I read somewhere that USA government are worry because if oil prices grown up (see last JP Morgan report: expected prices are near $200, if I’m not wrong).
So: if Russia sell oil with discount to China/India, but the price has increased 40% it’s possible Russia doesn’t be hurt. But, in the other side, western economies should buy oil 40% expensive ;-)
The same for gas, cereals, platinum and lot of commodities.
The difference between Italian and Russian economy is obvious: the second is rich on resources and could be more independent/autarkic than first. Even more, public debt of Russian is between 20-30% and Italian I think should be between 120-140%.
USA has several strong points, because is another big country with lots of resources (specially gas, petrol…). But what about European allies?? They are weak and will suffer a lot… I guess they will suffer more than Russia.
But for Capitalism there is a common “nuclear button”, the debt burble. If this economic crisis make it explode: bye bye the happy years ;-)
Price inflation is happening in all sectors in the USA. That’s just transferring wealth to the corporations, which have seen record profits, even with supply pipeline disruptions of the pandemic. So, gas prices being pumped up because of whatever crisis is nothing new.
There’s no way any amount of inflation is going to counter the sanctions, though. Russia will sit on the sidelines and watch the hogs feast. And then sell whatever amount of oil it’s permitted to. Remember what happened when they tried to play chicken with the Saudis.
I read somewhere that USA government are worry because if oil prices grown up (see last JP Morgan report: expected prices are near $200, if I’m not wrong).
So: if Russia sell oil with discount to China/India, but the price has increased 40% it’s possible Russia doesn’t be hurt. But, in the other side, western economies should buy oil 40% expensive ;-)
The same for gas, cereals, platinum and lot of commodities.
The difference between Italian and Russian economy is obvious: the second is rich on resources and could be more independent/autarkic than first. Even more, public debt of Russian is between 20-30% and Italian I think should be between 120-140%.
USA has several strong points, because is another big country with lots of resources (specially gas, petrol…). But what about European allies?? They are weak and will suffer a lot… I guess they will suffer more than Russia.
But for Capitalism there is a common “nuclear button”, the debt burble. If this economic crisis make it explode: bye bye the happy years ;-)
Price inflation is happening in all sectors in the USA. That’s just transferring wealth to the corporations, which have seen record profits, even with supply pipeline disruptions of the pandemic. So, gas prices being pumped up because of whatever crisis is nothing new.
There’s no way any amount of inflation is going to counter the sanctions, though. Russia will sit on the sidelines and watch the hogs feast. And then sell whatever amount of oil it’s permitted to. Remember what happened when they tried to play chicken with the Saudis.