Last Sunday I warned in a blog post that the Ukraine situation would heat up after the Olympics as Vladimir Putin would not wish to draw attention away from his beloved event as he did during the Beijing Olympics by maneuvering against Georgia. Right on cue the Russians moved against the Crimea in an effort to protect its geographic and strategic interests. The Crimea has been extremely important to the Russians for 300 years as the tsars desired a warm-water port to allow Russian commerce and imperial designs to proceed even when the Northern waters were frozen during the winter months. The Russians will defend their interests just like any other world power and it is in their immediate backyard. The Europeans and U.S. can threaten sanctions and other such nonsense but as Churchill noted long ago, “I cannot forecast to you the action of Russia. It is a riddle, wrapped in a mystery, inside an enigma; but perhaps there is a key. That key is Russian national interest.” (October 1939)
Posts Tagged ‘fear’
Notes From Underground: Europe has AUSTERITY and POLITICAL REPRESSION; The U.S., FINANCIAL REPRESSION
November 21, 2011****WARNING: TRADING IN HOLIDAY THINNED MARKETS DURING TURBULENT TIMES CAN BE DANGEROUS TO YOUR WEALTH****
Today’s 2-YEAR NOTE auction in the U.S. received a 4.07 bid to cover ratio, the highest in records dating back to 1992. The rate NOTE BUYERS received was a meager 28 basis points. (Yes, thank you sir, may I have another?) There are those on the FED who are concerned that inflation is a threat and feel that the FED is too easy to meet its stable price mandate. The question becomes: Which financial geniuses are purchasing a TAXABLE INSTRUMENT AT A LOWER RETURN THAN THE INFLATION RATE?