Russia announced a default on foreign obligations!!!

[paxmao]

Well, then for "purely technical reasons" no financial institution is going to "technically be able to buy" Russian debt. It is as simple as that, most funds and institutions and certainly the largest ones have mandates that will not allow them to invest in bond from a country that has defaulted. And make no mistake, Russia is not the one that is able to decide if it has defaulted, that task goes to the S&Ps and Moodys of this world (rating agencies).

You are right, regardless of whether the default is technical or real, declaring a default will close the market for foreign borrowing in dollars and euros for Russia. It has already been closed by sanctions, without any default.

Fair point. A default however does has long term consequences, not only a temporary withdrawal from a payments system or the temporary retention of funds, it is something that rises interest rates in the long term and cannot be "lifted" as easily as a sanction.

I would say that business are going to become difficult in the future. For disclosure, I think that Russia does have a good income stream from exports so it will modulate the effect of a default.

[Sithara007]

I don't expect anything else from the CNN. A default occurs when the interest payments are not made on time. In this case, Russia has offered payments to the creditors. The only catch here is that the payment is being offered in Rubles and not in USD or EUR. And how is it possible to blame Russia? They are under sanctions and their forex reserves are frozen. And the same guys who have frozen the forex reserves are now asking for the payments in USD or EUR. This is similar to the scenario where many of the European nations are now making the payments for Russian oil and gas in Rubles.

[be.open]

Well, then for "purely technical reasons" no financial institution is going to "technically be able to buy" Russian debt. It is as simple as that, most funds and institutions and certainly the largest ones have mandates that will not allow them to invest in bond from a country that has defaulted. And make no mistake, Russia is not the one that is able to decide if it has defaulted, that task goes to the S&Ps and Moodys of this world (rating agencies).

You are right, regardless of whether the default is technical or real, declaring a default will close the market for foreign borrowing in dollars and euros for Russia. It has already been closed by sanctions, without any default.

Fair point. A default however does has long term consequences, not only a temporary withdrawal from a payments system or the temporary retention of funds, it is something that rises interest rates in the long term and cannot be "lifted" as easily as a sanction.

I would say that business are going to become difficult in the future. For disclosure, I think that Russia does have a good income stream from exports so it will modulate the effect of a default.

One of the big mistakes of the West was the imposition of sanctions without a clear mechanism for when and how they would be lifted. Therefore, Russia considers the sanctions to be long-term for an indefinite time, or, more simply, "eternal", and the freezing of its reserves in dollars and euros is a default by the West. Russia does not need foreign investment in discredited currencies.

[Flexystar]

No, I understand that now some will sing the mantras "this default is not such a default", "this is not the correct default, only Russia should declare it", "we all believe that it is not such a default". But a fact is a fact - Russia has not been able, and will not be able in the foreseeable future, to fulfill all the conditions for calculating external debts! please tell me - who needs the ruble, if they lent dollars or euros? There is no need to tell "at least a ruble is better than nothing" - there will be no option with "nothing", there will be a forced seizure of assets, there will be a fine, there will be prosecution of assets around the world. And so many more times - this year Russia is waiting for at least 2 huge payments!

So what happened that the "greatest economy" suddenly ran out of dollars?

It could drain out easily. The foreign reserves are actually maintained by central national banks and only spent as and when required. I’m pretty sure after the war broke out and businesses went down (MNC’s), they had to sell out most of the asset and on the other hand they might have imposed with restricted transactions. With the time Putin got more sanctions and thus the foreign repository might have been used to recover the unwanted expenses off shores and fund the current war operation. Imagine share market situation within Russia, Ruble devaluing Like hell and foreign reserves depleting. Seems like disaster.

[DrBeer]

I don't expect anything else from the CNN. A default occurs when the interest payments are not made on time. In this case, Russia has offered payments to the creditors. The only catch here is that the payment is being offered in Rubles and not in USD or EUR. And how is it possible to blame Russia? They are under sanctions and their forex reserves are frozen. And the same guys who have frozen the forex reserves are now asking for the payments in USD or EUR. This is similar to the scenario where many of the European nations are now making the payments for Russian oil and gas in Rubles.

You are now trying to "twist the information." I will explain to you with an example. You are the owner of a shop, let somewhere in New York. You sell delicious pastries. A lumpenized boor comes into your shop, demands to get him 20 cakes, is rude, calls names. But ignore him and do your job. You pack it all in a beautiful box and say - 50 DOLLARS from you! And this miracle takes out banknotes from the Monopoly game, and says - on, here's your payment, you don't need change! And he tries to leave. This is what happened with Russia and its obligations. She tried to pay with some kind of junk paper instead of currency. Therefore, the payment was not counted, the obligations remained, the situation became essentially default. And do not invent fairy tales about what they paid for. Well, or you must accept copies of bills from the Monopoly game as payment for your work! You are ready ?

