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Wednesday, 23 August 13:29 (GMT -05:00)



Business And Politics News

Trump’s Victory Won’t Bring Russia Any Good, Expert Says


According to Steen Jacobsen, chief economist for Saxo Bank, Donald Trump’s victory doesn’t necessarily mean that the Russian economy is going to benefit from that.

 

 

 

 
Mr. Jacobsen assumes that those who say that Donald Trump’s victory is a nightmare for America are completely wrong. His victory showed an urgent necessity of radical changes in the USA. Today, the USA is living in a world with the lowest labor productivity, the highest social inequality, the lowest interest rates and inflation, and the most inflated stock market in history.
If the latest U.S. presidential election had been all about candidates' personalities, and politics, neither Donald Trump, nor Hillary Clinton would have managed to become even candidates.
 

 

Frankly speaking, it’s not Donald Trump who won the election, it’s just his opponent Hillary Clinton who lost it. The thing is that most Americans saw Hillary Clinton as the candidate who would have continued Obama’s policies if she had won the election. She was seen as the living picture of the U.S. political elite. That’s why the Americans voted for changes. That was the key reason why they let Donald Trump win. 

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You can definitely say that these are not the best changes possible. However, Mr. Jacobsen assumes that Trump’s victory may well bring positive changes since this unexpected event made it possible to change the situation with ultra-low interest rates, as well as the economic policy, and to improve the labor productivity and so on.  Now it seems to be the right time for economists and businessmen to take the lead and be in charge of the country instead of politicians. That’s why Mr. Jacobsen feels more optimistic than 13 years ago. Today’s situation is worse than back then, which is why there is only one way, and this way is to a better future. Simply put, the electorate decided to risk this time and choose a Republican instead of seeing another Democrat as the 45th U.S. President.
 
As for emerging economies, they are seeing tough times, the expert says. Given the existing uncertainty and volatility, investors are likely to reduce exposure and even quit risky investments since the U.S. Dollar now looks more reliable than Brazilian, or Russian assets. Consequently, the American national currency is likely going to get stronger in the near future.

On the other hand, the Dollar cannot stay strong for a long period. This means that in 2017, the USA will face the challenge associated with economic growth. Most likely, this is going to happen within the first 100 days of Mr. Trump’s presidency. The U.S. economy is on the verge of falling into recession. If that’s the case, the U.S. economy will definitely drag the entire global economy into the same recession as well since the USA is still number one economy in the world.
 

 

As for Russia, the USA may cancel the sanctions against Russia since Donald Trump treats Russia as a potential partner rather than an enemy. If that’s the case, this is going to definitely have positive impact on the Russian economy. Still, it’s too premature to say that Russia will benefit from Trump’s presidency.  In particular, Saxo Bank anticipates a stagnating Russian economy, with a still weak national currency around 58-60 rubles per dollar. 

 

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U.S. Energy Revolution Announced by Trump Threatens Russia

Donald Trump’s speech about starting a new energy revolution together is now discussed by the international community. It seems that the USA is going to start a new policy regarding commodities. The changes are expected to take place within the next 10 years.
 

 

Apparently, America’s new energy policy is aimed at dominating the global markets over time. That’s why Trump and his administration are now betting big on the local oil and gas production. The thing is, the sources of the so-called green energy are not capable of replacing hydrocarbons for now, which is why they still have to rely mostly on conventional energy carriers, especially as shale oil and gas production has been booming over the last few years.
Publication date: 18 August 06:50 AM

Trump’s Policies Make USA Lose Their Leading Position in the West

More and more international experts are concerned about Donald Trump’s policies. Some of them are concerned that because of him and his actions, the USA may lose their leading role in the Western world.  

 

 

According to Fareed Zakaria, political expert, CNN host and columnist for The Washington Post, Trump’s recent political decisions have made the European Union so united that Putin could never have dreamed of. Even though he is not going to make the Western world collapse, the USA may still lose the number-one status in the Western world.

Publication date: 31 July 12:09 PM

Does China Oust Russia From Central Asia?

As the situation in Afghanistan is getting worse, this is raising a lot of concerns in the international expert community. The Islamic terrorist threat may spread from there to Russian and China, they say.

