KTFA:

Samson:  The Russian Central confirms the need to de-peg the ruble exchange rate from the dollar and the euro

21st June, 2022

The Vice President of the Russian Central Bank, Alexei Zabotkin, stressed the need to de-peg the Russian ruble exchange rate from the dollar and the euro, given the unprecedented inflation they are experiencing.

We must realize that any ideas related to targeting the exchange rate, if implemented, will inevitably lead to a decrease in the effectiveness of the country's economic policy and a loss of its independence," Zabotkin said at a hearing in the State Duma, according to the Russia Today news channel, today, Monday. Middle East News.

He pointed out that the transition to targeting the exchange rate would mean abandoning the independent monetary policy in Russia in favor of the country to which the ruble exchange rate is linked, that is, the United States or the European Union.

And he called, not to link the ruble exchange rate to reserve currencies, such as the dollar and the euro, because inflation in Europe and the United States is high, reaching 8-10%, and not as it was during the last four decades, stressing that the ruble is relatively stable, and linking it to the dollar and the euro will mean the transmission of their inflation to Russia.   LINK

Cleitus:  Great call, Zabotkin! To depeg the rubble (IMO, I believe it has already depegged) from the dollar and euro and join the BRICS group of countries, is to secure your currency with gold. Another words gold-backed. So, why place this article here?  What did we say the dinar will be backed with? Is gold part of it?

Forty (40%) of the world's population and wealth are held by these five countries alone!  This does not include Iraq or the US, yet!  IMO...

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Samson:  Russia has two trump cards against the West

21st June, 2022

A Chinese expert said that wealth in energy and food resources are the main trump cards for Russia in the face of Western sanctions, which affected various economic sectors.

"The strongest cards in Russia's fight against Western sanctions are energy and food," said Xu Bolin, director of the Russian Economic Research Department at the Institute of Russia, Eastern Europe and Central Asia at the Chinese Academy of Social Sciences (AES).

The Chinese expert noted that Moscow is successfully dealing with Western restrictions imposed against Russia, and that the general indicators of the Russian economy now "do not suffer from any problems."

The expert added that at a time when gas prices in Europe rose significantly, Russia was able to increase the supply of blue fuel to the European Union by 30%, even under sanctions.

Bolin also noted that Moscow also has great opportunities to export grain, and that it will be leaders in exporting 50 million tons of grain this year, which corresponds to the level of previous years and also indicates that Russia is still carrying out its responsibilities in the international arena.  LINK

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Samson:  The European Union is studying gold as a new target for sanctions against Russia

21st June, 2022

Today, Tuesday, the European Union members are considering gold as a new target for sanctions against Russia, which are imposed by the West after Moscow launched a special military operation in Ukraine. 

And American media quoted a source in the European Union that “the European Union countries are studying gold as a new target for sanctions against Russia, which are imposed by the West after Moscow launched a special military operation in Ukraine,” noting that “European Union leaders will announce at the end of the next summit on June 23 and 24.” The current, that “work to impose sanctions on Russia is continuing, including strengthening their implementation and preventing circumvention.”

This came according to a document dated June 20, 2022 obtained by an American media, while a source indicated that “one of the following potential targets (of sanctions on Russia) is gold.

According to the source, the move aims to deprive Russia of a source of funds. Experts believe that the step, if taken, will not have an impact on Russia, as expectations indicate that the Russian balance of payments surplus may reach a historical level between 200 and 300 billion dollars this year.  LINK

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Samson:  Russian Finance proposes to form a stockpile of precious stones for packing needs

06/21/2022 17:40:40

The Russian Ministry of Finance has proposed forming a stockpile of precious metals and precious stones in a government fund, in order to meet the needs of filling, according to "Prime" agency in a report today, Tuesday.

The agency noted that the relevant draft amendments to the law on "Training and packaging in Russia" have been published in the database of regulatory legal procedures.

"Due to the lack of a mechanism in Russia's legislation on the use of precious metals and precious stones in the State Fund of Russia, a fund that includes reserves to meet the needs of the state in the field of maintaining defense capacity and economic and financial security," an explanatory note to the bill reads.

The bill also proposes the formation of stocks of precious metals and precious stones intended for needs within the framework of the State Fund of Russia.  LINK

Samson:  A European Country Imports Gold From Russia For The First Time Since The Invasion Of Ukraine

21st June, 2022

Switzerland imported gold from Russia for the first time since the invasion of Ukraine, in a new sign that the precious metals industry's attitude toward Russia in the country may decline.

This comes as more than 3 tons of gold were shipped to Switzerland from Russia in May, according to data from the Swiss Federal Customs Administration. It is the first shipment between the two countries since February

The shipments represented about 2% of gold imports to Switzerland last month. It may also represent a change in perceptions about Russian bullion, which became a taboo after the invasion. Most of the refineries swore not to accept new gold from Russia after the London Bullion Market Association removed the country’s manufacturers from its approved list, according to “Bloomberg” and seen by “Al Arabiya.net.”

While this was seen as a de facto ban on Russian gold ore from the London market, one of the largest in the world, the rules do not prohibit processing of Russian minerals by other refineries. Switzerland is home to four major gold refineries, which handle two-thirds of the world's gold.

Almost all of the gold was registered by customs as being for refining or other processing. The Big Four - MKS PAMP SA, Metalor Technologies SA, Argor-Heraeus SA and Valcambi SA - said they did not take the metal.

In March, at least two large gold refineries refused to re-melt Russian bullion even though market rules allowed them to do so. Others, such as Argor-Heraeus, have said that they will accept refined products in Russia before 2022, as long as there are documents to show that doing so will not bring financial benefit to a Russian person or entity.

Some buyers remain wary of Russian precious metals, including the pre-war minted bars that are still tradable in Western markets. LINK