Inflation hits Russia

[tyz]

Russia knows the consequences yet they push it through just to prove to the world that they are powerful, but it looks like they are slowly failing. The inflation will rise more, expect a more sanctions and Russian people will suffer a lot. We already heard the news about panicking in Russia, I feel sorry for them since they can’t even protest to their own government or else they’ll face charges.

IKEA announced yesterday to shut down all stores and stop all production of furniture in Russia and Belarus. As a result, there was a panic buying in IKEA stores. Similarly, other Western companies will withdraw their business from Russia. It will be a dark time for the Russians. I have read in various threads that many Russians are now betting on China, but China may be able to cushion things a bit, but certainly not prevent the collapse of the Russian economy.

[so98nn]

I believed that in the worst case, Russia would intervene in eastern Ukraine and perhaps only expand the occupied territories to create a larger pro-Russian zone - and that this would take several days due to the military strength of the Russian army. Unfortunately, this is no longer a military conflict but an open war aimed at occupying Ukraine, and according to their leader, some other countries will be next in line if they try to join NATO.

The EU depends on Russia, especially for gas - but will have to look for an alternative if it wants to be consistent in the sanctions against it. It is a bit hypocritical that it was announced a few days ago that the amount of gas will even be increased towards the EU, which means that the money is going in the opposite direction - on the one hand, we have sanctions, on the other hand, the EU finances Russian military machinery by buying Russian gas.

That could probably work but Ukraine will definitely mention it as a part of the negotiation that the invaded territories be returned to Ukraine. The best course of action here is to piss off the Russian bear by having all the countries mobilize their military, we are a hopeless species so why not go all out and insure a mutually assured destruction. Regarding the oil, can't the whole Europe just switch to Middle East? I'm assuming that they don't want to because it's going to make the oil much more expensive.

You wish that would have been so easy. Well as far as news are concerned I see that NATO is abandoning the Jelensky's SOS call. They even did not agree for the restriction of Ukrainian Air Space and neither any of them are supplying the arms and weapons as of this time. They did show some hope at the initial point however, its gone to the sink now and no one is stepping further.

They know very well if they try anything stupid in hurry then European countries would be hit as well. Russia has become madhouse now and they are not thinking straight.

The more the financial burden will increase the higher they will go rogue and east or south they gonna start to drop the bomb.

So I am not surprised by the USDT gaining inflation. This was supposed to happen in war circle.

[sana54210]

You wish that would have been so easy. Well as far as news are concerned I see that NATO is abandoning the Jelensky's SOS call. They even did not agree for the restriction of Ukrainian Air Space and neither any of them are supplying the arms and weapons as of this time. They did show some hope at the initial point however, its gone to the sink now and no one is stepping further.

They know very well if they try anything stupid in hurry then European countries would be hit as well. Russia has become madhouse now and they are not thinking straight.

The more the financial burden will increase the higher they will go rogue and east or south they gonna start to drop the bomb.

So I am not surprised by the USDT gaining inflation. This was supposed to happen in war circle.

NATO doesn't restrict the air space, but they are sending weapons. Most noticeably Turkey does and they are a NATO member. There are like millions of dollars coming from each nation as well, which Ukraine could use for war efforts obviously. So, even though they do not do something directly, they help Ukraine do something.

If they closed the airspace, then it would mean Russians could still fly over Ukraine and Nato would have to either say "we said that is not allowed and you broke it, we are at war" and we all know they can't or they would have to say "we didn't allow that but we are scared to get involved" and they do not want to say that so they didn't closed the airspace. So, what do they do? Send guns and weapons and drones and money, so that Ukraine could handle it themselves.

[SaveOurSea]

In the current situation, most countries are sanctioning Russia’s behavior. The war has brought great disaster to innocent people. Many countries and even encryption are donating to addresses in Ukraine, while Russia is being suppressed and restricted. Only face collapse instead of rapid growth.

Russia knows the consequences yet they push it through just to prove to the world that they are powerful, but it looks like they are slowly failing. The inflation will rise more, expect a more sanctions and Russian people will suffer a lot. We already heard the news about panicking in Russia, I feel sorry for them since they can’t even protest to their own government or else they’ll face charges.

The saddest thing about this is that Putin was ready for that but simple people will suffer a lot. It is sad to see that there are many people will be hurt in many ways. While putin and other elites will just live comfortable as they are.

