replaced by versions of the Persian sh?h ("king"), which was familiar as an exclamation and became the English words "check" and "chess".[note 3] Murray theorized that Muslim traders came to European seaports with ornamental chess kings as curios before they brought the game of chess.[30][page needed]

The game reached Western Europe and Russia by at least three routes, the earliest being in the 9th century. By the year 1000 it had spread throughout Europe.[33] Introduced into the Iberian Peninsula by the Moors in the 10th century, it was described in a famous 13th-century manuscript covering shatranj, backgammon, and dice named the Libro de los juegos. Another theory contends that chess arose from the game xiangqi (Chinese chess) or one of its predecessors,[34] although this has been contested.[35]

 

Now that is what I like...EMPIRICAL EVIDENCE.

 

Yes. You make a novice mistake in understanding a Chess game.

 

To win the game one does not set out to trap the Queen, Although she may be deadly and potent the goal is to trap the King, no matter what treasure the Queen may have.

 

Resignation or checkmate is the result.

 

Global Thermonuclear War is not an option as there is no winning move.

 

How about a nice game of chess, instead, Dr. Falken?

 

And by the way the current World Champion is from Norway.

Sat, 04/18/2015 - 13:55 | 6006558 Freddie
Freddie's picture

The only American who could beat the Russians at chess was Bobby Fischer.  Who did Bobby not like besides the Russians even though he got on with Spassky?

Paul Morphy from the civil War era may have been the greatest American chess player and greatest who ever lived.  Russian and Ukrainian top chess players told me that. 

Sat, 04/18/2015 - 14:19 | 6006621 Tall Tom
Tall Tom's picture

The IRS and the Zionist...(although one works directly for the other.)

 

From Wikipedia...

 

http://en.wikipedia.org/wiki/Bobby_Fischer

 

Afterward, Fischer became a recluse, disappearing from the public eye until 1992, when he won an unofficial rematch against Spassky. It was held in Yugoslavia, which was under a United Nations embargo at the time.[9][10][11] His participation led to a conflict with the U.S. government, which sought income tax on Fischer's match winnings, and ultimately issued a warrant for his arrest.[12]

 

During the 1990s and early 2000s, Fischer lived in Hungary, Germany, the Philippines, Japan, and Iceland, and made increasingly anti-American and anti-semitic remarks on various radio stations. Possibly as a result, his U.S. passport was revoked.[14][15][16] Fischer, unaware of his passport's revocation, traveled to Japan, where he was arrested by Japanese authorities,[17] and detained for over eight months (in 2004 and 2005)[18] under threat of deportation. In March 2005, Iceland granted Fischer full citizenship,[19] leading Japanese authorities to release him from prison.[20] Fischer flew to Iceland, where he lived until his death on January 17, 2008.[21]

 

 

 

I was not aware of that. Thanks.

Sat, 04/18/2015 - 15:10 | 6006753 Griffin
Griffin's picture

Bobby Fisher was a chess genius, but also a bit odd in many ways.

I don't know why he disliked Jews so much, his mom was Jewish and probably many of his friends and family. 

One of his problems was his paranoia, that's what killed him eventually.  He did not trust doctors for some reason, so when he got sick he refused medical attention, and a minor illness that could easily be treated led to his death.

His last words were  ,,Nothing soothes pain like the touch of a person.“

https://www.flickr.com/photos/sigurtor/7990096191/

Bobby Fisher lived 64 years, one for every square on the Chess table.


Sat, 04/18/2015 - 17:51 | 6007079 macholatte
macholatte's picture

 

 

"Obama knocks over all the pieces, shits on the board and then struts around like it won the game.”

-- Vlad

Sat, 04/18/2015 - 18:54 | 6007236 August
August's picture

Well, this works in America... despite ever-critical media watching this President like a hawk.

Sun, 04/19/2015 - 00:23 | 6007814 Tall Tom
Tall Tom's picture

I don't know why he disliked Jews so much, his mom was Jewish and probably many of his friends and family

 

That may be one reason...

 

I don't know.

 

Yes he was a genius and most geniuses are considered by norms as...how shall I write it classy...oh...yes...now i remember...ECCENTRIC.

Sat, 04/18/2015 - 18:52 | 6007230 knukles
knukles's picture

I could swear that chest was developed by Mary Jane Stinkypants with me in the 4th grade.

Sun, 04/19/2015 - 00:19 | 6007795 Tall Tom
Tall Tom's picture

No.

 

That is breast...not chest.

 

Breast dammit.

 

Boys develop chests. Girls develop breasts.

 

You'd thunk you'd have learned sumthin in fourth grade...

 

(...unless Mary Jane was a guy...These days ya jus can't be certain of anythin, ya know?)

Sat, 04/18/2015 - 11:32 | 6006246 BaBaBouy
BaBaBouy's picture

Mmmmmmm ... EU 5 Billion...

So, How Much Is The Greek Politocos Cut ???

Sat, 04/18/2015 - 11:39 | 6006257 kaa1016
kaa1016's picture

This story was just denied by Russia. Good try whoever is trying to plant bullshit stories in the German media...

Sat, 04/18/2015 - 11:44 | 6006267 Winston Churchill
Winston Churchill's picture

So its true then.

Never believe anything until its officially denied.

