Russia bulls fuel biggest emerging market inflow

While some have being claiming and are relying on poor western mainstream news outlets and there propaganda agaisnt Russia's economy what they arent telling you is that Russia's market is the biggest emerging market inflow.

There attacks and claims how Russia's economy is failing or is about to collapse should be taken with grain of salt. As there display of opinions and alleged analysis have being pathetic.

Russia bulls fuel biggest emerging market inflow

Waning tension in Ukraine and bargain prices are helping make Russian stocks a favorite among emerging-market investors. Asset managers added $154 million to U.S.-based exchange-traded funds focused on Russian equities last week, the biggest inflow among developing-nation ETFs, even as the benchmark index slumped to a two-month low, data compiled by Bloomberg show.

Money is coming into Russia at the same time as traders pulled $1.2 billion from ETFs that invest across emerging markets in the five days ended Oct. 3.

This is major, as it states that the money is coming into Russia at the same time as traders pulled $1.2 billion from ETFs that invest across emerging markets.

Investors poured $608 million into Russian ETFs trading on U.S. exchanges in the past two months, the most since 2011. The benchmark Micex Index, which is quoted in rubles, gained 2.3 percent in August and September, far from the bear market that the dollar-denominated RTS Index entered last week for the second time in 2014.

Biggest news is that the Russia’s $2 trillion economy will expand further into the two years. So why are western news outlets claiming that its Russia economy is failing? and wont report the opposite.

Its mainly due because Europe's economy isn't doing well, food prices are once rising on the markets.

In my view i believe those sanctions that the west had placed on Russia had a opposite effect which is actually effecting Germany and its economy.

a reply to: Agent_USA_Supporter

The media in the UK is putting its back into dissing Russia. We had a tv programme called Hardtalk on yesterday where one of our political interviewers discussed the Russian finances with a Finn. This guy made no bones about the state of the Russian economy and said it was in pretty bad shape. (I caught it as I flipped channels) but seeing your post reminded me of the bit I listened to last night.

There is a campaign going on to distane Russia from the EU primarily by the USA which, seems to be threatened by the ever closer relations some EU countries have with Russia. Personally I think for security purposes we would all be better off were we to have a good relationship with Russia. However seeing the flood of money into the Russian markets makes considerable sense for the hostilities that are being dragged to her door.

I hope the EU will wake up and realise that we have a lot in common with Russia, including shared enemies and that Russia with her resources of talented people, assets and knowhow would be a wise and worthy ally and would make a very bad enemy - who wants the cold war again - it only fed the military budget and made everyone paranoid?

a reply to: Shiloh7

"who wants the cold war again - it only fed the military budget and made everyone paranoid? " But that is exactly what TPTB want. They have been mad at Russia and in particular Putin every since he took office and cancelled all our rip off contracts that were signed when Yeltsin was President.

Those contracts made Russia have to pay others to pump Russia's gas and oil,then they sold that same gas and oil for a profit after charging Russia for the privilege of letting them pump it out. Russia was only getting 20 cents for every dollar that was pumped and going broke. People were in the streets of Moscow starving and begging for food. Putin came to power and looked over those contracts and started cancelling them. Over 200 of them. They have never forgiven him for that. But with the new income flowing in,Russia has paid back billions they owed others and continue to do so. If I was Russia I would tell them to piss up a rope for the money.But thats me.

a reply to: Shiloh7

I hope the EU wakes up but sadly anti Russian racism is very very very very deeply when into European culture long before America even existed.

Frankly I hope America wakes up. We're finally getting to a point where there are signs of hope for a global utopia and the American elite are not cool with it. They want the NWO on their terms. It's looking like 1% of 5% of the world population can't just own the rest anymore.

a reply to: tavi45

Completely agree with you. I do think that in the UK UKIP's showing at the polls has the elite % worrying considerably because Farage has other ideas and knows the power of a broker. I am wondering if the elite and their sycophants have not become so completely up themselves and removed from the public mood that UKIP might well surprise them and remove the two lesser parties off the map completely. Russia will be watching this new trend in politics in the UK and must know that cameron's days are numbered and we may well see the UK tying links to Russia if Farage gets to be a figure with clout.

I was glad to get to the bottom of why the USA hates Putin so much from DIMITHAO's illuminating post. Exposing what isn't discussed on the tv or news helps to understand why diplomatic ties are strained - as usual a few Western governments making profit over fairness.

