Petrodollar Alert: Putin Prepares To Announce "Holy Grail" Gas Deal With China

Dear Ukrainians, Your Gas Bill Goes Up By 50% On May 1, Have A Nice Day

We assume this is not what President Obama meant when he said "costs"...

*UKRAINE TO RAISE GAS PRICES FOR HOUSEHOLDS 50% FROM MAY 1
*UKRAINE TO RAISE GAS PRICE FOR HEATING UTILITIES 40% FROM JULY
As we warned previously, "the honeymoon is over" and it seems, from today's address, President Obama is about to mandate who and where the free market for natgas delivers it supply.

However, we suspect a 50% gas price hike may just be another tipping point...(as we noted before)

What is certain, is that the struggling population, most of whom never wanted the recent political overhaul and were quite happy with life as it was, will suddenly demand a return to the living standards under the old, if "horrible" regime, and demand an even quicker overhaul of the current administration.

Something Putin knows all too well.

Why does he know it? Because current events are a carbon copy of what happened in 2007 that led to the infamous 2008 Ukrainian political crisis.

More here.......www.zerohedge.com...

Rainbows
Jane

German chancellor against imposition of economic sanctions on Russia

BERLIN, March 27, /ITAR-TASS/. German Chancellor Angela Merkel has said the crisis around Ukraine should be resolved by political means without imposing economic sanctions on Russia.
Merkel said in Berlin on Wednesday after talks with South Korean President Park Geun-hye that the West “has not reached a stage that implies the imposition of economic sanctions” on Moscow.
“And I hope we will be able to avoid it,” she said. “I am not interested in escalation. On the contrary, I am working on de-escalation of the situation.”
German experts say economic sanctions against Russia that Western countries could impose for Russia’s position on the situation in Ukraine and Crimea would negatively affect Germany’s economy.
The German-Russian trade in 2013 totaled 76 billion euros; some 6,000 German companies do business with Russian enterprises; the overall volume of their investment totals 20 billion euros. Some 300,000 jobs in Germany depend on the country’s economic relations with Russia.

More here......

en.itar-tass.com...

Well, that's put the cat amongst the pigeons......no wonder Obama's speech wasn't acknowledged yesterday...


Rainbows
Jane

reply to post by angelchemuel


Should be taken with a pinch of salt, coming form a Russian news source .

She only said last week that Russia faces further sanctions if the situation gets worse given that the Russians have made noises not only about Eastern Ukraine but other "Russian" regions in other EU countries.

But what she is actually saying is that she would like to not impose sanctions if the situation doesn't escalate. She is quite clearly drawing a line in the sand there.

reply to post by stumason


Well look at that...we agree on something Stu! ...I'm not being sarcastic, I honestly agree with you!

Rainbows
Jane

reply to post by angelchemuel


It does happen occasionally

Must be something to do with a planetary alignment.....

reply to post by stumason


Yeah...the New Moon!

Rainbows
Jane

Here comes the IMF...


And Now The Real Economic Pain Begins As IMF Unleashes $27BN Bailout In "Near Bankrupt" Ukraine

Gazprom must really be demanding payment on overdue Ukraine invoices which is the only way we can explain the unprecedented speed with which the IMF has managed to cobble together a makeshift bailout package of up to $27 billion - the bulk of which will naturally go to Russia - which has just made Ukraine its latest vassal state.

There's a lot more including IMF statement at the link....

www.zerohedge.com...

Rainbows
Jane

reply to post by angelchemuel


So let me get this straight.

The un-elected head of the EU is going to borrow money from itself (though it is already bankrupt) to lend to the similarly bankrupt Ukrainians, which will then go to the un-elected leader of Ukraine some of which will be go straight to Russia, while the IMF/USA (again already bankrupt) is going to borrow money from China, to give to same said un-elected government, which will once again go straight to Russia to pay the gas bill?

reply to post by khimbar


Glad I don't have access to funds like that to pay my gas bill!



Rainbows
Jane

And here it is.....it's getting closer..

Russia To Create Own National Payment System In "Bid To Reduce Dependence On The West"

The more the West attempts to "isolate" Russia and pushes it away from its "core values" and of course the US Dollar, the more Russia will seek the safety of a non-dollar based system. We have previously described how Putin has been scrambling to enmesh Russia in tight bilateral commodity-based trade with both China and India, and now it is Russia's turn to announce it would seek its own "national payment settlement system" following last week's surprising and unmandated service halts by both Visa and MasterCard, which as Vladimir Putin said earlier today, will be a "bid to reduce economic dependence on the West."