Sat, 04/18/2015 - 12:57 | 6006401 813kml
813kml's picture

Words to live by.

Sat, 04/18/2015 - 18:45 | 6007087 HardlyZero
HardlyZero's picture

There are probably Russian dachas all over that will be vacation spots for the dealmakers.

 

It could get interesting now with relatively big cross-border investments.  

Italy and  Turkey will also be major stakeholders to ensure they can move their natty West to Italy.

 

Italian Eni prior funded Blue Stream, the first major underwater natgas pipeline between Russia and Turkey built beween 2000 and 2005.

http://en.wikipedia.org/wiki/Blue_Stream

 

Greece is sandwiched between Italy and Turkey....a Greek Sandwich !!

Italian Olive Oil (feel the Italian love), Greek Feta and Lamb, Turkey provides the other meat....between Russian Black Bread.

Sat, 04/18/2015 - 23:50 | 6007769 Augustus
Augustus's picture

Another bag of bull from this author.

Just to confirm that he is nutty, he continues to complain that a bank should continue to make loans to borrowers which have no capability to pay.  Just because a banker is foreclosing one client does not mean that they are not making a loan to someone else.

Sat, 04/18/2015 - 12:14 | 6006341 Karaio
Karaio's picture

We have isolated some people .... (unfortunately they have money * and nuclear weapons).

Kkkkkkkkkkkkkkkkkkkkkkkk

* money, fiat, unusable paper money that only pays to stick and make confetti in the Carnival of Rio de Janeiro.

China is doing the same thing, dumps its scrap US $ in debilitated and purchase tangible products economies.

Slowly and steadily the US $ and Euros are coming home ...

Just do not see who does not want ...

hehe.

Sat, 04/18/2015 - 19:24 | 6007317 Bangin7GramRocks
Bangin7GramRocks's picture

Blah blah blah! Greece is going to default again. Erf de derf! You fucking dingleberries were sucked in again! What a bunch of saps! A gaggle of suckers! Ha Ha Ha 

Sun, 04/19/2015 - 07:42 | 6008072 mfields111
mfields111's picture

That's right. Putin is doing nothing to stop the global liquidity squeeze because he has just guaranteed a Grexit it appears that he is helping Greece pay the western bankers but Greece has much more debt than this so when the next payment comes due to the bankers Putin makes Greece move further away from the euro such as a Russian naval base etc and then slowly he brings Greece into the Eurasian trade zone while still iin NATO. Then he offers the same deal to the other nations in debt to Europe including allowing them to use the yuan for buying energy.he becomes the friend to these countries ,brings them into the Eurasian trade zone while all the money here pays them comes right back in gas payments for Ukraine debt while the liquidity squeeze continues

Sun, 04/19/2015 - 11:21 | 6008296 GMadScientist
GMadScientist's picture

You mention derivatives and then link to a graph about repos?!

Ah,

http://investmentresearchdynamics.com/is-the-global-financial-system-on-...

"the massive operation was conducted to INJECT Treasury collateral into the global banking system.  Treasuries are used as collateral against derivatives positions.  It’s in a sense margin collateral for the big boys. "

Was that so hard? :)

Sat, 04/18/2015 - 11:33 | 6006237 Element
Element's picture

ha, so you'd happily offer them a billion in credit would you?

Because it's so low risk of default, right?

Tyler is spot on.

The really amazing thing is Putin is swapping Ukraine for Greece. He apparently thinks this is a preferable financial arrangement and a more reliable transit state, less corrupt, less likely to siphon off free gas, and more likely to pay its bills.

On what grounds?

Hilarious.

Sat, 04/18/2015 - 11:34 | 6006247 Arius.
Arius.'s picture

"ha, so you'd happily offer them a billion in credit would you?"

 

yeap, sure thing ... if I can just type a few zeros in my fed computer ... isnt it how it works?

Sat, 04/18/2015 - 11:37 | 6006256 Element
Element's picture

by jove! ... pretty much ... you're still not getting a return on the imaginary though.

Sat, 04/18/2015 - 11:46 | 6006275 Arius.
Arius.'s picture

"Because it's so low risk of default, right?"

 

what low risk of default means anyways?  today we pay what 10 or 15 billions a day in interest only. how do we do that?  by tax collection?  not even close.  just pass a law to raise the debt ceiling and print more money. voila by magic.

 

if tomorrow, "the market" thinks the risk of default for this country is high (you pick the reason ... students loans, political instanbility etc.) then what happens?

Sat, 04/18/2015 - 12:03 | 6006302 Element
Element's picture

 

 

"just pass a law to raise the debt ceiling and print more money. voila by magic."

You realize that is the false solution that's not working, right?

The reason for global macro slump running on five years is choking unaffordable unrepayable debt after the stimulus dried up (look at Caterpillar, or electricity consumption).

Denial of debt via QE does not prevent national aggregate demand shrinkage due to still increasing NET debt loads in the economy, choking disposable cash and reducing consumption, for already debt-stressed businesses.

And yes, Greece will not be paying back a 1 billion fiat loan.

I suggest you use it instead to buy just about anything else, preferably hard assets, to the value of a billion bucks, that you can make profit on, and buy them in a country where property laws are solid and not variable with time and whim, so you may want to not buy any American physical assets ... just sayin.