[Pomogator]

Of course, Russia was bombarded with hundreds of sanctions, and its reserves in other countries were taken away. A full-fledged economic war, so Russia is trying to get out of this situation. Payment in another currency is the most realistic way out of this situation.

[teosanru]

Russia announced a default on foreign obligations!!!

Today something happened that probably no one expected so quickly. As it turned out, not only the army is fake in Russia, but also the financial system and economy. What is your opinion, gentlemen - why did the "super-power" with the "strongest international weight" deflate so quickly? 

Interestingly the only default made was that payment was made in Rubles instead of dollars which I don't really think is a very big default for a country that is in such a flux situation, they have sanction imposed from everywhere so naturally their currency is under a great hit at this time, so technically they will have to pay in some alternate way and Paying in your own currency is the easiest way, European agencies would obviously call this as a default in their attempt to disregard the Russian economy but I think one should consider the situation of both the sides before making any opinion.

[paxmao]

Well, then for "purely technical reasons" no financial institution is going to "technically be able to buy" Russian debt. It is as simple as that, most funds and institutions and certainly the largest ones have mandates that will not allow them to invest in bond from a country that has defaulted. And make no mistake, Russia is not the one that is able to decide if it has defaulted, that task goes to the S&Ps and Moodys of this world (rating agencies).

You are right, regardless of whether the default is technical or real, declaring a default will close the market for foreign borrowing in dollars and euros for Russia. It has already been closed by sanctions, without any default.

Fair point. A default however does has long term consequences, not only a temporary withdrawal from a payments system or the temporary retention of funds, it is something that rises interest rates in the long term and cannot be "lifted" as easily as a sanction.

I would say that business are going to become difficult in the future. For disclosure, I think that Russia does have a good income stream from exports so it will modulate the effect of a default.

One of the big mistakes of the West was the imposition of sanctions without a clear mechanism for when and how they would be lifted. Therefore, Russia considers the sanctions to be long-term for an indefinite time, or, more simply, "eternal", and the freezing of its reserves in dollars and euros is a default by the West. Russia does not need foreign investment in discredited currencies.

No problem, just send me over those discredited currencies and I will send you back the strong roubles you like so much.

[be.open]

No problem, just send me over those discredited currencies and I will send you back the strong roubles you like so much.

Currency markets are prone to panic attacks amid sharp geopolitical changes. Right now, the exchange rate of the ruble against the dollar and the euro has returned to the price levels "before the operation", but even more indicators are not the exchange rate on the currency exchange, but the exchange rate on Aliexpress - how much the ruble is worth in China's internal opinion. It reached 150 rubles per dollar, and right now the dollar costs 86 rubles.

[DrBeer]

No problem, just send me over those discredited currencies and I will send you back the strong roubles you like so much.

Currency markets are prone to panic attacks amid sharp geopolitical changes. Right now, the exchange rate of the ruble against the dollar and the euro has returned to the price levels "before the operation", but even more indicators are not the exchange rate on the currency exchange, but the exchange rate on Aliexpress - how much the ruble is worth in China's internal opinion. It reached 150 rubles per dollar, and right now the dollar costs 86 rubles.

I have a partnership offer for you! Let's organize a financial structure, and you will buy a strong ruble, and I will sell it to you for any slag such as an unsecured dollar, an empty Euro, or a yen mired in debt? Imagine - you will drain huge amounts of useless currencies, and you will have reserves of a strong ruble, which is backed by a powerful economy! How do you like the idea? Ready to get rich?

[be.open]

No problem, just send me over those discredited currencies and I will send you back the strong roubles you like so much.

Currency markets are prone to panic attacks amid sharp geopolitical changes. Right now, the exchange rate of the ruble against the dollar and the euro has returned to the price levels "before the operation", but even more indicators are not the exchange rate on the currency exchange, but the exchange rate on Aliexpress - how much the ruble is worth in China's internal opinion. It reached 150 rubles per dollar, and right now the dollar costs 86 rubles.

I have a partnership offer for you! Let's organize a financial structure, and you will buy a strong ruble, and I will sell it to you for any slag such as an unsecured dollar, an empty Euro, or a yen mired in debt? Imagine - you will drain huge amounts of useless currencies, and you will have reserves of a strong ruble, which is backed by a powerful economy! How do you like the idea? Ready to get rich?

I'm not sure if I understand the details of your affiliate offer correctly, for example, where will I get a huge amount of useless currency from? I have a symbolic one dollar banknote and a 2 euro coin, rather for numismatic interest. All my money is in bitcoin, some shitcoins and rubles for everyday expenses.