Putin observed, cited by AFP, that Russia is aggressively looking to trim its dependence on the west for payment settlement: "In countries such as Japan and China these systems work, and work very well," Putin told lawmakers in televised remarks.

"Initially, they started out solely as national systems limited to their own markets, their own territory, their own population but they are becoming more popular right now... Why should we not do it? We should definitely do it and we will do it," he said, noting that Russia's Central Bank and the government have been looking into the matter.

www.zerohedge.com...

Rainbows
Jane

angelchemuel

Rainbows
Jane

Oh that is gold.
Second

angelchemuel:

Russia will seek the safety of a non-dollar based system.

There's a lot to read between the lines regarding the sanctions being imposed on Russia. One can see in a speculative way why the West is making sanctions, it isn't because of Crimea or Ukraine, but because of Russia seeking economic and financial independence from the West, and more specifically America and the American petrodollar.

Obviously, this has been on the cards for a number of years, this is not an issue that has just arisen due to the Crimea cisis. The West was always going to play the sanctions card to try to slow Russia down, but needed the right crisis to legally impose the sanctions...the Crimea was not it, but the West has gone ahead and used it.

The problem for Western economies, and for the American economy specifically, is that Russia's economic and financial growth will influence other countries seeking a similar economic and financial independence. Russia will draw adequate investment to itself from investors who may have lost fortunes through Western financial corruption. What with China and India both seemingly heading in the same direction as Russia, Western economies may once again start to contract unless they do business with and in the emerging Eastern markets.

America cannot compete against the emerging powerhouses of Russia, China, and India, nor with the Eastern-looking South American countries. Quietly in the background a global business war is raging, and Western economies look as though they are going to lose if they continue to try to prop up the American market. Intuitively, I cannot see a shining golden horizon for Western economies, as it has been reported that their growth out of the 2008 banking corruption debacle as significantly slowed, something is slowing it down, and that has got to be diverted business investment going East?

The following is very interesting...

www.testosteronepit.com...

So now it was Ulyukaev, an official heavy-weight, who said that Russia would work on increasing the volume of international trade denominated in national currencies, thus bypassing the dollar.

“Why should we have dollar contracts with China, India, Turkey?” he said. “Why do we need this? We must have contracts in national currencies. And this applies to energy and other spheres.” The focus would be on Russian oil and gas companies. “They must be braver in signing contracts in rubles and the currencies of partner-countries,” he said. “I think now there is an additional impetus to finally finish this job.”

Media blackout in the US

The warning, issued officially and publicly by a Cabinet member, to target the dollar, has been vigorously ignored by the mainstream media in the US. It’s a touchy subject here.

reply to post by elysiumfire


Hi elysium,
Yes, I would agree totally with your assessment there. Thank you again for writing it so clearly

Rainbows
Jane

Hi Angel,

Thank you for the kind words. It would seem that Obama is using the Crimea crisis to detract from the real crisis at hand, and that is the beginning of the end of the petrodollar.

Obviously, many Americans believe their country to be so wealthy and so relied upon for driving the world's economy that they wilfully ignore the warning signs that have been apparent for many years. Iraq was one them. Most Americans believe it was to free Iraqis from the clutches of Saddam, but what really happend was America consolidated its grip on Iraqi resources and shore up the petrodollar through a form of proxy ownership and business dealings with an American-friendly puppet regime. America will sell or control the sale of Iraqi oil, thus allowing America not to touch its own resources or reserves, which it can use, as it has recently, to spike the markets.

I cannot see how other countries, other than perhaps Western, can ignore the ambitions of the BRICS countries, nor ignore the profitable dividends in following suit. Instead of paying for one's energy needs with the petrodollar, and thus propping up the American economy and the level of the American lifestyle to the advantage of America, countries will settle their payments in their own national currencies. What a beautiful idea!!! Obviously, not for America which is going to lose the advantage the petrodollar gave it. The American economy will slowly begin to hyperinflate because of the unprecendented level of dollar printing the Fed has been doing over the years.

P.S. I think this would scupper the thinking that the so-called New World Order is taking place, because some countries are simply not playing ball. For the NWO...IT IS OVER!!!

reply to post by elysiumfire


Hi elysium,
Ahhh, a nice quiet corner to have a sensible discussion . I've just noticed you're only on other side of black stump to me!

Anyway, back to topic. Again I totally agree with you.

Can I share something with you? 15 years ago I was living in Wales, I had no internet and all that hoy palloy. I was teaching a seminar, and we were having our lunch break. As is my 'want', something came over me (not for the first time) and I said America was in for a huge fall, as has happened historically with other 'great nations', only this time, because the world had become a smaller place, unfortunately when they went down, they'll take the rest of us with them. I gave them 10-15 years.... Hey ho....