 

 

Sat, 04/18/2015 - 12:04 | 6006325 Arius.
Arius.'s picture

"You realize that is the false solution that's not working, right?"

 

it was designed that way ... dont you agree? 

same thing with EU ... and what we see in Greece is just the symptoms of a bigger, larger systemic problem which is all unfortunately interconnected worldwide.

Sat, 04/18/2015 - 12:30 | 6006332 Element
Element's picture

Fractional reserve, inflation dilution, and interest on debt from bubbles were designed and engineered.

You're still not getting your billion back, and are losing its potential purchasing power and access to real resources via losing it in that loan to Greece though.

Losing access to a billion in real resources is actually a severe loss that you will feel, and what the loss via default translates into.

Don't mistake the ECB for being the reserve fiat printer.

 

Edit: I see you have been a member for 2 days 22 hours, welcome. Hopefully you're not a Russian psyop troll.

Sat, 04/18/2015 - 12:33 | 6006364 Arius.
Arius.'s picture

my point is that there are bigger forces at work and grand designs and strategies at play ... than me (or any other hedgies out there) getting their million or billion back ... you see tomorrow "mr. market" might change the rules of the games or the keys to the castle.

 

greece is just a symptom or red meat and i refuse to be a dog ... that was my point that Tyler knows better...

 

here is some food for thought ... and thanks for your replies and enganging thoughts:

 

http://europe.chinadaily.com.cn/business/2015-04/18/content_20468392.htm

Sat, 04/18/2015 - 13:52 | 6006552 Element
Element's picture

Point taken, no worries.

Yeah, just read that link from the other thread.

One thing to remember, every one bitches about USD and printing, due to debt burden and bad banks, etc., then wax on about RMB but forget/discount the fact that China is in at least as bad shape in debt and govt spending, etc.

Whence the strange blindness and inconsistency USD/RMB?

Fruit of the same tree.

 

Sat, 04/18/2015 - 12:56 | 6006406 Pliskin
Pliskin's picture

The way I see it is Putin's  looking at a long term investment, for the sake of his country, countrymen and quite possibly his own reputation, unlike the American 'Elites' who only think a few months, weeks ahead. 

That's because those old fucks, Soros, Brezinski, McCain etc only have a few months (Hopefully weeks) to live, and they want the world to die with them. 

Sorry, fuckheads, it aint goin' down like that.  When Americas gone there'll still be a Europe and a Russia, China, Iran (Persia) as there has been for a thousand years or so.

In a hundred years people will read in history books about a once great nation called the 'U.S.A' that was totally fucked by a few, while the masses sat at home and watched.

Meanwhile, on American Idol....

Sat, 04/18/2015 - 18:58 | 6007250 August
August's picture

>>>In a hundred years people will read in history books about a once great nation called the 'U.S.A' that was totally fucked by a few, while the masses sat at home and watched.

Words of wisdom, Snake.

Sat, 04/18/2015 - 13:22 | 6006475 Mister Delicious
Mister Delicious's picture

yeah, you're probably in a better position than Putin to know the ins and outs of this deal {if true} and the merits of basically giving Greece money in exchange for x, y, and z.

You ought to give him a call - offer your services. A sardonic wit unencumbered by substantive knowledge.

xxoo

Sat, 04/18/2015 - 15:36 | 6006817 Karaio
Karaio's picture

Element:

You are one of the most innocent Trolls I've ever seen on the Net!

Try to be a little more human, say where you speak, say a little more about you!

Thus, in the sleeve, with sand in the tail of the people their opinions always "sublime" are always with "+" received by his gang.

A Troll needs to be more subtle, unnoticed, use more psychology.

Trust me, follow my advice and will have a pay raise!

hehe!

Sat, 04/18/2015 - 15:41 | 6006824 Element
Element's picture

I see your brain scan came back.

Sat, 04/18/2015 - 10:12 | 6006069 suteibu
suteibu's picture

Syria, Iran, Yemen, Iraq, Ukraine, South China Sea, and now Greece (will Turkey follow?).  The game board is getting pretty stretched out, isn't it?

To be sure, this whole thing is going according to plan for the geniuses in Washington. 

Sat, 04/18/2015 - 10:23 | 6006102 cossack55
cossack55's picture

A Greece ally for Eu5 billion. The US got Uk nazis for $5 billion.  I will take the Greeks over the nazis any day.

Sat, 04/18/2015 - 11:31 | 6006244 TheReplacement
TheReplacement's picture

Turkey will not follow.  Turkey has gone their own way and that includes getting along with Russia.

Sat, 04/18/2015 - 11:49 | 6006287 Carpenter1
Carpenter1's picture

Actually,  this is bigger than we think.

Putin now owns NATO, as one vote is as good as 10. He has conquered NATO, which now has to deal with him if it wants to get anything done. 

 

Next, he has provided the "solution" to the dilemna he just put them in. A Eurasian union, with Russia as the primary energy provider. Not that they have a choice in the matter any longer, with China symbolically adding its vote by picking up €100m of Greek debt.

 

This locks it up for the Russia/China power axis. 

Sat, 04/18/2015 - 14:35 | 6006661 ebear
ebear's picture

Add to that an island in the Mediteranean with naval and air base.  Greece has lots of islands they could rent on a 99 year lease.

