Sanctions on Russia

wiredseal7 said:Oh yeah, they’re headed for a total collapse—just like what happened to the ruble a few months back.

Anthony Hill5 said:The ruble actually strengthened because of draconian capital controls, specifically those mandates forcing companies to convert 80% of their foreign currency into rubles.

Now that exporters are starting to complain, there is even talk of lowering that requirement to 50% just to bring the ruble back to a somewhat tolerable 80:1 ratio against the dollar.

Furthermore, since citizens are effectively blocked from importing Western goods, they aren't exactly scrambling to get their hands on euros or dollars, which further bolsters the ruble—not to mention that the key interest rate is sitting at a staggering 14%. If you saw an interest rate like that within the European Union, wouldn't you be writing about its total ruin right now?

One has to wonder: what would the exchange rate of the ruble actually look like if the Central Bank wasn't intervening so heavily with capital controls, and if oil barrels weren't trading at such inflated levels?

wiredseal7 said:Yeah, there are reasons for this—mostly because Russia's exports are irreplaceable and they're demanding payment in dollars.
But I guess those "armchair experts" on this forum didn't see that coming, did they?

Besides, thank God the interest rate is decent enough that holding cash actually pays off—instead of the endless cycle of feeding stock market speculators and printing money until the savings are worthless like they did for the last five years or so.

Amanda Allen4 said:And how exactly am I supposed to get my hands on rubles? Where can one even buy them?

wiredseal7 said:Yeah, there are reasons for this—mostly because Russia's exports are irreplaceable and they're demanding payment in dollars.
But I guess those "armchair experts" on this forum didn't see that coming, did they?

Besides, thank God the interest rate is decent enough that holding cash actually pays off—instead of the endless cycle of feeding stock market speculators and printing money until the savings are worthless like they did for the last five years or so.

wiredseal7 said:Oh yeah, they’re headed for a total collapse—just like what happened to the ruble a few months back.

wiredseal7 said:Oh yeah, they’re headed for a total collapse—just like what happened to the ruble a few months back.

analogbear5 said:It’s honestly pointless trying to explain how the official exchange rate has zero connection to reality when capital controls are this tight. It happens every single time.

Since an overpriced dollar kills exports, it's pretty obvious this rate is just a move to aggressively crush inflation—and keep up appearances that everything is running smoothly.

It’s exactly as I said—there are internal enemies and external ones. But let’s be clear: those within our own borders are far more dangerous, and they need to be neutralized first!

swiftjackal11 said:With the ruble finally gaining some ground, those pro-Russia folks can head over to Moscow and pick up a new car even cheaper than before the war started.

Bryan Jones82 said:I’ve been checking out grocery prices lately, and man, some stuff is getting ridiculously expensive:

Tomatoes are over $10, potatoes are up $3.25, apples are way past $6.75.... Part of it is because the dollar is getting stronger, making things look pricier when you convert them, but honestly, most of it is just plain old inflation.

analogbear5 said:Which helps exports more: a strong dollar or a weak one?
Which helps imports more: a strong dollar or a weak one?
And which one helps curb inflation: a strong dollar or a weak one?

Gerald Chavez7 said:Can a Russian actually walk into a bank and buy 10,000 euros or dollars? Like, say they sell their car, decide "thanks, I'll take that in hard currency instead," and head to a bank or an exchange bureau to swap their precious rubles for USD?

wiredseal7 said:Who actually thinks a strong dollar is perfect?
I was looking at those predictions where they thought the dollar would hit 200 against their currency—which honestly would have been way worse for them than just having a strong currency. The West basically tried to sledgehammer their exchange rate back in March, hoping to tank the Russian economy, but it didn't quite land the way they planned.

With how much the value is shifting, I'm not sure it's even worth swapping for foreign cash right now. Did a black market pop up where the "real" rate is 200 to the dollar? Haven't heard anything, and since the Ukrainian media is always full of horror stories coming out of Russia, I wouldn't be surprised if it exists somewhere under the radar.

wiredseal7 said:Who actually thinks a strong dollar is perfect?
I was looking at those predictions where they thought the dollar would hit 200 against their currency—which honestly would have been way worse for them than just having a strong currency. The West basically tried to sledgehammer their exchange rate back in March, hoping to tank the Russian economy, but it didn't quite land the way they planned.

With how much the value is shifting, I'm not sure it's even worth swapping for foreign cash right now. Did a black market pop up where the "real" rate is 200 to the dollar? Haven't heard anything, and since the Ukrainian media is always full of horror stories coming out of Russia, I wouldn't be surprised if it exists somewhere under the radar.

The Indian Energy Minister, Shri Hardeep pura, has flatly rejected any suggestions that his nation should stop importing oil from Russia.

urbanheron4 said:Here’s the deal with the ruble. For the most part, we're talking about incredibly low transaction volumes, and the exchange rate is basically being propped up artificially. If they actually let the market take the wheel, the whole thing would crater instantly.

https://qz.com/2167447/how-russia-de...utm_source=YPL