Russia Dumped 26 Billion in US Treasury Bonds

Just in case it hasn't been figured out yet despite four different posters stating it: there was no affect on the market because the dumped bonds were purchased. Without delay. This means there is no need for speculators to worry because there is still plenty of demand for the USD. If speculators aren't worried, then the general public isn't worried, hence no effect on the market.

They have no replacement. Well they coudl try the Euro. BRICS was trying to come up with something but, they can not get along with each other long enough to agree on anything. They literaly have never managed to do nothing beyond argue with each outer. Russia will continue to use the dollar for most of it oil exports because they have no other options. It is just as simple as that. Nor does look like anybody beyond the EU is even close to offering one. Through the entire Crimea crisis Russia has been putting bans on buying dollars becuase nobody in Russia has any faith in any other currency in particular their own.

originally posted by: TDawgRex

originally posted by: rickymouse
The only reason it did not effect the market is that people haven't been informed of what has transpired. This thing is going to backfire on the US shortly. Kiss your portfolio goodbye.

Then again, you could gamble on cashing out now, and holding the money and then buying again after everything crashes. Take a page out of the George Soros playbook so to speak. But that takes patience and from I see, everybody, not just Americans, lack patience these days. It's even effected the Chinese. The masters of patience.

Yup, I have a big problem with patience and I know it... I really have tried to slow down in the past, smoking mj slows me down a bit but still not enough... I really am not sure why I can't just wait. I'm just impulsive...

EDIT: But on topic of course the markets are manipulated! LOL This is not really any surprise to me. In cryptoland we call them "pump ndumps...

Seems the only effect this dump had was making Russia more independent of the dollar. Obviously there's a demand and they didn't float around for long on the market, so the U.S. bonds still held their value. (Thus the quick and almost seamless recovery.) But like some of the other people reading this, I wonder what the story with Belgium is? (EU pulling some strings on the market? That's where their headquarters is located.)

originally posted by: 13th Zodiac
Russia has recently dumped 26 Billion dollars of US Treasury Bonds in favor of gold. www.zerohedge.com...

This coupled with yesterdays news, that China and Russia dumped the US Petro Dollar for internal trading, also signing a multibillion dollar gas pipeline and furthering joint Secuirty Agreements. www.abovetopsecret.com...

This news should have been devastating for the US economy and markets.Yet somehow it has only dipped and recovered.Between 12am and 2pm, the Dow fell sharply only to recover.This is quiet strange, as much smaller events have seen markets fall for days on end.There appears to be no obvious reason for it to rally.No great positive economic news to cause such a rally.The mainstream media certainly kept a lid on things until the markets closed.Outlets such as USATODAY falsely claimed the pipeline deal fell through.Only after market close, mainstream media slowly begain to release the truth.The market reaction today should be more telling. Maybe/maybe not, the question is why?

Then there is this mysterious US Treasury Bond consumption by Belgium.Billions of Dollars worth are either being bought, laundered or pushed on/in/through the Nation.This is nearly the Nation's full Annual GDP. There does appear to be some form of market manipulation at present. www.zerohedge.com...

I am sure many will claim America is strong and Russia and China are weak.You may be right or wrong, I'm not interested or saying anything to the contary.This thread is not about anyones opinon. What I am interested in is getting to the bottom of the market rise after the dip.What was the economic data behind it ? Anyone ?

Drop in the bucket .. need a whole bucket worth to make a difference ..

a reply to: junglimogli

True, it isn't that much really considering the $85 Billion QE / each month the FED bought for a couple of years (just basicly buying bad loans?) which is now lowered to about €45 billion/each month I believe..

No wonder the US is doing ''good'', since all this new debt is not added to the debt of the USA, just of some private bank.. (4 trillion+ now in a few years).

From what I'm reading here, the general consensus seems to be no big deal, business as usual. Well sure, that's true, a lot of money moves around everyday. But I think the really important matter here is Incremental financial decay of the US. this incremental finanacial collapse is increasing exponentially. China doesn't want treasury bonds anymore either. Well sure, they still make all our crap though. Corporations are like international vapors, that float around, do whatever they want, and are unaccountable. Its the governments that buy the bonds, not the corporations. TPTB are running this charade that governments, corporations, and banks are not one in the same. But in reality, these entities operate as one. A bird with two heads. A beast with seven heads.

All we need is one big, staged terrorist event to really push us over the edge at this point

originally posted by: 13th Zodiac
Russia has recently dumped 26 Billion dollars of US Treasury Bonds in favor of gold. www.zerohedge.com...

This coupled with yesterdays news, that China and Russia dumped the US Petro Dollar for internal trading, also signing a multibillion dollar gas pipeline and furthering joint Secuirty Agreements. www.abovetopsecret.com...

This news should have been devastating for the US economy and markets.Yet somehow it has only dipped and recovered.Between 12am and 2pm, the Dow fell sharply only to recover.This is quiet strange, as much smaller events have seen markets fall for days on end.There appears to be no obvious reason for it to rally.No great positive economic news to cause such a rally.The mainstream media certainly kept a lid on things until the markets closed.Outlets such as USATODAY falsely claimed the pipeline deal fell through.Only after market close, mainstream media slowly begain to release the truth.The market reaction today should be more telling. Maybe/maybe not, the question is why?