Look at the map.  Russia regained Sevastopol, but still has to transit the Bosporus and Dardenelles (both NATO controlled) to reach open water.   At present, Syria is their only forward base, and getting sketchier by the minute.  Greece isn't a war zone, has the same basic religious outlook as Russia, and will benefit from jobs created by base construction plus increased Russian tourism.

What's not to like, and more to the point, what's the west offering as an alternative?  Perpetual debt bondage and poverty?  Not much of a choice, is it?

Sat, 04/18/2015 - 18:10 | 6007124 HardlyZero
HardlyZero's picture

Greece is the western front, and Russia now has controlling interests in Turkey, Syria and Cyprus.  

Turkey also has some dibs on northern Cyprus.  

Russia will also probably round-out Crimea and Easter Ukraine soon for control of the Black Sea.  

Turkey controls the Bosphorus Strait...so again the control of a massive warm water front.  

Maybe things will settle down ?

Sat, 04/18/2015 - 19:02 | 6007262 August
August's picture

>>>what's the west offering as an alternative?

Vibrant service jobs in the tourist industry, plus German autos for the upwardly mobile.

Truly, to die for.

Sat, 04/18/2015 - 10:40 | 6006138 junction
junction's picture

Re: Ukraine And The USA--

Background: First, we helped the mujahideen overthrow the Russian controlled regime in Aghanistan, turning that country over to the Taliban.  On CIA orders, Bin Laden left Sudan in 1996 (where Clinton was having a hard time explaining why bin Laden was untouchable), going to Afghanistan.  Next, the WTC attack carried out with CIA Black Ops drone aircraft replacing the passenger jets. 

Today: Now, in Ukraine, we have the CIA funding neo-Nazi soldiers, to overthrow a Russian controlled regime.  The obvious question: In the endgame, what is the CIA's next target? 

Sat, 04/18/2015 - 11:50 | 6006263 earleflorida
earleflorida's picture

Incidentally on Dec. 11, 2001 Bush#43 pushes and gets China and (Taiwan 2002?) into the WTO!

http://www.oapen.org/search?identifier=459894

9/11

???

WTF!!!

Ps. Twaiwan is demoted...[?]

Sat, 04/18/2015 - 12:35 | 6006368 Farqued Up
Farqued Up's picture

The final act is when they fall on their own sword. When and how many acts from now? Dunno.

Sun, 04/19/2015 - 02:43 | 6007932 Condition 1SQ
Condition 1SQ's picture

Vlad is quite the chess player.  Obama, well, he likes checkers.  And cute guys.

Sun, 04/19/2015 - 06:07 | 6008021 datura
datura's picture

well, last news from Ukraine: "pro-Russian" rebels AGAIN got hold of a whole lot of the USA weapons (originally sent to Kiev) and they say: "Thank you, USA, gladly appreciated." So yeah, keep sending weapons to that silly incompetent Kiev army, they will mostly end up in the hands of rebels anyway. But USA taxpayers will gladly pay for more to be sent, no? 

Sat, 04/18/2015 - 10:06 | 6006058 Eirik Magnus Larssen
Eirik Magnus Larssen's picture

If the deal goes through, he will have it: A foot in the door of NATO.

A NATO memberstate openly aligning itself with Russia in this manner is unheard of, especially for a NATO memberstate in such a strategic location.

 

Sat, 04/18/2015 - 10:34 | 6006128 Fractal Parasite
Fractal Parasite's picture

Turkey, Greece, Hungary are NATO members.

Serbia and Austria are not.

Sat, 04/18/2015 - 22:27 | 6007111 HardlyZero
HardlyZero's picture

With a relatively cheap controlling interest in Greece, and natural gas connections with Turkey, and Turkey dibs on norther Cyprus...and Russian port in Syria.

it looks like for $5B Russua has done an end run in the northern Med and will probably rule the roost for a long time.

 

Will there be any serious fighting? it could disrupt the planning.

Proxies will bear the brunt.

Sat, 04/18/2015 - 10:11 | 6006059 Arius.
Arius.'s picture

.

Sat, 04/18/2015 - 10:12 | 6006063 ZH Snob
ZH Snob's picture

and so it begins.  this is huge.  it is mario's worse nightmare.  the eu can keep paying the greek debt (surreptisiously, of course) but it ain't gonna save them.  mario will have to double up the QE to absorb the greek default.  the eu is becoming more paper than tiger with every passing day.

Sat, 04/18/2015 - 10:37 | 6006132 HonkyShogun
HonkyShogun's picture

Uh oh Yogi, I don't think the ranger is going to like this.

Sat, 04/18/2015 - 11:48 | 6006274 Fukushima Fricassee
Fukushima Fricassee's picture

If Greece has an oz of brain left they will give the Germans/Obama/IMF/Merkel/Yellen/ and the rest of them shits the middle finger and keep that new money.

Sat, 04/18/2015 - 11:51 | 6006279 scrappy
scrappy's picture

White Knight? I don't think so.

http://www.worldaffairsbrief.com/keytopics/threats.html

The BRIC's will not save us.

The Globalists wont save us.

We have to.

Here's how politically.

http://www.theatlantic.com/magazine/archive/1999/08/a-politics-for-gener...

