Russia can price the ruble at any rate of exchange that they want, it's not going to change the value that a ruble will actually purchase.

 

Are you trying to say all countries around the world are going to switch to the Ruble for internation trade currency?

 

I have a hard time believing that an economy the size of Texas can dictate what happens to the US Dollar.

 

You do know that russia is a tad larger than texas right and has multiple natural resources that the world and Europe especially rely upon, lots of leverage...

 

They will require energy and food export to be paid in gold or like trade. Why take the Dollar or Euro if they can't bank with them?

Small country but energy and food are important. So says every gas pump I drive past.

 

This is bigger than most folks know, we have been on the petro dollar since 71 when tricky **** nixon took us of the gold standard and the saudis agreed to ONLY sell oil in USD, now they are looking to accept yuan to buy oil

saudis accept ruble at DuckDuckGo

DuckDuckGo. Privacy, Simplified.

duckduckgo.com

the USD is not back by anything.....

 

Russian federation population - 144 Million.
"In 2009, Russia recorded annual population growth for the first time in fifteen years; and during the mid 2010s, Russia had seen increased population growth due to declining death rates, increased birth rates and increased immigration "

Texas - a bit les at 29 million

 

Russia's GDP is $1.5T, Texas GDP is $2T, CA's is $3.4T, CA's econmy economy is more than 2x the size of Russia's. This has nothing to do with size of land or population, their economy is relatively small in global terms. They can decide they will only take Gold or Rubles, that will not cause any other country, maybe outside of couple former soviet union ones, to switch their international trading from USD to RUB. That said, the end of the dollar as international trade currency is near, mostly because we abused our control of the dollar to impose random sanctions on countries we don't like or are afraid of, if we add to that unstable leadership which canceles previously signed agreements and deals you get countries who no longer trust the US as a partner and will look for an alternative trade currency. Unforutnalty for us, over the last few years China has become more stable and more reliable partner.

 

Putin is no fool, cant blame him. Bribum smacks him and Putin cuts him off at the knees. Well played.

 

No they are NOT tying their currency to gold, they are saying that countries can buy their oil with either gold OR their currency. And who knows if it's even true.

Can't anyone read any more?

 

Apparantluy they are denominating the Ruble in gold at the exchange rate of 5,000 grams of gold to one Ruble.

There are 31.1 grams of gold in one troy oz. CME gold closed today at 1,922 in US dollars.

If gold is priced at 5,000 Rubles per gram that means that Russia is saying that 5,000 Rubles is equal to US$ 1,922 or that 1 US dollar is worth 2.6 rubles.

The Ruble is trading today in the currency markets at 94.5 rubles for 1 US dollar so the free market on Rubles is 94.5 to the dollar but the Puten exchange rate is 2.6 to the dollar therefore the exchange rate is being increased by a factor of 36x.

 

The Russians are playing this game well. They know the west is crippled by debt, energy dependence, and absolutely foolish leadership.

 

This is what I have been very concerned about. The Ukraine "incursion" was just a face to the real underlying agenda....Bring down the dollar.

We need an in house economist to pipe up. Not a wannabe...like me. (I think I have a grasp on macro economics but I'm thinking I need help)

This video..not an economist but is line with my "research"

And how did Russia come up with 5000 rubles/gram of gold? based on their M1 or M2 and the gold reserves they hold? if so they are off.

Their Ruble to gold reserves based on M1 is about 15,600 rubles/gram
Their Ruble to gold reserves based on M2 is about 26300 rubles/gram.

Central bank of russia release..domestic market

Bank of Russia to buy gold in domestic market | Bank of Russia

Monetary Policy

www.cbr.ru

And BTW, I know they are not tying the ruble to gold, in a sense, but they are....

 

Would be harder for the money printer to go.
Maybe we all underestimated Putin.

 

This right here: Germany Scrambles To Ration Gas After Refusing To Make Payments In Rubles | ZeroHedge

"Of course, if Berlin doesn't play ball, gas won't be the only commodity in short supply. The Kremlin said on Wednesday that demanding ruble payments for exports of oil, grain, fertilizers, coal, metals and other key commodities in addition to natural gas was a good idea, Russia's top lawmaker Vyacheslav Volodin said on Wednesday, per Reuters."