The reality is like that and it will also happen to other countries if they do the same as Russia,
they do not think about their citizens who will be affected by the sanctions imposed,
We can also see that there are some people who protested against the Russian government and in the end they were arrested, which is really sad

[jhonjhon]

In the current situation, most countries are sanctioning Russia’s behavior. The war has brought great disaster to innocent people. Many countries and even encryption are donating to addresses in Ukraine, while Russia is being suppressed and restricted. Only face collapse instead of rapid growth.

Russia knows the consequences yet they push it through just to prove to the world that they are powerful, but it looks like they are slowly failing. The inflation will rise more, expect a more sanctions and Russian people will suffer a lot. We already heard the news about panicking in Russia, I feel sorry for them since they can’t even protest to their own government or else they’ll face charges.

The saddest thing about this is that Putin was ready for that but simple people will suffer a lot. It is sad to see that there are many people will be hurt in many ways. While putin and other elites will just live comfortable as they are.

The reality is like that and it will also happen to other countries if they do the same as Russia,
they do not think about their citizens who will be affected by the sanctions imposed,
We can also see that there are some people who protested against the Russian government and in the end they were arrested, which is really sad

Sad reality but this is true. Economic sanctions havent really had a significant impact on government such as Russia. It really affects the common people of the country. People have been punished for the actions of government, who cannot influence in any way. So much damage, so much hurt to so many people. And those leaders, not hurt as much.

[Dunamisx]

Russians are suffering alot from the effect of the sanction placed, now that some of the world payment service providers are shutting down in Russia but allowing users to withdraw their assets signals that the only alternative it has is the use of cryptocurrency since it Rubble value is already against the USD all time low for the first time inflation will definitely spark in as a result, but is it the solution?

Well, am at the other side being excited because bitcoin among other cryptos may gain full access to be legalized as a legal tender in Russia, since paypal, mastercard, visa among others have strictly adhere to the call on sanction, and it Rubble has already fall, psychologically the next available option for them is to look into cryptocurrency in other to find a way out.

[Gozie51]

Well, am at the other side being excited because bitcoin among other cryptos may gain full access to be legalized as a legal tender in Russia, since paypal, mastercard, visa among others have strictly adhere to the call on sanction, and it Rubble has already fall, psychologically the next available option for them is to look into cryptocurrency in other to find a way out.

It will be hasty for Russia to run under bitcoin for their transaction because that won't be the solution for their problem. They were already making plans to legalize bitcoin before the war and I think the solution is for Putin to stop the war first before he can look into the economy. If he makes bitcoin legal just immediately because of what his citizens are passing through, it won't make any sense that he did that now that fiat is not circulating in the economy.

[Argoo]

Russia knows the consequences yet they push it through just to prove to the world that they are powerful, but it looks like they are slowly failing. The inflation will rise more, expect a more sanctions and Russian people will suffer a lot. We already heard the news about panicking in Russia, I feel sorry for them since they can’t even protest to their own government or else they’ll face charges.

IKEA announced yesterday to shut down all stores and stop all production of furniture in Russia and Belarus. As a result, there was a panic buying in IKEA stores. Similarly, other Western companies will withdraw their business from Russia. It will be a dark time for the Russians. I have read in various threads that many Russians are now betting on China, but China may be able to cushion things a bit, but certainly not prevent the collapse of the Russian economy.

I don't know what Putin was thinking when he started this big war. It was foolish to hope that the Ukrainians would simply surrender without a fight, but that seems to be exactly what Putin was hoping for. The current 150,000-strong Russian army that invaded Ukraine had a dry ration for three days. Before that, this army was dangling near the border of Ukraine in the mud for several months and now it is a hungry, tattered mass, armed with the latest weapons. True, more and more often they leave their equipment without fuel and run away, or surrender. There are already more than 2,000 captured Russians in Ukraine, and their number continues to grow.
Russia's open and absolutely brazen attack on Ukraine caused an unprecedented condemnation of the countries of Europe and the whole world, as well as the most severe sanctions. Large current inflation is flowers compared to what awaits Russia in the future.

[Taskford]

Russia knows the consequences yet they push it through just to prove to the world that they are powerful, but it looks like they are slowly failing. The inflation will rise more, expect a more sanctions and Russian people will suffer a lot. We already heard the news about panicking in Russia, I feel sorry for them since they can’t even protest to their own government or else they’ll face charges.