 

Sat, 04/18/2015 - 11:50 | 6006288 williambanzai7
williambanzai7's picture

Don't worry, whatever "it" is, he already has it…

 

.  

Sat, 04/18/2015 - 12:42 | 6006381 ILLILLILLI
ILLILLILLI's picture

I think you can re-do that with Obamas head on the ground between them...

Sat, 04/18/2015 - 11:51 | 6006291 researchfix
researchfix's picture

Those are 5 Billion for the Greek people.

The IMF loans end at Deutsche Bank, don´t arrive in Greece.

But it´s only half assed, if Greece stalls official bankruptcy.

Sat, 04/18/2015 - 12:01 | 6006317 The central planners
The central planners's picture

If the Greek goverment doesn't get that money thay will face some "plumping issues"

Sat, 04/18/2015 - 12:26 | 6006358 iofera
iofera's picture

Vlad wants something big, indeed - he wants you Zeroes to stop stringing him along and leaving him standing in front of the Western Union on Tverskaya.

Pay up!

Sat, 04/18/2015 - 14:04 | 6006578 Tall Tom
Tall Tom's picture

Another Bath House Barry supporter exposed.

Sat, 04/18/2015 - 14:35 | 6006491 Dewey Cheatum Howe
Dewey Cheatum Howe's picture

Yeah exactly, now we know who is bankrolling those S-300 missiles/system and defense maintenance contracts for Greece. Unless I am missing something here those systems are under joint control of Greece and NATO. Means Iranian nuclear agreement is most likely going to get ratified in the UN. It is a three card monty shell game.

Putin pays Greece, Greece pays IMF/ECB (NATO). Either distributes cash for votes among it's UN council voting members on the UN Iranian nuclear agreement treaty besides the Kiev/Ukraine circle jerk.

Sat, 04/18/2015 - 14:00 | 6006570 richiebaby
richiebaby's picture

Putin will structure it so the Western bankers never see a dime 

Sat, 04/18/2015 - 10:03 | 6006050 Firewood
Firewood's picture

But.... but..... but..... sputters the Anglozionazi Empire of Chao$...We bankrupted the Ruskies while we shot our shale "miracle" in the head....?????

Sat, 04/18/2015 - 10:35 | 6006085 Eirik Magnus Larssen
Eirik Magnus Larssen's picture

Heheh. If European history is any guide, then the best way to put the "Anglo-Saxons" down is to breed a new generation of "Normans" for this era (see the Norman conquest of England in the year 1066, and the mass-emigration of Anglo-Saxons that ensued). The "problem" is that such "Normans" only come about after Scandinavians interbreed with southern & western Europeans in large numbers, as happened in Normandy in the north of France about 1000 years ago.

That would mean most of you right-wing extremist and white supremacy nutcases would have to make a choice between the "Norman" option or the stagnation of "ethnic purity".

Something tells me you wouldn't make the smart choice.

Sat, 04/18/2015 - 11:03 | 6006177 Proofreder
Proofreder's picture

What ???  You are saying the Scandahoovians are naturally in the deepest part of the gene pool ?

I'll go along with that.

If you dive into the shallow end chasing tail, you'll probably break your neck.

Sat, 04/18/2015 - 11:58 | 6006313 MrButtoMcFarty
MrButtoMcFarty's picture

We started with your mom....but the line was too long.

Sat, 04/18/2015 - 13:05 | 6006423 Pliskin
Pliskin's picture

So, you're sayin' I should shag more Swedish birds? 

Sat, 04/18/2015 - 15:39 | 6006823 HowdyDoody
HowdyDoody's picture

Watch out. Some of them have gone full Feminazi. Just ask Assange.

Sat, 04/18/2015 - 10:09 | 6006060 SpanishGoop
SpanishGoop's picture

Why not let them default first and then invest.

Greece can become a second Ukraine turning on and off the gas-valve if they are on the brink again, and they will be.

Alternate agenda ?

 

 

Sat, 04/18/2015 - 10:27 | 6006111 sessinpo
sessinpo's picture

 SpanishGoop   Why not let them default first and then invest.

Greece can become a second Ukraine turning on and off the gas-valve if they are on the brink again, and they will be.

Alternate agenda ?

----

And who is to say Greece won't eventually default? This is nothing more then a pay day loan. So that didn't change anything.

If you understand economic hitmen, then you understand that they will loan to any country of interest just to get their grubby hands into the that government and its finances. That is how they manipulate and control things.

That is why I am not a big government, big banker fan of ANY country. If a government figure comes to me personally and askes me if I want to live under a Putin dictatorship or an Obama one, I'd point my gun at his head and say neither.

Sat, 04/18/2015 - 10:30 | 6006116 Urban Redneck
Urban Redneck's picture

(The "conquest" of) Greece is not the end game.  

Sat, 04/18/2015 - 10:48 | 6006119 Max Steel
Max Steel's picture

Hmm

Sat, 04/18/2015 - 10:31 | 6006123 Max Steel
Max Steel's picture

Russia is paying transit fee for Turk Stream in advance to Greece which they were supposed to recieve in 2019 . Its all about monopoly and power not money . What political situation greece will be in next three years , will it be like Ukraine 2 is unpredictable . Nothing is free in todays world except propaganda . 

