Fed Breakdown Inevitable: Putin at Valdai-2022
Under an outwardly peaceful veil, Vladimir Putin announced Russia's unwavering determination to destroy the US Federal Reserve's power. Those who did not see in the speech a "desire to raise rates" are looking in the wrong direction.
"Russia sees the formation of new international financial platforms as inevitable, including for international settlement purposes. Such platforms should be outside national jurisdictions, secure, depoliticised, automated and not dependent on any single control centre."
■ What Putin said at the Valdai Forum 2022 is an unprecedented statement. ● It is not a routine proposal to create equal and mutually beneficial trading systems, as it outwardly looks like. It is a slogan: the time has come to destroy the US Federal Reserve as the centre of world currency and international settlements. Russia will pursue this with the full force of its politico-military and economic capabilities. ● Notice Putin did not say: "Russia considers it necessary" or "Russia considers it expedient". He tightened the wording: "Russia considers it inevitable". That is to say bluntly: you are being challenged, and we will not turn away from this path.
■ From now on the Russian President has indeed burned all bridges. The West will somehow forgive him for his passages about LGBT, arrogance and hubris, but hints about the REAL destruction of the Fed and all its international institutions like the IMF and WB, as well as the role of the dollar in the world, will never be forgiven. It is the undermining of the status of the Fed since 1913 and the Bretton Woods (and Jamaican) system from 1944 and 1976. Putin is not just declaring check on the West. He is turning the table of pieces on the board. Putin has announced that Russia is joining a reformatting of the world where Europe is only the periphery of Eurasia and Russia is its centre. The most important thing, as usual, is between the lines and in scraps of phrases. ● To hope that such words could be followed by negotiations and compromises on any issues is naivety. Here, in the phrase "execute cannot be pardoned", a comma will be put after the word "execute" in the USA. It will not be decided at the White House or the Capitol, but on Wall Street and in the City. At that level, decisions cannot be reversed.