[ChiBitCTy]

Russia announced a default on foreign obligations!!!

Today something happened that probably no one expected so quickly. As it turned out, not only the army is fake in Russia, but also the financial system and economy. What is your opinion, gentlemen - why did the "super-power" with the "strongest international weight" deflate so quickly? 

I kind of figured that this would happen but as yourself I didn’t think that it would happen so quickly. Which obligations did they default on exactly ? What would be really something is if they defaulted on obligation to China, now that would be REALLY telling. But their army not being as great as they preached or made it out to be as well as their economic situation is no surprise to me. It’s the same thing with China, putting up a fake front.

[DrBeer]

Russia announced a default on foreign obligations!!!

Today something happened that probably no one expected so quickly. As it turned out, not only the army is fake in Russia, but also the financial system and economy. What is your opinion, gentlemen - why did the "super-power" with the "strongest international weight" deflate so quickly? 

I kind of figured that this would happen but as yourself I didn’t think that it would happen so quickly. Which obligations did they default on exactly ? What would be really something is if they defaulted on obligation to China, now that would be REALLY telling. But their army not being as great as they preached or made it out to be as well as their economic situation is no surprise to me. It’s the same thing with China, putting up a fake front.

I'll tell you that many absolutely really assigned Ukraine - no more than 1-2 weeks until it was completely captured by the "second army in the world in terms of power" And the basement Führer believed that he had the most powerful army, the most stable and self-sufficient economy. He also believed that the US, Britain, the EU and many other countries would continue to be afraid of Russia and would not impose such massive and global sanctions. He also believed that he could continue to issue ultimatums and threaten with all nuclear weapons or simply aggression, and in response everyone would dutifully agree to any conditions from Russia. But everything turned out to be wrong. The inflatable army was punched in the face and humiliated in front of the whole world. Thinking the economy collapsed. The "great leader" is forced to hide in a bunker and be afraid to appear in public. And now they are also afraid of a "palace coup."
Ukraine destroyed the myth of the "greatness of Russia" and showed its rotten essence in everything...

[paxmao]

No problem, just send me over those discredited currencies and I will send you back the strong roubles you like so much.

Currency markets are prone to panic attacks amid sharp geopolitical changes. Right now, the exchange rate of the ruble against the dollar and the euro has returned to the price levels "before the operation", but even more indicators are not the exchange rate on the currency exchange, but the exchange rate on Aliexpress - how much the ruble is worth in China's internal opinion. It reached 150 rubles per dollar, and right now the dollar costs 86 rubles.

A 22 year long panic attack?

[zasad@]

No problem, just send me over those discredited currencies and I will send you back the strong roubles you like so much.

Currency markets are prone to panic attacks amid sharp geopolitical changes. Right now, the exchange rate of the ruble against the dollar and the euro has returned to the price levels "before the operation", but even more indicators are not the exchange rate on the currency exchange, but the exchange rate on Aliexpress - how much the ruble is worth in China's internal opinion. It reached 150 rubles per dollar, and right now the dollar costs 86 rubles.

A 22 year long panic attack?

https://alicoup.ru/currency/
It was the usual speculation at the beginning of March. Many people have bought new cars, new household appliances, and now it costs 30-50% less. Some goods are priced very high, but these goods will not be bought by people.Whoever succumbed to this panic in Russia lost a lot.

[Sithara007]

https://alicoup.ru/currency/
It was the usual speculation at the beginning of March. Many people have bought new cars, new household appliances, and now it costs 30-50% less. Some goods are priced very high, but these goods will not be bought by people.Whoever succumbed to this panic in Russia lost a lot.

According to Google, 1 USD is now equal to 80.00 RUR. And it looks as if the value of Ruble has increase (w.r.t USD) since the Ukraine invasion started. I read about pessimistic predictions from some of the experts, claiming that the exchange rate of Ruble will go down to 1 USD = 150 RUR or 1 USD = 200 RUR. But none of this realized and the fact that Russia is having one of the largest reserves of gold actually helped. The USD now looks weak, given the fact that federal debt is ballooning and the retail inflation within the US is at all time high.

[DrBeer]

https://alicoup.ru/currency/
It was the usual speculation at the beginning of March. Many people have bought new cars, new household appliances, and now it costs 30-50% less. Some goods are priced very high, but these goods will not be bought by people.Whoever succumbed to this panic in Russia lost a lot.

According to Google, 1 USD is now equal to 80.00 RUR. And it looks as if the value of Ruble has increase (w.r.t USD) since the Ukraine invasion started. I read about pessimistic predictions from some of the experts, claiming that the exchange rate of Ruble will go down to 1 USD = 150 RUR or 1 USD = 200 RUR. But none of this realized and the fact that Russia is having one of the largest reserves of gold actually helped. The USD now looks weak, given the fact that federal debt is ballooning and the retail inflation within the US is at all time high.