Sat, 04/18/2015 - 10:44 | 6006145 ZH Snob
ZH Snob's picture

who says the default won't happen first?  it's not something one schedules.

Sat, 04/18/2015 - 11:00 | 6006175 Son of Loki
Son of Loki's picture

Putin and the Greeks have alot in common. First, they both dislike Turks, and second, they are both Christian nations. Greek Orthodox and Russian Orthodox are not as far apart as the quasi Muslim mix of some of our other Western leaders.

Sat, 04/18/2015 - 11:35 | 6006253 813kml
813kml's picture

Russia and Turkey have a lot of trade deals for two countries that dislike each other.

Sat, 04/18/2015 - 11:56 | 6006303 researchfix
researchfix's picture

The negative history is there.

But the acting persons live in the now.

And they have one bigger common enemy to take care of first.

Sat, 04/18/2015 - 12:01 | 6006320 earleflorida
earleflorida's picture

Turkey deliberatedly slaughters Iraqi Kurds with USSA/ UK help during Iraqi Wars.

They've continued slaughtering PKK at will with British/ USSA help. The USSA/ UK needs Turkey's geography and vital airstrips.

Erdogan once refused to let Bush #43 access to Airbase and 'No-Fly-Zone' and since then has been on USSAs shit-hit list.

Erdogan is doing his best to keep his options open with Asia doing business with Russia, China, and Japan[?] of all nations? Probably anticipating Japan's capitulation into China's arm???

Sat, 04/18/2015 - 12:08 | 6006330 suteibu
suteibu's picture

America will hold on to Japan like grim death*. 

*And it likely will be for the Japanese.

Sat, 04/18/2015 - 12:22 | 6006351 earleflorida
earleflorida's picture

Think?

What really brought Japan into WWII and ?

The USSA being Japan's lifeblood for energy needs and Steel/ Rubber etc. was shut-off!

America uses and throws-up countries it finds no-longer useful...

new technology could render Japan's geography useless...[?]

Sat, 04/18/2015 - 12:50 | 6006393 suteibu
suteibu's picture

With Japan, it is more than strategic location in a military sense.  The US needs tensions in East Asia in order to justify its massive military presence there.  Korea would be reunited by now except for the 50,000 troops in S Korea.  Japan would be free to establish good relations with China except for the 50,000 troops there.  Taiwan would not be an issue except for America's support for independence (good for arms sales) even though it officially does not recognize Taiwan as a sovereign nation. 

Find turmoil in the world and you will find America stoking the fires of it while pretending to be the mediator in disputes.  If Japan makes nice with China against America's wishes, South Korea will follow and then the US will have no leverage in the region against China.  America will not allow that to happen.

Sat, 04/18/2015 - 16:03 | 6006861 I M DeMan
I M DeMan's picture

When the Turks started aiding and abetting the attack on Assad, it was another reason Russia was thrown closer to the Greeks. I bet they will becoome stronger Buds if Erd-gogan keeps siding with the rebels/isis/cia in Syria.

Sat, 04/18/2015 - 18:15 | 6007139 HardlyZero
HardlyZero's picture

Balkanizing Turkey and Ukraine is automatic since they have been prepared for this many years ago.  Greece is already Balkan...

The Western Balkan front.

Sat, 04/18/2015 - 21:15 | 6007497 Lurk Skywatcher
Lurk Skywatcher's picture

"Japan would be free to establish good relations with China except for the 50,000 troops there."

Man, you have absolutely NO FUCKING IDEA about how much asians hate other asians.

The China/Japan divide is deeper and wider than the Jew/Muslim divide, but go ahead and talk about your simplistic 70 year old world view like the ignorant barbarian you are.

Ever heard of the Yasukuni Shrine?

 

 

 

 

Sun, 04/19/2015 - 00:31 | 6007824 suteibu
suteibu's picture

You must be from the US State Dept.  Gotta keep driving that wedge between east Asian naitons, right?  You pretty much prove what I said.

As for Asians hating Asians, in tourism among Asian nations, those who choose other Asian nations to visit are themselves from Asian nations.  The three largest groups of tourists in numbers to visit Japan are from China, South Korea, and Taiwan. That's a whole lot of hate there, huh?

As for Yasukuni Shrine, it serves the same purpose in Japan as the twin towers memorial in NYC, both to remember those who were lost and to keep the patriotic home-fires burning.  But, hey, the Chinese government benefits as much politically from the shrine as the Japanese government.  But the greatest beneficiary is the US which really, really wants to keep Japan and China at odds with each other.

So, yeah, I have a fucking idea of what is going on, it just isn't the lies that you want me to accept.

Sat, 04/18/2015 - 19:12 | 6007278 August
August's picture

It's a tough neighborhood:  most of Turkish "Kurdistan" used to be called "Armenia".

You can look it up.

Sat, 04/18/2015 - 13:10 | 6006433 Pliskin
Pliskin's picture

Russia and the U.S. have a lot of trade deals for two countries that dislike each other.

 

Fixed it for ya.

Sun, 04/19/2015 - 06:13 | 6008023 datura
datura's picture

of course, because Putin does not do business only with countries he likes, unlike the silly irrational USA. And in fact China is the same. Business is business, they would say. They dont mix that with ideology.

