The dollar and the euro hit new records on the Moscow Exchange. The fall of the ruble is connected with the collapse of world oil prices after OPEC cartel decided to preserve current oil production quotas - 30 million barrels a day. OPEC's decision not to reduce quotas for the extraction of hydrocarbons will stay in effect before June 2015
For more than three decades we have called attention on this page to what we called the "reserve-currency curse." Since some politicians and economists have recently insisted that the dollar's official role as the world's reserve currency is instead a great blessing, it is time to revisit the issue
Russian economy may lose $40 billion because of Western sanctions and 90-100 billion dollars more because of declining oil prices, Finance Minister Anton Siluanov said. "We lose about 40 billion dollars a year because of political sanctions and we can lose about 90-100 billion dollars a year from the reduction of oil prices," he said.
Russia is ready to wait for the delivery of the first French Mistral helicopter carrier till the end of November. If France does not meet obligations under the contract, Moscow will present a significant financial claim. If France decides to transfer the Mistral to Russia, the move may cause panic in Poland and the Baltic countries
The Central Bank of the Russian Federation canceled the corridor of the currency basket, as well as regular interventions at the boundaries of the corridor and beyond them. The new approach of the Bank of Russia to operations on the domestic market does not stipulate complete renunciation of foreign exchange interventions
After a hundred years under a fiat standard, the value of money has fallen by some 98%. Under a fiat standard we have suffered numerous financial crises, including the crash of 1929 and the Great Depression; the inflation of the late 40's; the international crisis of the 70's which saw the demise of the Bretton Woods system of fixed exchange rates
Since the beginning of the year, the Russian ruble has lost a quarter of its value. In world practice, devaluation of national currency by 20 percent or more in one year is considered a currency crisis. Russia's international reserves made up $443.8 billion as of October 17, which marked a decrease by $7.9 billion
The current situation with oil prices is a big problem to the majority of members of the oil market. The decline in prices jeopardized even shale projects in the US. Venezuelan officials said that the nation's economy was in danger, the Russian economy suffers from low oil prices as well. Yet, one player on the market is most likely happy
Russia has expanded its embargo on European products. On October 22, Russia banned imports of meat by-products produced in the EU. Reportedly, the new restrictive measures were associated with the discovery of banned and harmful substances in the products. Russia has also imposed a ban on the import and transit of all мупуефиду products from...
A recent survey among 1,600 Russians in 134 settlements of 46 regions of the country showed that the sanctions showed nearly no influence on the lives of ordinary Russians. Sixty percent of respondents believe that Russia should punish the West accordingly: to arrest accounts and assets of foreign companies
Gold has proven to be a good barometer of future growth and inflation rates and caught these developing trends months ago. The stock market just caught on, hence the huge triple digit losses of late. At the beginning of the year gold was selling at 1180, its lowest level to that point , even though US growth was moving up briskly at a 4% rate
Oil prices continue to decline despite OPEC's decision to cut oil production. The cost of oil, according to experts, began to decline due to excessive amounts of the raw material. The current state of affairs on the oil market hurts the economies of such oil powers as Saudi Arabia, Iraq, Qatar and others. What about Russia?
By pinning down the future price level by gold convertibility, the immediate effect of international monetary reform will be to end currency speculation in floating currencies, and terminate the immense costs of inflation hedging. Gold convertibility eliminates the very costly exchange of currencies at the profit-seeking banks