This is very funny
I'll tell you what it REALLY means.
To begin with, an excursion into history. THE USSR. The country from whose remains the Russian Federation emerged. So in the USSR the dollar exchange rate was - 0.68 rubles for 1 dollar! Yes, honestly! The OFFICIAL course was just that. But .. Firstly, foreign exchange transactions for citizens were prohibited. Secondly, on the black market, the dollar is worth 10 or more rubles for 1 dollar. And the parity market price of the dollar in foreign economic transactions was about 12 rubles per dollar.
Now about course 80. Yes, it is. OFFICIAL. But the real one ... The real one is far from this figure. 80 rubles for 1 dollar, this is the price at which the Central Bank of the Russian Federation and banks buy currency from the population. But they don't sell!
This is what a real exchange board in Russia looks like now




Threat never listen to Russian news and propaganda - there is nothing but lies!

[Sithara007]

Not sure about these unofficial exchange rates. Very soon, the major clients of Russian oil and gas need to make payments in Russian Rubles (some of the EU nations such as Hungary has already said that they will abide by this directive). And they need to convert their USD to RUR using the official exchange rates. So no matter whatever the unofficial rates are, the trade will be conducted using the official rates. Anyway, it was an excellent decision from the part of Russia to increase gold holdings in their reserves. If that was not the case, RUR would have reached 1 USD = 200 RUR already.

[DrBeer]

Not sure about these unofficial exchange rates. Very soon, the major clients of Russian oil and gas need to make payments in Russian Rubles (some of the EU nations such as Hungary has already said that they will abide by this directive). And they need to convert their USD to RUR using the official exchange rates. So no matter whatever the unofficial rates are, the trade will be conducted using the official rates. Anyway, it was an excellent decision from the part of Russia to increase gold holdings in their reserves. If that was not the case, RUR would have reached 1 USD = 200 RUR already.

No, no one will pay for nothing in empty rubles, you missed it here too
The "Great Fuhrer of Russia", once again, in March, "delivered an ultimatum to the entire capitalist world" that if from April 1, 2022 (21 days ago ) they do not support Russian oil and gas with the Russian ruble, then the micro-fuhrer will already On April 2, they will cut off their gas and oil supplies .... As expected, everyone sent this idiot on a "walking erotic journey" and continued to pay as prescribed in the contracts. Oh yes - they wrote, like the Vatican paid in rubles Understand - the ruble is just an empty phrase, the ultimatums of a crazy Fuhrer are the hysteria of a mentally ill person at the end of life, that is, also an empty phrase, Russia's influence on world processes is close to zero! Although no - in the area of ​​\u200b\u200b"to spoil the neighbors" Russia is ahead of the rest. Although after the Ukrainian army fucked the Russian army through all the holes and showed its real essence, then here Russia is losing its positions
Reality will be what it is formed by normal countries, which means that Russia does not influence anything here ...

[be.open]

Not sure about these unofficial exchange rates. Very soon, the major clients of Russian oil and gas need to make payments in Russian Rubles (some of the EU nations such as Hungary has already said that they will abide by this directive). And they need to convert their USD to RUR using the official exchange rates. So no matter whatever the unofficial rates are, the trade will be conducted using the official rates. Anyway, it was an excellent decision from the part of Russia to increase gold holdings in their reserves. If that was not the case, RUR would have reached 1 USD = 200 RUR already.

No, no one will pay for nothing in empty rubles, you missed it here too
The "Great Fuhrer of Russia", once again, in March, "delivered an ultimatum to the entire capitalist world" that if from April 1, 2022 (21 days ago ) they do not support Russian oil and gas with the Russian ruble, then the micro-fuhrer will already On April 2, they will cut off their gas and oil supplies .... As expected, everyone sent this idiot on a "walking erotic journey" and continued to pay as prescribed in the contracts. Oh yes - they wrote, like the Vatican paid in rubles Understand - the ruble is just an empty phrase, the ultimatums of a crazy Fuhrer are the hysteria of a mentally ill person at the end of life, that is, also an empty phrase, Russia's influence on world processes is close to zero! Although no - in the area of ​​\u200b\u200b"to spoil the neighbors" Russia is ahead of the rest. Although after the Ukrainian army fucked the Russian army through all the holes and showed its real essence, then here Russia is losing its positions
Reality will be what it is formed by normal countries, which means that Russia does not influence anything here ...

So the deadline for paying for the gas supplied by Russia for April has come. Europe capitulated and will pay in rubles according to Putin's scheme through Gazprombank.