Sat, 04/18/2015 - 10:08 | 6006061 agent default
agent default's picture

Of course if the whole pipeline deal falls through for whatever reason, Putin will want his money back.  Since Greece is broke, I wonder what he will demand in return. 

Then again, "according to a senior Greek official".  Probably nothing there to begin with. Another pipe dream.

Sat, 04/18/2015 - 10:11 | 6006064 worbsid
worbsid's picture

 

to put this into a little perspective, the US has more illegal immigrants than the population of Greece and the Fed QE was 10 times that amount every month for a couple years.  Good for Greece but it won't help much.   

Sat, 04/18/2015 - 10:11 | 6006065 Monetas
Monetas's picture

Got to get those bananas to market .... "Hey, Mr. Tally man .... tally me bananas .... daylight come .... an' me wanna go home !" !

Sat, 04/18/2015 - 11:09 | 6006194 Proofreder
Proofreder's picture

Work all night on a drink of rum - 

 

https://www.youtube.com/watch?v=6Tou8-Cz8is

Sat, 04/18/2015 - 10:12 | 6006067 SystemOfaDrown
SystemOfaDrown's picture

Did US and the West foolishly put all their eggs in one basket trying to shutdown Russian gas flow through Ukraine? But leave Greece wide open? I see a few more chess moves before this picture comes clear.

Sat, 04/18/2015 - 10:45 | 6006139 sessinpo
sessinpo's picture

SystemOfaDrown    Did US and the West foolishly put all their eggs in one basket trying to shutdown Russian gas flow through Ukraine? But leave Greece wide open? I see a few more chess moves before this picture comes clear.

-----

Well the US has had about zero involvement with Greece. Yes, I know you think that is leaving Greece wide open. US doesn't care. That is the EU's problem.

The US's main priority at this point is banking dominance and maintaining world currency reserve. Putin's pay day loan to Greece is small. 5 billion euros! That is simply an insult like calling someone a dumbass. It doesn't mean much

And have you heard much about Ukraine? Not so much me either. It flares up here and there, but it doesn't seem that important. Greece and Ukraine are just pawns and they only make the news when that pawn moves on the game board. Otherwise, you don't hear shit.

They are tools in fighting for banking and world currency dominance. But they are only tools. For example. If Greece leaves the EU and goes back to the drachma, that doesn't hurt the US dollar so much. It hurts the Euro much more and Obummer will let that fall on the EU's hands, not his.

I think the bigger news to watch for is continued moves by various US allies away from the US dollar in international trade. More moves by certain nations to accumulate PMs.

Sat, 04/18/2015 - 13:15 | 6006445 Pliskin
Pliskin's picture

The U.S. just put 300 troops into the Ukraine.

 

Read the news much?

 

Sun, 04/19/2015 - 01:45 | 6007884 Tall Tom
Tall Tom's picture

Three hundred troops?

 

Wow.

 

What a massive projection of force. With our supermen that is an outright invasion. It is over for anyone who will contest that.

Sat, 04/18/2015 - 17:32 | 6007015 Paveway IV
Paveway IV's picture

"...Did US and the West foolishly put all their eggs in one basket trying to shutdown Russian gas flow through Ukraine?..."

This was never the intent, SoaD. It was, in fact, the exact opposite. The U.S. thorugh it's Kiev Junta proxies wanted ALL Russian gas to go through Ukraine. It's all about control. From the U.S./ZATO perspective, Russia could be kept under control, so to speak, by threatening to disrupt the flow through Ukraine. All this while Israel was busy developing the Leviathan Basin gas fields and building a pipeline to the EU markets. This isn't just a pro-Israel issue for the U.S.; the Israelis don't have the capability to build out the gas production and transport infrastructure. That was happeining mostly through U.S. companies. Noble has the biggest stake, but there's dozens of other U.S. companies positioned to make a fortune at the Leviathan fields.

The entire Leviathan Basin to EU scheme depends on one single element: forcing Russia out of the EU markets enough that the Leviathan gas can be sold quickly and at maximum profit to the EU. That means they (Israel and the Leviathan development interests) need an unrestricted monopoly on EU markets or something close to that. Which means elbowing Russia out of the EU market. Ukriaine was about physical control, but plenty of policy has been used for the same purpose. That's pretty clear in the U.S. interference with the original South Stream.

A smaller but parallel interest is getting Qatari gas to the EU. That would have involved pacifying Iraq and Syria first - a project that is failing miserably. To some degree, Qatari gas also depends on the stability of Saudi Arabia. Since the Yemeni slum uprising, Saudi Arabia's stability is at risk. Too many variables to see Qatari gas making it to the EU anytime soon, but there's no way the Qataris are going to throw in the hat. Their access to the profitable EU markets also depends on the West's (perceived) ability to control Russian gas transit across Ukraine.

North Stream and South Stream were both heavily opposed by NATO for obvious reasons: once the gas gets close to the EU, the EU will arrange the best market rates and buy all of it they can. Neither Israel nor Qatar can beat Russia on extraction and transport price, so they both will use whatever dirty tricks they have to confound Russian gas sales and keep from ever having to compete on price from Russia. The politicians have decided that all of the EU will buy more expensive gas from 'friends' (and business partners) than Russia.