IKEA announced yesterday to shut down all stores and stop all production of furniture in Russia and Belarus. As a result, there was a panic buying in IKEA stores. Similarly, other Western companies will withdraw their business from Russia. It will be a dark time for the Russians. I have read in various threads that many Russians are now betting on China, but China may be able to cushion things a bit, but certainly not prevent the collapse of the Russian economy.

I don't know what Putin was thinking when he started this big war. It was foolish to hope that the Ukrainians would simply surrender without a fight, but that seems to be exactly what Putin was hoping for. The current 150,000-strong Russian army that invaded Ukraine had a dry ration for three days. Before that, this army was dangling near the border of Ukraine in the mud for several months and now it is a hungry, tattered mass, armed with the latest weapons. True, more and more often they leave their equipment without fuel and run away, or surrender. There are already more than 2,000 captured Russians in Ukraine, and their number continues to grow.
Russia's open and absolutely brazen attack on Ukraine caused an unprecedented condemnation of the countries of Europe and the whole world, as well as the most severe sanctions. Large current inflation is flowers compared to what awaits Russia in the future.

He knows what he is doing since he have experience in terms of going to combat but maybe he's down playing things regarding on those sanction that's why we see them suffering in some cases. But I don't think this will end up the war because it looks like this action taunt him to do more counteraction until Ukraine didn't surrender to them.

[beerlover]

He knows what he is doing since he have experience in terms of going to combat but maybe he's down playing things regarding on those sanction that's why we see them suffering in some cases. But I don't think this will end up the war because it looks like this action taunt him to do more counteraction until Ukraine didn't surrender to them.

Everyone keeps saying that Putin knows what he is doing, but nobody is aware that he is a 70+ year old dictator on a power trip and trying to get whatever he wants because that is what he is used to, and more like a child crying in the middle of a supermarket calling moma I want to buy this thing and when she refuses that kid keeps on crying and disturbing everyone. That is the case here, we are not going to end up with anything special with Putin does and suddenly go "oohh that's what he was going for, now I get it, wow such a smart move".

No, he is just a dictator on a power trip trying to get away with whatever he wants, and this will keep on hurting Russians.

[Silberman]

USDT records new all-time high against Russian ruble as inflation hits

War will always damage the economy of the affected countries, this is the 5th day of the war between Russia and Ukraine, the US, EU and generally the UN have been sanctioning Russia since the start of the Russia - Ukraine war which includes removing Russia from Swift and many other sanctions. Russia's central bank doubled key interest rates on Feb. 28, from 9.5% to 20% and USDT which is pegged to USD which has increased 30% against Russian ruble (RUR) within five days of war. Bitcoin trading volume on crypto exchanges in Ukraine spiked 200%.

This is likely the beginning of the war if it does not cease anytime soon, I am been seeing some people saying the EU needs Russia than Russia needs them, that they depend on crude oil and many mineral resources from Russia, but what is causing the inflation in Russia is because of the Russia - Ukraine war. This could be more severe if the war does not ends soon. With the look of what is going on, Russia has been planing this for years and this has led to some people killed and many left their homes.

It will be interesting to see what will happen next, personally I find the timing to declare the war weird, after all we were slowly getting out of the pandemic and it seemed as if things were slowly going back to normal, not only in our lives but also with the economy that have been suffering tremendously due to the pandemic, and then Putin choose to go to war at that moment, buy why he did so? Did he thought that if he invaded Ukraine now the sanctions would not be as bad as they are as Europe would be afraid of giving Russia heavy sanctions due to their dependence on their natural resources and the difficult economic situation they are facing? Because if that is what he thought then without a doubt he made a miscalculation there.

[Rockstarguy]

No matter how weather Russia is in gas inflation will still hit Russia  because of the sanctions giving to Russia by the  UN. If the war still continues I think inflation will still hit Russia more,  Russia is well known as a nation that is very rich in oil and gas that other countries depend on, but are still other countries that are also rich in gas which the US and other countries can make trade with. No matter  how  weathy a country economy is war will always bring it down because every sectors that generates income will surely be affected.