You are always going to find people who are willing to take a risk on stocks that have crashed with idea that they are so low they have to go up. The crash of the Russian stock market and the crash of the Ruble has made Russian stocks dirt cheap. Just like people bought up K-Mart stock for pennies on the dollar after it declared chapter 11. Those people made some money, not a lot but, some. So it can be worth the risk and the risk is small as your buying pennier on the dollar. The article is pretty about vultures coming in to pick the bones. How some of you see that as a positive is beyong me.

As Russia enters a recession the real threat is Putin simply nationlising more companies. The Kremlin seems to have two factions, one that wants a free market and growing Russina economy and the other lead by Putin who see the crashing economy as a way to bring more state control of Russias economy. While that would consolidate his power it would be terrible for your average Russian.

a reply to: MrSpad

As Russia enters a recession
Nice claim.
Are these the headlines from countries that dont like Russian government?

London stocks slide to lowest in a year as global markets are plunged into red by fears over world economy

London (AFP) - Heightened anxiety that the eurozone could slump into another recession sent European equities reeling Friday to levels unseen for a year.



Source

Putin knows and the Russian Government that the west cant do anymore sanctions agaisnt Russia these sanctions only have the opposite effect and now its showing those effects of it.

Don't forget the majority of the countries were nervous of putting more sanctions agaisnt Russia why? they knew the risks but they had no choice and did it anyway.

originally posted by: Agent_USA_Supporter
a reply to: MrSpad

As Russia enters a recession
Nice claim.
Are these the headlines from countries that dont like Russian government?

London stocks slide to lowest in a year as global markets are plunged into red by fears over world economy

London (AFP) - Heightened anxiety that the eurozone could slump into another recession sent European equities reeling Friday to levels unseen for a year.



Source

Putin knows and the Russian Government that the west cant do anymore sanctions agaisnt Russia these sanctions only have the opposite effect and now its showing those effects of it.

Don't forget the majority of the countries were nervous of putting more sanctions agaisnt Russia why? they knew the risks but they had no choice and did it anyway.

Um the Russian themselves are talking about recession, the effects of santions and low oil prices have them worried. However santions are just making a bad situation worse. The Russian depend on oil and gas and that is about it. With Oil production up, and lots of new gas production coming online Russia is going to be in trouble even if santions were dropped today. Thus Putin is moving to have the state take over private industry. And we all know how well that works out.

a reply to: MrSpad

Um the Russian themselves are talking about recession, the effects of santions and low oil prices have them worried.

1.State the sources, if thats your opinion then well it can not be used as a fact, unless you were citing sources then your argument would make sense depending on the sources that is.

2.

the effects of santions and low oil prices have them worried

Wrong again.

a reply to: Agent_USA_Supporter

RT - April 2014 ‘Russia in recession’ – IMF

WN - Sept 2014 Russia nose-diving to recession

RT - Frb 2014 Sliding ruble to drag Russian economy into recession

PressTV - April 2014 - IMF cuts Russia growth outlook for 2014

Bloomberg - Sept 2014 Russian Recession Risk Seen at Record High Amid Sanctions


As you can see Russia has had economy issues going back to the beginning of this year.

Secondly you misquoted the article when you claimed -
"Biggest news is that the Russia’s $2 trillion economy will expand further into the two years. So why are western news outlets claiming that its Russia economy is failing? and wont report the opposite. "

This is what the article states -

Russia’s $2 trillion economy will expand 0.5 percent next year, the International Monetary Fund said on Oct. 1, cutting its previous growth forecast in half. That would represent the weakest expansion since a contraction in 2009.

When you are cutting the growth rate in half going down, they are far from a stable economy. Giving that Putin authorized the sale of bonds to raise 2-3 billion so it can be used to prop up the Ruble is something else you ignore.


Whats even worse is the fact you didn't bother to read the article I used in the other thread. Had you done that you would have seen "your" side of the story.

Your blind hatred is causing you to attack before you even know what the hell is going on. Secondly what you labeled as Propaganda comes from a source you and others have used before - ZeroHedge.

Are you suggesting a source you and others have quoted is no longer valid / propaganda because you don't agree with the information?

originally posted by: Agent_USA_Supporter
a reply to: MrSpad

Um the Russian themselves are talking about recession, the effects of santions and low oil prices have them worried.