Then there is this mysterious US Treasury Bond consumption by Belgium.Billions of Dollars worth are either being bought, laundered or pushed on/in/through the Nation.This is nearly the Nation's full Annual GDP. There does appear to be some form of market manipulation at present. www.zerohedge.com...

I am sure many will claim America is strong and Russia and China are weak.You may be right or wrong, I'm not interested or saying anything to the contary.This thread is not about anyones opinon. What I am interested in is getting to the bottom of the market rise after the dip.What was the economic data behind it ? Anyone ?

This is mere pennies relatively speaking. I mean, china is in the trillions now. This also means that Russia still holds 74 billion in treasury notes.

www.treasury.gov...

I suppose if the government, or anyone really, could control the biggest players in the market, theoretically they could prevent a decline from something like this. It would probably take some effort though, if it could be accomplished at all. Of course we know there is a link between an organization like the FED and Wall Street, so I wouldn't say it was impossible. Perhaps many big players could absorb any sales and prevent a decline. This is just theoretically, not saying this is even remotely what occurred.

But why would they do this? Granted that some major banks did receive massive bailouts...And some investors keep an eye on what others are doing in some instances. I think it seems at least a bit strange, because as was said, smaller things than this have caused bigger fluctuations.

Unless nobody is worried. But considering the scale of this, and potential outcome, I cannot imagine why there wouldn't be some panic in the market.

originally posted by: JiggyPotamus
I suppose if the government, or anyone really, could control the biggest players in the market, theoretically they could prevent a decline from something like this. It would probably take some effort though, if it could be accomplished at all. Of course we know there is a link between an organization like the FED and Wall Street, so I wouldn't say it was impossible. Perhaps many big players could absorb any sales and prevent a decline. This is just theoretically, not saying this is even remotely what occurred.

But why would they do this? Granted that some major banks did receive massive bailouts...And some investors keep an eye on what others are doing in some instances. I think it seems at least a bit strange, because as was said, smaller things than this have caused bigger fluctuations.

Unless nobody is worried. But considering the scale of this, and potential outcome, I cannot imagine why there wouldn't be some panic in the market.

Correct and nicely said.What absolutely stumps me.Is people defending the American Market by claiming trillions in debt is a positive.Say what? It's not credit, it is debt. Stockholm syndrome, should now be called Washington Syndrome.

a reply to: 13th Zodiac

I've not trusted the market data for quite some time as its quite obvious
that there are checks in place to stop downturns! I don't know how its
accomplished but I do realize it is there! I site the constant manipulation
of commodities! So if this can be done with commodities then why should
we trust any data coming out of any of these places! Then we have the
so called benign high frequency traders! Could these be what has stopped
our little downturn from becoming a crash? I don't know because no one
does! This is what makes this manipulation so ingenious because if none
know how it works then none can say how it's manipulated, corrupted or
unfair! The truth is nothing is fair or equal and I doubt we will ever see
the market crash unless those behind the scenes let it!

Sweet I hope someone takes America over soon so they can stop screwing up the rest of the world

USD is backed by the US Department of Defense. Make no mistake. In todays world it is worth its weight in Platinum.

They did not dump the petrodollar. Gas and oil is still traded in dollars. What they did was settle trade in their own currencies instead of using the dollar. Thats a difference. Also 26 billion is not much considering the size of the ForEx market.

a reply to: 13th Zodiac

Do you guys really think Russia dumping 26 billion in bonds should have an effect on the market? Considering the length of that deal with China it isn't all that massive. Russia only has oil to sell and who else did you think they were going to sell it to?

I am not an expert in global finance, but even I see this as no big deal.

a reply to: 13th Zodiac The recent wars the US has been involved in were failed attempts to preempt rising prices of oil (and as a result, food, transportation, heating, cooling, plastics , and increases in inflation) when Saddam Hussein threatened to jettison his oils ties to the dollar in favor of the Euro.

This one move which he petitioned for, guaranteed we would go to war with Iraq no matter what and try to seize control of market share and oil and natural gas. Same with Afghanistan.

What does this have to do with your question is simple--the markets are not stabilized more so than in stasis and this is probably by executive order under penalty of Gitmo or worse (treason) if anyone leaks that no one is allowed to sell after the dumping. To prevent panic, this would have been done and only a modest selling off will be allowed to occur. It is to save the US markets which by extension also saves the Asian and European stock markets.

Russia hoped to create a panic that would then result in massive dumping and chaos as all the Western economies crashed. by mutual agreement, no countries are going to allow the selling of certain commodities in large numbers or the selling of stock associated with those commodities and no one is going to talk about it in an official capacity. It is not hard to figure out or why or how this was done.

If the bonds have been bought up quickly, I am betting the buyer could be traced back to the US government as the purchaser --we are creating our own markets and credibility, not so much to deceive the market as to prevent a panic....

a reply to: pauljs75 Ahhhh to be a fly on the wall--if the bonds were immediately bought how lucky for us--I am betting the buyer when traced was our own government, it is like floating a loan to yourself so that the banks and your creditors do not know that you really are broke. Governments can do stuff like that --ordinary people cannot.