[DrBeer]

I believed that in the worst case, Russia would intervene in eastern Ukraine and perhaps only expand the occupied territories to create a larger pro-Russian zone - and that this would take several days due to the military strength of the Russian army. Unfortunately, this is no longer a military conflict but an open war aimed at occupying Ukraine, and according to their leader, some other countries will be next in line if they try to join NATO.

The EU depends on Russia, especially for gas - but will have to look for an alternative if it wants to be consistent in the sanctions against it. It is a bit hypocritical that it was announced a few days ago that the amount of gas will even be increased towards the EU, which means that the money is going in the opposite direction - on the one hand, we have sanctions, on the other hand, the EU finances Russian military machinery by buying Russian gas.

Today is March 9th. Today, the United States has decided to ban the purchase of hydrocarbons in Russia. The EU is phasing out Russian oil and gas, and have made strategic decisions to phase out this "supplier" entirely. Sanctions block deliveries of hydrocarbons from Russia to key markets. The financial system is at its peak. Western companies have left the market. Production stops. Fierce inflation is gaining momentum ... This is only 14 days from the start of the war, and 10 days from the start of sanctions. What do you think - what will happen by the summer of 2022?

[justdimin]

No matter how weather Russia is in gas inflation will still hit Russia  because of the sanctions giving to Russia by the  UN. If the war still continues I think inflation will still hit Russia more,  Russia is well known as a nation that is very rich in oil and gas that other countries depend on, but are still other countries that are also rich in gas which the US and other countries can make trade with. No matter  how  weathy a country economy is war will always bring it down because every sectors that generates income will surely be affected.

Someone on twitter said it best, and I loved it when I read it "if the price of gas goes to a trillion dollars but Russia has absolutely nobody to sell, then what is the point?". All in all if Russia is sanctioned off from the major buyers, and only a few places can still continue to buy from them, then they will have to make some changes to the price and lower it because if they can't sell it to those few nations then who will they sell it to?

West meanwhile could just open a listing and say "whoever sells us cheapest, will get this money" and get it from anyone they want to. There is really nothing major about this that doesn't hurt Russia, everything will hurt Russia from now on.

[tygeade]

Someone on twitter said it best, and I loved it when I read it "if the price of gas goes to a trillion dollars but Russia has absolutely nobody to sell, then what is the point?". All in all if Russia is sanctioned off from the major buyers, and only a few places can still continue to buy from them, then they will have to make some changes to the price and lower it because if they can't sell it to those few nations then who will they sell it to?

West meanwhile could just open a listing and say "whoever sells us cheapest, will get this money" and get it from anyone they want to. There is really nothing major about this that doesn't hurt Russia, everything will hurt Russia from now on.

What Russia gain from the price going up is the pressure from the people to the governments to stop doing what they are doing to Russia and find a way to drop the price again. Everyone assumed that just because there are sanctions, Russian people will eventually protest against Putin and find a way to get rid of him, so making the life of everyday Russians would cause them to be upset and angry and basically take up their pitchforks. However, Putin is doing the same thing via Oil nowadays.

This way the price of oil and gas will skyrocket, people will be unable to use their oil anymore, and at the end of the day we are going to end up with regular people of Europe or USA starting to protest their own presidents.

[Sithara007]

Today is March 9th. Today, the United States has decided to ban the purchase of hydrocarbons in Russia. The EU is phasing out Russian oil and gas, and have made strategic decisions to phase out this "supplier" entirely. Sanctions block deliveries of hydrocarbons from Russia to key markets. The financial system is at its peak. Western companies have left the market. Production stops. Fierce inflation is gaining momentum ... This is only 14 days from the start of the war, and 10 days from the start of sanctions. What do you think - what will happen by the summer of 2022?

These issues are just temporary. I have repeated this many times - as long as the oil and gas prices remain high, Russia doesn't have anything to worry. Hydrocarbon consumption is going up around the world, and in case the western nations refuse to purchase Russian commodities then they will flow in to China and India (at a discount obviously). Anyway, Putin doesn't care much about the suffering of his own people, and most of the oil revenues will go towards the defense budget (for possible future invasions of Kazakhstan, Baltics and Georgia).

[DrBeer]

Today is March 9th. Today, the United States has decided to ban the purchase of hydrocarbons in Russia. The EU is phasing out Russian oil and gas, and have made strategic decisions to phase out this "supplier" entirely. Sanctions block deliveries of hydrocarbons from Russia to key markets. The financial system is at its peak. Western companies have left the market. Production stops. Fierce inflation is gaining momentum ... This is only 14 days from the start of the war, and 10 days from the start of sanctions. What do you think - what will happen by the summer of 2022?

