Thought for the day

"You never change things by fighting the existing reality. To change something, build a new model that makes the existing model obsolete." -- Buckminster Fuller

While the U.S. dollar has soared in value against a basket of worldwide fiat currencies, Russia’s ruble climbed 4.5% against the greenback this week. During the first week of September, Russia told the press China would pay for natural gas with rubles and yuan. Moreover, Switzerland’s imports of Russian gold reached a high not seen since April 2020.

The Fed has talked a big game lately. Many people (including me) assumed the Fed would fold a long time ago. There is a very good reason — the Fed will crush the economy and the US Treasury with higher interest rates.

In reality, the Fed is holding a losing hand and trying to bluff its way to victory.

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European Commission president Ursula von der Leyen on Wednesday touted that newly prepared EU sanctions will "make the Kremlin pay" for conducting its "sham" referendums in occupied Ukraine. Russian media the evening prior declared a sweep in favor of four regions joining the Russian Federation - including Donetsk, Luhansk, Kherson and Zaporizhzhia. President Putin is expected to announce their integration into Russia in a Friday speech.

President Biden's reckless draining of the US Strategic Petroleum Reserve is nothing more than an election-year gimmick akin to using a 'credit card' to buy votes, according to Tim Stewart, president of the US Oil and Gas Association.