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Just because something is expensive, doesn't mean that there's demand. If Europe starts paying Russia for gas in roubles, watch as the rouble falls back to eart
by phendrenad2 5y ago
Just because something is expensive, doesn't mean that there's demand. If Europe starts paying Russia for gas in roubles, watch as the rouble falls back to earth (as demand forces it to find its level).
- moralestapia 5y ago>Just because something is expensive, doesn't mean that there's demand. In this case, yes, this is a country currency not some niche token or whatever, this is a liquid asset.
- neilwilson 5y agoEurope is paying for gas in roubles. Which means they have to get roubles from somebody Russian. But since there is nothing that Russian can buy with Euros they are going to have to give a lot of Euros to get the roubles in the first place. Demand and supply will find a level but it will be the rouble that strengthens.
- twelve40 5y agofall back to earth? pretty sure more demand for rubles would only add pressure for it to go up, other things equal. TFA seems to hint as much: "It was unclear whether President Vladimir Putin's demand for gas payments in roubles had also supported the currency"