US doesn’t want to see the end of Putin
These are the times gold bugs live for
United States: Housing data in line
United States: All eyes on the Fed
You always know that the war is lost when the central bank jacks up rates to incredible levels. 17% interest rates in a slowing economy do not make a policy credible, they make it incredible. I saw this for myself as a young economist in the Irish central bank, when we hiked rates in 1993 to defend the currency from attack. It made things worse.
The Russian central bank is losing.
The Russian central bank is fighting a fire that’s out of control. They’ve intervened, they’ve nearly doubled rates overnight and yet the rouble is still collapsing. Exchange controls are next.
No one wants a crisis in Russia. You don’t want a nuclear power backed into a corner. Just as things looked bleak for Russia, John Kerry has stepped in to try to steady the ship, suggesting sanctions could have been lifted months ago and could be lifted in days depending on what decisions the Kremlin takes.
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