ISIS and al Qaeda would both disappear overnight and the war in Ukraine would stop if the citizens of the EU banned an potential Israeli and/or Qatari gas purchases BECAUSE it's clearly a blood-for-gas scramble. Instead, the EU acts oblivious to the genocide directly resulting from an idiotic notion of 'Energy Security' - which is little more than a euphemism for "Kick Russians out of the EU gas markets so 'our' gas pipelines can take over."

Sun, 04/19/2015 - 01:08 | 6007853 dexter_morgan
dexter_morgan's picture

ZWO at work.

Sat, 04/18/2015 - 10:14 | 6006070 q99x2
q99x2's picture

Add a little Greece to your Turkey and prepare. The hermaphrodite bird is on the wall.

Sat, 04/18/2015 - 15:50 | 6006838 SHRAGS
SHRAGS's picture
Turducken  matryoshka doll?
Sat, 04/18/2015 - 18:17 | 6007147 HardlyZero
HardlyZero's picture

Italian Olive Oil.

Russian Black Bread.

Cypriot or Greek Ouzo to wash it down !

Sat, 04/18/2015 - 10:15 | 6006071 One And Only
One And Only's picture

I think it would be a lot easier for Putin to build rail rather than a pipeline. You know... under the guise of increasing accessibility to transportation from the Baltics to Europe or whatever then just converting it to transport oil.

American politicians lie like this all the time. Just look at Obamacare.

Sat, 04/18/2015 - 10:14 | 6006074 XRAYD
XRAYD's picture

No doubt, ultimately the queston in the West will be, Who lost Greece?

It is time for Germany to demand the last pound of flesh from Greece (calling it "reform") to save Wester bankers!

Sat, 04/18/2015 - 11:36 | 6006254 lakecity55
lakecity55's picture

Russian strategy is to use the economic instablility of the West to splt NATO.

Sat, 04/18/2015 - 10:15 | 6006075 jonjon831983
jonjon831983's picture

Now you owe to two groups?  What does the book say about that? Good bad?  They'll fight against each other for the spoils?

Sat, 04/18/2015 - 13:49 | 6006548 mc225
mc225's picture

yeah it doesn't seem like a good deal for greece. maybe greece should tell everyone else to pound sand.

Sat, 04/18/2015 - 10:16 | 6006077 i_call_you_my_base
i_call_you_my_base's picture

It's looking more and more like Greece is going to jump ship. And I don't say that lightly given the last few years.

Sat, 04/18/2015 - 10:30 | 6006120 Arius.
Arius.'s picture

i find it interesting that Schwauble said yesterday at Brookings that he sees nothing wrong with Greece looking east to paraphrase .... is more like one big football field than different ships ... same players playing in differnt teams ...

Sat, 04/18/2015 - 10:16 | 6006078 Monetas
Monetas's picture

If Putin can get the Muslims out of Greece .... I'll have some kind words for him ! The Ottoman Islamic Turks .... killed 950,000 Greeks .... and blew up the Parthenon .... the Muslim modus operandi hasn't changed in 1400 years .... kill the infidels .... destroy their religious and archeological treasures ! 

Sat, 04/18/2015 - 13:58 | 6006566 Mister Delicious
Mister Delicious's picture

You may want to look into the Donmeh Turks...

Then again - *you* may not.

xxoo

Sat, 04/18/2015 - 10:16 | 6006079 Shed Boy
Shed Boy's picture

Hey wait...isn't today the day that Krugman straightens things out for Greece?

Sat, 04/18/2015 - 10:21 | 6006089 i_call_you_my_base
i_call_you_my_base's picture

I posted this on ZH yesterday, but Krugman has always advocated for Greece leaving the EZ. I suspect that's what he advised Varoufakis at their meeting.

Sat, 04/18/2015 - 18:21 | 6007153 HardlyZero
HardlyZero's picture

Krugger knows Greece has no CREDIT available...so they are useless to his Krugman Keynesian Economic system based only on DEBT and MOAR DEBT.

Sat, 04/18/2015 - 10:16 | 6006080 malek
malek's picture

But, but... isn't Russia going to go bankrupt any day now, as predicted by numerous commenters here months ago?

Sat, 04/18/2015 - 11:44 | 6006260 piratepiet2
piratepiet2's picture

Show me one post that predicted a Russian "bankruptcy". 

Russia can not really go bankrupt ( financially ).  It can print its own currency, has low debt and plenty of resources.

But if the oil price stays low, short to medium term prospects are not so great I guess. 

Russia has a lot of potential, though.  Maybe they should team up with the EU. 

Sat, 04/18/2015 - 13:19 | 6006464 Pliskin
Pliskin's picture

U.S.A  can not really go bankrupt ( financially ).  It can print its own currency, has high debt and plenty of resources.

But if the oil price stays low, short to medium term prospects are not so great I guess. 

U.S.A. has a lot of potential, though.  Maybe they should team up with the 'Legion of Doom.'

Fixin' a lot of posts today...

Sat, 04/18/2015 - 14:10 | 6006546 piratepiet2
piratepiet2's picture

dt

Sat, 04/18/2015 - 14:15 | 6006609 piratepiet2
piratepiet2's picture

I was discussing Russia, not U.S.A.

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