Russia’s Hybrid War Against The United States: Which Economic Option Do You Want? A voluntary ‘soft landing’, or, an imposed ‘hard landing’? (Open letter from Russia to the United States.)

 

February 8, 2016:

Rotislav Ischenko, President of Centre for System Analysis and Forecasting (Kiev) currently living in Moscow, wrote an article entitled “Time Is Running Out For Pax Americana’s Apologists” which was published in the Oriental Review on November 11, 2015.(http://orientalreview.org/2015/11/11/time-is-running-out-for-pax-americanas-apologists/) Mr. Ischenko stated:

“The paradox of the current global crisis is that for the last five years, all relatively responsible and independent nations have made tremendous efforts to save the United States from the financial, economic, military, and political disaster that looms ahead. And this is all despite Washington’s equally systematic moves to destabilize the world order, rightly known as the Pax Americana.”

Mr. Ischenko states that “A crisis erupts within any system when there is a discrepancy between its internal structure and the sum total of available resources (that is, those resources will eventually prove inadequate for the system to function normally and in the usual way). And, that the system is faced with three options: reform, collapse, or through preservation. He states, as quoted above, that the United States has ignored for the last five years facing up to the fact that it no longer has the “financial, economic, military, and political” resources to be the world’s hegemon, and the “Russian-Chinese approach has made a point of offering Washington a compromise option that endorses the gradual, evolutionary erosion of American hegemony, plus the incremental reform of international financial, economic, military, and political relations on the basis of the existing system of international law.”

Mr. Ischenko concludes his open letter as follows: “But the US needs to think fast. Their resources are shrinking much faster than the authors of the plan for imperial preservation had expected. To their loss of control over the BRICS countries can be added the incipient, but still fairly rapid loss of control over EU policy as well as the onset of geopolitical maneuvering among the monarchies of the Middle East. The financial and economic entities created and set in motion by the BRICS nations are developing in accordance with their own logic, and Moscow and Beijing are not able to delay their development overlong while waiting for the US to suddenly discover a capacity to negotiate.

The point of no return will pass once and for all sometime in 2016, and America’s elite will no longer be able to choose between the provisions of compromise and collapse. The only thing that they will then be able to do is to slam the door loudly, trying to drag the rest of the world after them into the abyss.”

From December 13, 2013, the Accumulation/Distribution line for the SPDR Gold Trust Shares (GLD) on the NYSE has been advancing in a positive manner. The GLD (SPDR Gold Trust Shares) price has continued trending down along a trend line that goes back to October 1, 2012, and in late January 2016 broke through to the up-side.. Clearly, a divergence between price and accumulation. This divergence between strong accumulation and never-ending lower prices is un-explainable. All of this can be seen on the GLD price chart shown in the link: http://stockcharts.com/h-sc/ui?s=GLD&p=W&yr=3&mn=6&dy=0&id=p11244689691&a=444655238

Oriental Review published Grandmaster Putin’s Trap written by Dmitri Kalinichenko ( http://orientalreview.org/2014/12/25/grandmaster-putins-trap/ ) on December 25, 2014, and, which is, referenced in Rotislav Ischenko’s Time Is Running Out For Pax Americana’s Apologists. One year before the English translation date, the “smart money” began its accumulation. This group, with its superior intelligence gathering, was aware of what Russia and China were doing relative to selling their dollars received from trade for gold and were purchasing gold via the GLD ETF.

Grandmaster Putin’s Trap states:

“Thus, the Western world, built on the hegemony of the petrodollar, is in a catastrophic situation. In which it cannot survive without oil and gas supplies from Russia. And Russia is now ready to sell its oil and gas to the West only in exchange for physical gold! The twist of Putin’s game is that the mechanism for the sale of Russian energy to the West only for gold now works regardless of whether the West agrees to pay for Russian oil and gas with its artificially cheap gold, or not.

Because Russia, having a regular flow of dollars from the sale of oil and gas, in any case, will be able to convert them to gold with current gold prices, depressed by all means by the West. That is, at the price of gold, which had been artificially and meticulously lowered by the Fed and ESF many times, against artificially inflated purchasing power of the dollar through market manipulation.

Interesting fact: the suppression of gold prices by the special department of US Government – ESF (Exchange Stabilization Fund) – with the aim of stabilizing the dollar has been made into a law in the United States.

In the financial world it is accepted as a given that gold is an antidollar.

  • In 1971, US President Richard Nixon closed the ‘gold window’, ending the free exchange of dollars for gold, guaranteed by the US in 1944 at Bretton Woods.
  • In 2014, Russian President Vladimir Putin has reopened the ‘gold window’, without asking Washington’s permission.

Right now the West spends much of its efforts and resources to suppress the prices of gold and oil. Thereby, on the one hand to distort the existing economic reality in favor of the US dollar and on the other hand, to destroy the Russian economy, refusing to play the role of obedient vassal of the West.

Today assets such as gold and oil look proportionally weakened and excessively undervalued against the US dollar. It is a consequence of the enormous economic effort on the part of the West.

And now Putin sells Russian energy resources in exchange for these US dollars, artificially propped by the efforts of the West. With which he immediately buys gold, artificially devalued against the U.S. dollar by the efforts of the West itself!”

 Grandmaster Putin’s Trap summarizes as follows:

“The Western economic establishment can see and understand the essence of the situation. Leading Western economists are certainly aware of the severity of the predicament and hopelessness of the situation the Western world finds itself in, in Putin’s economic gold trap. After all, since the Bretton Woods agreements, we all know the Golden rule: “Who has more gold sets the rules.” But everyone in the West is silent about it. Silent because no one knows now how to get out of this situation.

If you explain to the Western public all the details of the looming economic disaster, the public will ask the supporters of a petrodollar world the most terrible questions, which will sound like this:

How long will the West be able to buy oil and gas from Russia in exchange for physical gold?

And what will happen to the US petrodollar after the West runs out of physical gold to pay for Russian oil, gas and uranium, as well as to pay for Chinese goods?

No one in the West today can answer these seemingly simple questions.

And this is called “Checkmate”, ladies and gentlemen. The game is over.

Henry Kissinger’s recent visit with President Putin appears to be round 1 of the Rockefeller interests to find a Russian-US compromise as a response to Ischenko’s Time Is Running Out For Pax Americana. It’s likely a non-starter since Kissinger’s approach for a New World Order was more a United States-Russian partnership with the United States as the senior partner and Russia a junior partner.

If so, we can look forward to a U.S. economic collapse in 2016.