The only problem will be that if you are earning rubles, you won't be able to afford the vodka in red square unless you are an oligarch.
You will have to work in Poland and commute at the weekends, or even better, work in Estonia earning even harder Euros.
Even in that case the true cost of the vodka would encompass a portion of the travel and lodging costs, currency exchange commissions, opportunity cost of time etc. so it would be pretty expensive anyway.
Putin will always follow the populist instinct in economic management which will debase the currency (especially in an utterly corrupt inefficient economy) while keeping the masses apparently at parity of historical purchasing power riding on a wave of inflation. When the masses figure it out that they and their savings have been depaupered, it will be too late and Putin will blame it on the americans and get himself "re-elected" in order to save Mother Russia from the capitalist thugs in the US.
You can't force the mercury in a thermometer down and pronounce the patient cured.
Uk inflation at 1%. Thats a full 0.3% below expected. If that was to transfer to Europe it would leave inflation at 0. Not that it was ever in doubt but deflation in the EU is certain. The ECB have really screw up.
Brent oil is now below $60. No sign of a bottom to the well in sight.
Ruble still falling despite 17% interest rates. Investors are happier to get 2.1% yeilds on US bonds rather than trust Putin to mind their money.
Its no wonder markets are nervous. These are uncertain times.
As for bkir in all this.. I think its time to scrape a few more euro together. The temptation is to buy now but sub 30 would be a bargain. Wait until mid January possibly? ? ?
similar to ireland in late 70s....its easy move to high rate economies its getting out thats hard...lol...
as for europe rates will go up next year.....how high is impossible to guess but as whats happening in Russia now , we are are in brutal unforgiving times, brace yourselves this isnt a spectator sport , it will effect every nation very shortly.
This is once in a lifetime volatility, dont rule out anything.Sky news said it right "Brutal" action
I knew you would appreciate this move allmoyne. You always said raising rates was the way to solve Europe's economic problems. Now, as you sip a vodka on Red Square you will be able to give us reports on how thats going for you. Still, as an example of action you have to hand it to putin. If only Draghi had his b..ls.
Before you go to live in Moscow, have you asked yourself what the interest rate on a mortgage is in Russia if the banks have to pay 17% just to attract deposits? And the consequent impact on inflation and erosion of citizen's propensity to consume? And the rates the Russian banks will have to pay on corporate bonds denominated in Dollars (who would lend them rubles?) and the impact on their capital structures and lending margins? And the further erosion of the currency's purchasing power abroad and importation of currency-driven inflation? And so on around the macroeconomic cycle?
No such thing as a free lunch. Somebody will end up having to pay the bill, and you can be sure it won't be Putin.
..not to worry about the oil and russia, how much debt does russia carry? i would bet Ireland has more debt than the russians...the russians control enormous natural resources, in the short term they may have the currency devalue somewhat, but in the long run the russians dont have 18trillion dollars in debt like the US....watching boi , the fall off was during the last hour, same with the dax, ftse; all markets reacted the same...
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