🛢️🧵 Are You Seeing What Is Happening? 🧵🛢️
1/ The Russian central bank pegged 1 gram of gold to 5000 Rubles (currently, about 50 bucks).
At the same time, Putin made it so that Russian gas and oil can only be purchased in #Rubles.
2/ Meaning: Putin basically just pegged #Russian oil and gas to gold, using paper rubles as a proxy.
3/ Meaning: #Europe will need to either buy Rubles from #Putin in gold, in order to buy gas and oil, or they will have to buy directly in gold. This means, there will soon be a lot more demand for rubles.
4/ Currently, the forex rate for rubles to dollars is about 100:1.
With 5000 rubles now = 1 gram of gold, and oil being priced directly in gold - you're going to see a massive price disruption in these #FOREX markets, in terms of how much gold a dollar can actually still buy.
5/ Foreign countries holding our dollar debt notes in reserve will see less of a use for them and will want to start dumping them, in order to get something more stable, something which holds its value.
6/ Basically any currency pegged to gold now will fit the bill. This means those countries - countries like #Japan - will be dumping their dollar debt as fast as they can. They're NOT going to go down with the ship. And they will move into more stable currencies - like the Ruble.
7/ Which will have a deflationary effect on the Ruble, making it more valuable over time.
This means Putin will be able to re-peg the Ruble to Gold at whatever rate he wants, down the line. It's 5000 rubles today. Tomorrow, it might be 500. And then 100. And then 10.
8/ This also means all those excess dollars being dumped by foreign nations are about to come home and cause even worse hyperinflation than we're seeing.
9/ Is it any wonder the US is up on stage pleading with Europeans for regime change in Russia? There can potentially be masses of angry and starving people marching through the streets here at home, demanding answers.
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