These issues are just temporary. I have repeated this many times - as long as the oil and gas prices remain high, Russia doesn't have anything to worry. Hydrocarbon consumption is going up around the world, and in case the western nations refuse to purchase Russian commodities then they will flow in to China and India (at a discount obviously). Anyway, Putin doesn't care much about the suffering of his own people, and most of the oil revenues will go towards the defense budget (for possible future invasions of Kazakhstan, Baltics and Georgia).

Let's take a closer look at your statement, shall we? Yes, on the one hand, a superficial assessment - the higher the price of oil / gas, the more money Russia will receive. It seems that everything is logical, it is valuable upwards, Russia receives more income as one of the key market players. But you either do not know or deliberately "forget" some short facts:
1. Oil brand "Urals" is now trying to sell at a high discount, up to 30 dollars per barrel. Why ? Because many buyers have simply abandoned it and are buying more expensive oil from other suppliers.
2. A ban has been introduced on the purchase of Russian oil by many countries. Yes, they are ready for rising prices for oil and its products. And now negotiations are underway with other supplier countries.
3. It is highly likely that the American continent will receive oil from Venezuela (negotiations are underway, and there is a high probability that a compromise will be found)
4. Asian oil is going to Europe.

Bottom line: in the very short term, yes, Russia will still receive some benefit from oil products. In the next and long term - a global decrease in supplies to markets that pay currency. Oil will most likely be bought cheaply by China, for yuan. At the price set by China.

[Silberman]

No matter how weather Russia is in gas inflation will still hit Russia  because of the sanctions giving to Russia by the  UN. If the war still continues I think inflation will still hit Russia more,  Russia is well known as a nation that is very rich in oil and gas that other countries depend on, but are still other countries that are also rich in gas which the US and other countries can make trade with. No matter  how  weathy a country economy is war will always bring it down because every sectors that generates income will surely be affected.

Someone on twitter said it best, and I loved it when I read it "if the price of gas goes to a trillion dollars but Russia has absolutely nobody to sell, then what is the point?". All in all if Russia is sanctioned off from the major buyers, and only a few places can still continue to buy from them, then they will have to make some changes to the price and lower it because if they can't sell it to those few nations then who will they sell it to?

West meanwhile could just open a listing and say "whoever sells us cheapest, will get this money" and get it from anyone they want to. There is really nothing major about this that doesn't hurt Russia, everything will hurt Russia from now on.

It is nothing really new, the one that is holding the money in the negotiations most of the time has the upper hand, obviously replacing Russia completely as a supplier for most countries is simply impossible, but as long as each one of them can reduce their consumption of Russian oil and gas then even if they suffer some negative effects from this, it will not be anywhere near close to what we will see in Russia, as the cumulative effects of the sanctions are now being felt by the bulk of their population.

[Ngewex Yuk]

Slowly the impact of war will be felt and what usually happens is inflation, when there is a war of course a lot of production of goods stops, supply is not maximized so that inflation can have a serious impact in the long term, but the presence of cryptocurrencies can certainly be a helper for Russia so that it does not get hit by inflation. can wreak havoc on the national economy.

[DrBeer]

Slowly the impact of war will be felt and what usually happens is inflation, when there is a war of course a lot of production of goods stops, supply is not maximized so that inflation can have a serious impact in the long term, but the presence of cryptocurrencies can certainly be a helper for Russia so that it does not get hit by inflation. can wreak havoc on the national economy.

Today the exchange rate is 130 rubles/dollar. BUT ! This course does not reflect reality, because. the dollar is simply not for sale, there was a ban on the sale of currency to residents of Russia. It is possible to evaluate the inflationary process by secondary signs - a change in prices for products and goods. So prices in ordinary grocery chains will grow x2-x4. And note that only about 10 days have passed since the sanctions were applied! Now they are introducing a ban on the purchase of hydrocarbons from Russia, which is 40% of foreign exchange earnings. Sales of the Russian military-industrial complex, after the shameful failure of all offensive operations, and the defeat of "unparalleled" weapons, have also almost stopped. Let's wait 3 months, then it will be fun. And you will see that Russia is Zimbabwe with snow, plus fascism and terrorism!