1.State the sources, if thats your opinion then well it can not be used as a fact, unless you were citing sources then your argument would make sense depending on the sources that is.

2.

the effects of santions and low oil prices have them worried

Wrong again.

A source? How about anything coming out of Russia about how they plan on dealing with the recession and the debate about how to handle it. Here is a hint, when the Russians are debating how to deal with a recession then maybe you should stop pretending they are not rolling into to one. You are like the one of those people who were saying no Russians troops were in Ukraine at the same time Russia was saying all Russian troops had now been pulled back.

Does it not bother you that you defend the Russian position then they pull the rug out from under you over and over?

RT Business - Russian central bank spent at least 3.3 biollion propping up Ruble this week.

This week

The official ruble exchange rate against the dollar hit 40 for the first time in history, and 51 against the euro. The Russian Central Bank has spent between $3.3 billion and $4.2 billion propping up the faltering currency since the beginning of the week. Together, the euro-dollar basket has increased to 45.0911, far surpassing the 44.4 intervention threshold previously set. Every time the bank shifts the trading basket band by 5 kopecks, it spends $350 million to support the currency. The CBR spent $1.4 billion on Oct. 3 and 6 in attempts to stymie the ruble’s steep decline. The Russian Central Bank has $470 billion at its disposal to continue such interventions.

RT - Oct 2014 Putin rejects US ‘easy money’ stimulus in Russia, says reforms needed

"Domestic debt will increase, because it's at a record low level. But we'll proceed carefully,” Putin said. “We need to improve our growth not by means of monetary injections, but by structural reforms.”

This was Putin’s answer to a question on whether Russia is going to provide special support for the country’s financial markets at a time when access to foreign long-term borrowing is curtailed by sanctions.

The President outlined that Russia’s budget for the next three years will continue with a more prudent approach to debt.

"The federal budget of 2015 and of 2016-2017, which the government has presented to the State Duma, proposes a rather moderate deficit, just 0.5-0.6 percent of GDP, with the base price of crude oil set at $96 per barrel. These are stable basic parameters which allow strict compliance with all budget liabilities, including social ones," Putin said.

RT - Oct 2014 Russian PM eases citizenship rules to foreign investors

Prime Minister Dmitry Medvedev has signed a decree allowing Russian citizenship for some of foreign investors and entrepreneurs with simplified procedures, as capital outflow is accelerating.

In the first half of 2014 Russia saw $74.6 billion in net capital outflow, more than for the whole of 2013. In the second quarter, Russia lost $25.8 billion in net capital outflow, following a loss of $48.8 billion in the first three months of the year.

The amount of capital leaving the country intensified this year as a result of the Ukrainian crisis, especially after Western sanctions were imposed.

RT - OCT 2014 Putin says no capital controls in Russia, as currency hits record lows

If the ruble continues to weaken, the Central Bank may decide to restart currency interventions, pumping in billions of dollars to prop up the ruble.

The Central Bank is juggling both a weak currency and stubbornly-high inflation, which has reached a 3-year high. The weak ruble is driving it up, and it is expected to reach 7.5-8 percent this year, up from 6.5 percent in 2013, Putin said.

Inflation is likely a temporary

Higher import prices, especially for food, show Russia needs to better develop domestic production, according to the president.

"This is an extra incentive for us to begin developing our own agriculture," Putin said. Last year, Russia grew its agricultural sector 6.2 percent, reducing dependence on foreign suppliers.

RT - Pct 2014 - Russia’s second biggest lender reduces dollar loans

Talking about the bank’s financial state, Kostin said he expects Russia's Central Bank to help fund foreign exchange liabilities.

"So far, we are not experiencing [a shortage of foreign exchange liquidity]. Possibly, the population will switch from rubles to US dollars and this will also add foreign currency to the banking sector," the VTB head said.

RT - Sept 2014 Sanctions & weaker oil prices could cost Russia 4% of GDP – official


Yup.. No issues with the Russian economy folks... Move along.. nothing to see.

@ the OP -
Even your beloved RT news is stating you are wrong. You should call them up and let them know that they are wrong about the Russian economy.