 

 
According to a Norwegian observer for Dagbladet, there exist 5 countries in Central Asia that can be seen as potential threats to Russia and China. The thing is, the Islamic terrorism may well spread from those countries to their neighbors. They say that Afghanistan is now the biggest potential threat since the amount of armed conflicts in the country are getting more and more frequent and tough. As Taliban (the local terrorist organization) is said to be sponsored and suppled with arm and ammo, the USA seems to be putting the blame for this on Russia.
Publication date: 29 July 11:53 AM

China Invests Heavily In Africa

You probably know that has been investing in a number of countries of strategical importance. There is a lot of African countries on the list. According to several observers, Chinese banks have given such countries over 77 billion euros since 2000.

 

 
Not so long ago, there was a documentary broadcast on the national TV. The documentary is about a railway line in Kenya built by China Road and Bridge Corporation. It praises Chinese engineers and tells the viewer that the Chinese government is ready to support African countries on their way to economic growth.
Publication date: 24 July 11:46 PM

Chinese Economy Is Way Stronger Than Trump Thinks

The Chinese economy has got much stronger. It can now even be compared to the American one, which is viewed to be the world’s strongest economy. Washington clearly underestimates Beijing when saying that the China has been flourishing in the international markets exclusively at the expense of unfair trade.

 

 
Publication date: 23 July 10:48 AM

British Start Getting Disappointed with Brexit, Soros Says

Last year’s Brexit referendum has become a major challenge for the British government, George Soros says. He says that more and more British citizens start getting disappointed with the Brexit.

 

 
The world-famous financier and CEO of Soros Fund Management assumes that now the economic reality starts revealing the real state of affairs and debunk their delusions related to the happy living outside of the European Union. More than 12 months ago, the advocates of the Brexit scenario were trying to persuade people that this choice won’t affect people’s standards of living. Well, since then, the government has been trying to implement this promise at the expense of increasing the internal debt.
Publication date: 14 July 02:40 AM

Two Reasons Why Russia Keeps Losing Influence Over Post-Soviet States

After the USSR ceased to exist, the Kremlin was counting on retaining their influence in the region. However, the truth is that Russia as the major successor to the USSR has been losing its influence over the remaining post-soviet states. There are 2 reasons for that.

 

 
According to the related report recently published by private American analytic company Stratfor, there is a range of new tendencies making it difficult for Russia to stay influential in the post-soviet region, especially when it comes to Ukraine. The two major reasons for that are believed to be the declining role of the Russian language in the region as well as the existing threats of mass protest inside Russia itself.
Publication date: 06 July 01:42 PM

Business with China: New Reality after Blocking Yandex and VK in Ukraine

Ukrainian President Petr Poroshenko has expanded the list of sanctions against individuals and legal entities from Russia. To be more specific, Ukraine imposed sanctions on several Russian online companies, including Yandex, which is Russia’s biggest IT company, as well as some other popular web services like VK, Odnoklassniki, and Mail.ru Group. According to the presidential decree, Ukrainian Internet providers are forbidden to grant access to those blacklisted websites.

Publication date: 06 July 01:13 AM

China Doesn’t Need Russian Gas and Pipelines

Don’t you remember how a couple of years ago Gazprom cut natural gas supplies to Ukraine a number of times. By the way, Ukraine alone used to buy 55 billion cubic meters of natural gas back then. Now Ukraine buys no natural gas form Russia at all. Apparently, Moscow keeps on looking for other outlets. There has been a lot of buzz about China as a new big outlet for Russian natural gas and crude oil. It turns out that two new pipelines should have transferred to China some 38 billion cubic meters of natural gas every year. Yet, this was the maximum amount, and it couldn’t clearly make up for the export of natural gas to Ukraine.

Publication date: 05 July 11:15 AM

Mass Media on Forthcoming Trump-Putin Meeting

For those of you who don’t know, the first official meeting between Donald trump and Vladimir Putin has been confirmed. It’s planned for July 7, during the G20 summit in Hamburg, Germany.

 

 
Some observers say that the White House did the Kremlin a favor by being the first one confirming the official meeting during the G20 summit. This announcement helped the sided to get of the rumors around the situation and helped Moscow to save face in the Russian media space.
Publication date: 05 July 06:24 AM