You know...what you have written would also explain/make sense of what I am beginning to think is really weird almost deterioration in the way Obama is presenting himself on the world stage. I'm no great fan of any politician, but unfortunately we are stuck with them, and should keep an eye on them. But what are your thoughts on how Obamamama is reacting. I don't mean I'm expecting him to come out declaring all out war, and the sanctions are to be expected.....it's the way he's coming over...like he's not sure what the hell is going on. It's rather like that video of that other American when he was making a press statement a week or so ago, and a few of us noticed he talked as though he really didn't believe the words he was speaking...all very odd.

Rainbows
Jane

angelchemuel:

...what I am beginning to think is really weird almost deterioration in the way Obama is presenting himself on the world stage.

Yeah, I've noticed that, too. He almost looks as though he is acting against his conscience, but then again, he sought out the presidency, but probably got a rude awakening?

Personally, and I have said this elsewhere, I believe he cannot wait to finish his term and simply get the hell out of office! I think he has had enough of it all? He looks haggard and withdrawn, but Michelle and the kids look quite radiant. I think when he took the office he discovered that he wasn't really the 'real' leader, that he would in fact be doing the PR only for the masters in the background? Their demands have taken a toll on him, because he will certainly be aware of the villification many people around the world feel towards him, not just in other countries, but in America also.

I kind of feel sorry for him in a way, but he sought out the devils's office.

Black Stump? Where's that? Never mind, I see where you are. Yes you are not too far away.

reply to post by elysiumfire


Good, I'm glad it's not just me that thinks that too. I swear to god his hair is almost like it's getting greyer by the day too...even my son spotted that watching him on the news this morning.
Thanks for posting elysium

Rainbows
Jane

Haha...right on cue...look what's just popped up on Zerohedge....

Guest Post: Economic Weakness Creates Military Weakness

It has happened over and over again throughout history. Nations, empires, and dynasties have made bad economic decisions which lead to their own destruction. The scenario usually goes something like this--one generation sacrifices and works hard to overcome global challenges and creates an economic powerhouse, which in turn allows it to project military power. Follow on generations take their elders work for granted and ignore and even denigrate the fruits of hard labor, they just want the benefits and start giving away the spoils for free. The next generation indulges itself in sloth and corruption and is overrun by the barbarians.

www.zerohedge.com...

Really interesting reading

Rainbows
Jane

PS...Oh, and there's this.......

German Industry Goes To See Uncle Putin

President Barak Obama went to Belgium – a trip planned long ago but repurposed since the Crimean debacle – to meet with European leaders, commemorate the 100th anniversary of World War I, draw iffy parallels between then and now, and announce that more sanctions against Russia were being concocted and would soon be forthcoming, even if Russia made no additional moves on the Ukraine. The EU and the US must not sit on their hands as Russia pursues "the old way of doing things," he said. "That message would be heard not just in Europe but in Asia and the Americas, in Africa and the Middle East."

Russian President Vladimir Putin might have had a field day listening to the speech. But he was busy. He was at his official residence in Novo-Ogaryovo near Moscow, meeting with German industry tycoons, including Joe Kaeser, CEO of multinational engineering conglomerate Siemens. It wasn’t an emergency response to the current sanctions spiral but had been planned during their last meeting in October.

Full article here....

www.zerohedge.com...

stumason
But what she is actually saying is that she would like to not impose sanctions if the situation doesn't escalate. She is quite clearly drawing a line in the sand there.

She SHOULD be taking an advantage of the situation, to remove US/English influence in Europe. It's the US/English influence that is the cause of the current economic crisis.

But of course, she wants to be careful as well, because the americans might just wake up from this stupid nationalistic dream of theirs and actually become reasonable, and their economy rise ...

But, unfortunately, others would reply ... yeah, and cows can fly ... most in the US, have become stupid and violent morons. They desecrated what their forefathers built with their sweat and blood ... and become the very enemy their forefathers fought. I doubt there is any changes ahead.

And the latest manoeuvre...

Sanctioned Russian Bank Shuts US Accounts To "Protect" Russian Clients

The sanctioned Russian bank - Bank Rossiya - is "taking measures to protect its Russian clients" from potentially unfair actions by US banks by shutting correspondence accounts in the US. Furthermore, the bank, which is oh so grateful for the support of Vladimir Putin (who opened a personal account with the bank soon after the sanctions), added it will meet all obligations and will not need additional support as will concentrate only on its Russian clients and work only in Rubles.

Copy of the bank's statement here...

www.zerohedge.com...

Rainbows
Jane