 

Stop…please just stop

It‘s not what you trade in. It’s what its valued in.

The petrodollar is the settlement currency for oil sales. This is why it’s valued in dollars. Most international trade is valued and traded in dollars. Why, because the selling countries want dollars.

The reality, is we are the tallest midget.

The only time this may not occur is when their are sanctions in place and Country B decides the discount on the sanctioned energy, from Country A, is greater than the world’s criticism. Both parties will agree on the value of the trade in US dollar and settle in another currency based on that value.

 

Stop…please just stop

It‘s not what you trade in. It’s what its valued in.

The petrodollar is the settlement currency for oil sales. This is why it’s valued in dollars. Most international trade is valued and traded in dollars. Why, because the selling countries want dollars.

The reality, is we are the tallest midget.

The only time this may not occur is when their are sanctions in place and Country B decides the discount on the sanctioned energy, from Country A, is greater than the world’s criticism. Both parties will agree on the value of the trade in US dollar and settle in another currency based on that value.

That is the way it has been and currently is. But things change.

World Reserve Currencies Since 1450

Former world reserve currencies lost their status due to money printing and an overload of debt. The US dollar is on a similar path.

www.midasgoldgroup.com

 

Gold backed currency? The banksters will have Putin's head detached within a month.

 

This almost guarantees a war unfortunately. Sort term it could be bad for Russia but long term it will devastate the worlds printed of dollars.

 

Now India is dropping covetted usd..

India Will Drop the Dollar to Trade with Russia, Replacing SWIFT - American Partisan

As predicted, the extraordinary sanctions against Russia will in the […]

www.americanpartisan.org

Unintended consequences of bad choices the west made..

 

India is looking at allowing 5 state owned banks to engage in the Rupee - Ruble mechanism and there are limitations on what trade items will be on list. This will be materially good for India and marginally rewarding for Russia, India gets to offload its shonky rice that the Chinese refuse.

 

We trained China in manufacturing and India in technology. If the middle east joins the party, it's billions of people trading outside of the mechanisms the west uses to impose sanctions.

 

An act of desperation by a government with a failing economy somehow perceived by some as relevant to the wider world.

 

A

Asag,

Sometimes a nation with a failing economy can be perceived by some as affecting the world. The Eygyption govern has a failing economy. Their locale in the poltically sensitive eastern Med and their canal has a bloc of believers that find relevance to the wider world.

 

 

Why do China and Russia need to fight a war? They can just wait us out. China collecting dollars for goods to the US and converting them to gold to trade with Russia.

China can wait for the west to implode with the green new deal while selling them solar panels and lithium.

They are running short of lithium based on current supply and even more in the future. Expect really high battery prices, electricity prices, fuel prices .... and printing money to cover. Lithium has increased from ~100,000 CNY to over ~425,000 CNY per ton in the last year. Yeah batteries.

The US is a short term company chasing quarterly profits. These other countries are private entities thinking 30-40 years down the road. If our government wasn't so dysfunctional it wouldn't swing so much and think in terms of the longer good of the country.

 

Both China's and Russia's problems are population and food.

China will want what Russia has. Russia is making themselves weak and open attack.

US is the tallest midget and we win again because we can feed ourselves, produce energy for ourselves and have Mexico and Canada on our boarders. We also have a positive birth/death ratio. Like it or not we are also importing a TON of low'ish' educated cheap labor. The also happens to be Catholic so they somewhat align with our basic American values system. Honestly they will ultimately become more conservative than liberal based on family views and generally against the 'A' word that can't be mentioned.

We will continue to print until.....there is a taller midget. Don't see there being on in my lifetime.

Batteries....LOL. food and fuel

 

ZeroHedge

ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero

www.zerohedge.com

 

A stunt borne out of desperation.

 

You sure?

Finally, now that it appears the ruble will have to be purchased by western powers, the currency has completed its roundtrip to pre-invasion levels.

 

ZeroHedge

ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero

www.zerohedge.com