from The Daily Bell:
Russia’s Problems Are Everyone’s Problems … “Cyprus with nukes.” That’s how someone, maybe me, referred to Russia in an IM conversation this morning. It’s not really a fair comparison; Russia is a vast country loaded with natural resources, not a tiny island banking haven. But it does express a very real fear: that the world is about to experience a major financial crisis in a country that seems to deal with its internal troubles by slicing off bits of neighboring countries. – Bloomberg
Dominant Social Theme: Russia is imploding and the price of oil is the culprit.
Free-Market Analysis: Bloomberg was in full cry last night regarding a failing Russian economy. We’ve never seen anything like it on Bloomberg: The front page of the website carried a box on the top left hand corner filled with blaring stories. It is this latter editorial that we are focused on in this analysis (View: Russia’s Problems Are Everyone’s Problems). And this is surely a meme, a sub-dominant social theme of sorts. It has exploded in the past six months. It is difficult to avoid the conclusion that Vladimir Putin himself has annoyed top men in the Western banking system and that the ruble is suffering as a result. We wrote about this on Sunday, commenting on points made regarding Russia from interviewee and top commodity trader Jim Rogers. Perceptively, he noted that the ruble’s fall was linked to the price of oil, which was also falling. He stated that these twin events were likely being engineered by the West, something we’ve also suggested.
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