RT - Sept 2014 - Ukraine turmoil to hit emerging economies as Russia braces for setback - EBRD

Russia under a sanction cloud

Although Russia and the West have exchanged tit-for-tat sanctions against each other over Ukraine, EU sanctions announced in September may be particularly painful, as they focused on Russia’s oil industry, the supporting column of its economy, EBRD said in a separate report.

A full quarter of budgetary revenues and half of Russia's exports are related to the oil industry.

The report said that the Russian economy would stagnate in 2014, after a slightly better than anticipated first half of the year. However, growth in 2015 has been predicted to contract by 0.2 per cent. In May, the bank forecast that the Russian economy would grow by 0.6 per cent in 2015.

In addition to affecting business confidence in Russia, the sanctions limit the access of companies and banks to international capital markets.

Meanwhile, Russian companies must make repayments of around $190 billion on foreign debt by the end of 2015. Unable to borrow outside of the country, interest rates may further increase, which could drag down consumer spending.

At the same time, Russia's own sanctions on food imports from European countries could push up inflation in Russia by one to two percentage points.

RT - Sept 2014 Russia to protect sanctioned companies - Medvedev


Do you get it now? Do you understand Putin is ignoring the advice and warnings of his advisors over the impact on their economy.

Apparently the only thing Putin is worried about is himself. While he has no issues getting food, water, heat etc the same cant be said of regular Russians who are going to bear the brunt of putins arrogance.

Putins position is based on his belief nothing is wrong economically with Russia and that the economy will continue to grow, even though the IMF, Russian Finance Minister and Russian business leaders are telling him its not going to happen. Russia needs an economic growth of about 1.9% in GDP in order for putins budget to work.

Do you believe the Russian economy is going to come in at 1.9% in 2015

Putins actions remind me of a disillusioned and out of touch leader looking at a military map while giving his Generals orders for certain units to take certain actions all the while his generals are telling him the units he is referring to do not exist.

So there you have it -

All RT news sources.
All stating the opposite of what you and putin claim.

You cant accuse me of being biased as I used RT as a source.
You cant accuse the information of being propaganda as it comes from RT.
You cant accuse me of misleading people as all the information I have used is coming from RT.

You can either accept the information or you can explain to us why RT and Putin advisors are wrong while you ignore the information.

Russia is falling into the toilet and pieces like this would have you believe the opposite. Classic propaganda. The sanctions are doing their job stifling Russian growth not bolstering it. Bad equals good does not apply unless you drink the Kool-Aid.

a reply to: Xcathdra

For the same person that has being posting Anti Russian threads for the past few weeks

Your blind hatred is causing you to attack before you even know what Texthell is going on. Secondly what you labeled as Propaganda comes from a source you and others have used before - ZeroHedge.

Nice lie there Xcathdra as always you seem to be desperate on attacking the messenger and even if that means if the message doesn't fit your agenda.

I am not surprised that you used RT and PressTV well you used them because they sited into your agenda. What was that again? oh thats right RT press tv are propaganda outlets according to you.

At least they arent whenever they try to fit your agenda.



Your blind hatred is causing you to attack before you even know what the hell is going on.
The usual kettle pot, the only hatred that i see is coming from your since you have being posting anti Russian threads and you have being heavily relaying on the news from Ukraine from.

Kiev post a news site which cant be even trusted.

causing you to attack before you even know what the hell is going on

-I have being following the conflict a lot longer then most, and i know the history of Ukraine unlike some of your blinded Americans whom are guided by the merer hatred of Russia.

Your fears of losing influence in the region.

propaganda because you don't agree with the information?

Don't let your own words bite you back, because i could say the same thing about your claims in the previous posts to just to be fair.

a reply to: Xcathdra

You cant accuse me of being biased as I used RT as a source.

For a person that claimed.

RT/Press TV are Propaganda

I have your quote in one of your threads that you replied.

You cant accuse the information of being propaganda as it comes from RT.

As long when it suits to your agenda while trying to counter someone's else research or provided information.

You cant accuse me of misleading people as all the information I have used is coming from RT.

You always had posted from WN and bloomberg but again you will post articles from RT or press TV whenever it fits your agenda.

All stating the opposite of what you and putin claim.

Nice claims what your trying to do here is quite simple.

a reply to: Agent_USA_Supporter

This thread is done...

You cant support your claim and your beloved RT wont support you either.

All you have left is deflection and personal attacks and look - instead of addressing the facts you instead ignored them, proving my point once again.

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