Comments by "AQuietNight" (@AQuietNight) on "Sean Foo" channel.

  1. The Japanese hold most of the Japanese debt so it is sort of kept in the family. What helps Japan is they still manage to run a trade surplus and the investments they made over the years still pay them nice dividends. So there is always money flowing back into the country which allows the party to continue.
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  2.  @LeeLee-BB  Who invaded Ukraine? NATO or Russia?
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  3.  @gelinrefira  "Sean literally just told you exactly how the Chinese government policies are saving their people and promoting prosperity for all." If you are not drowned like a rat from Chinese flood controls. Official policy is China has no floods, just occasional rare 100 year floods every 5 years or so.
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  4.  @mna7308  China isn't giving anyone anything. Once that shiny new railroad is completed, China hands the customer an invoice.
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  5. You do the math... Is China doing better by buying cheaper Russian oil than the business they are losing? Russia doesn't have much to lose as their economy revolves around oil and a few mineral exports and very little else. For countries that make things to earn money, the hurt happens there.
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  6. There will be several major oil fields coming on line which will increase supply. Oil, gas sales to Europe from Russia was easy money for Russia. All Russia had to do is get oil out of the ground and send it over to Europe. No additional handling required other than processing big, fat payments from Europe. Plus, just giving Russia a headache has pleasures all it's own. Oil sales to India is not that big and India has made it clear, they'll go with who ever has the lowest price. India falls in love with anyone who gives them a discount. Self insurance is a nice idea unless your oil tanker is in a harbor and it explodes, taking buildings and people with it and now you have billions of dollars in liabilities. You are right, we will have to see how this plays out. Russia has little to sell outside of wheat and oil. I am not sure Russia will flood the auto market with Ladas and what can Russia sell to China that China doesn't already make? Is India going to be snapping up Russia made computers? Basically Russia's top three exports are oil, gas and coal.
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  7. If people have to sell their gold holdings off, the price of gold drops. China can amass large holdings of gold, but if the country has to sell any quantity of it, they will drive down the price. The market can only absorb so much at one time.
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  8. Japan has been working on nuclear energy and has developed reactors that produce huge amounts of clean heat economically. Currently in the test stages but showing promise. The excess heat can be drawn off and used in industrial processes. If their ideas pan out, natural gas will drop in importance. The reactors are stable and they remain so even if cooling system and safety systems fail. One product countries like Russia, Saudi Arabia will slowly become obsolete. Electric cars will continue to reduce the need for oil. I am still not convinced reserve status will be all that important. Before the petro dollar there was just the U.S. dollar which was accepted around the world. The BRICS currency will be like the Euro, a blessing for some countries, a millstone around the neck of others. Weaker economies will be dragged down by a currency like the BRICS. Now, if China (or even the U.S.A.) goes gold backed, we have something to get excited about.
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  9. Japan has been quietly working on a new type of nuclear reactor that is both safe and can produce large amounts of ultra high temperature gas which can be used in industrial processes like steel making. Small units can be made which allows you to size fit to need and also offers an advantage of on site electrical generation. If this design pans out, nations would see a drop in need for both natural gas and oil. Initial tests indicate the design is sound and workable. Scrambling around trying to secure fuel is nice, but most people know the supplies of natural gas and oil will be running out in 100 years or so. The oil of the future will be innovative designs in power generation. Any boost China gains now will be lost as the fuel supplies run out. And that can start happening in a decade or two.
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  10.  @kevincheong1516  I have. Putin himself said there was no reason to have Ukraine independent of Russia. Back in 1920 Ukraine became independent and the Soviet Union/ Russia forced Ukraine back into the Soviet Union. Ukraine wanted to be free from Russia for centuries...that is the history.
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  11. China has been making gestures to the United States for a while now, it is not a one way street. Xi Jinping has also started some other reforms the west wanted to see take place. With exports being such a large part of the Chinese economy, he is doing what every other business does, try to make the customer happy.
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  12. What part of Texas?
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  13. Many countries are up to their wazoo in debt, it is not just the U.S. The world has been living off a credit card for the past few decades. Your eyes are on the U.S. but a collection of smaller countries in Asia and elsewhere did damage to the world economy back in the late 1990's.
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  14.  @Soulofsilverold  "they have no choice since they have lost their soverignity to NATO long ago." Did it ever occur to you maybe Europe just feels Russia is wrong? Just maybe? Sounds like you are buying into Russian propaganda.
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  15. Xi Jinping's economic polices can be erratic and undependable.
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  16.  @beetlejuice4827  True. India operates on a give me a discount and I'll be your friend basis. They make that clear.
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  17. Sanctions work by not buying product, not cutting off loans.
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  18. I am not sure why Sean thinks China is doing so well. China is treading water as well.
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  19. The U.S. had it's greatest economic growth when the dollar was not the reserve currency.
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  20. He attacked the Fed over CPI adjustments again on yesterday's podcast.
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  21. Governments can do a lifestyle audit. How do you live so well on the money you report? I believe the IRS does that now.
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  22.  @Esperalzi-Esfaral  The price cap can be just applied to Russian ships as Russia is in a state of war with Ukraine, therefore Russian ships come with a higher risk.
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  23.  @jman4good  Expensive to maintain and you must have the traffic for them to carry. Trains that run empty wear out equipment and run up the fuel bills,
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  24. I think being the world's reserve currency does as much damage as it does good. Before the dollar replaced the U.K. pound sterling, the U.S. had a growing and strong economy. It certainly can be said when the U.K. pound sterling was no longer the world's reserve currency the British certainly were not left hurting. Any pain they felt was self-inflicted. The Swiss franc is not a reserve currency but the Swiss do eat quite well. If the U.S. loses world reserve status, for the first time in ages the U.S. will have to clean up it's books. I do not see loss of status all that bad. Plus if oil was used to back any other currency that may not work for countries that already have oil. What advantage would it be to take oil backed Putin rubles when Saudi Arabia already has plenty of oil? To take payment from Russia, Saudi Arabia would have to accept the oil and then find a way to sell it so it can put the money in their central bank. The supposed next currency up for reserve status would be the Yuan but China will see it's economy in the manufacuring sector start crumbling as Chinese goods start becoming expensive. This will leave large parts of it's economy to shrink. A rise in unemployment will soon follow. The process has already started and would accelerate as the Yuan goes up in value. People might be saying, Yeah, China's new golden age... it certainly was short lived. It is possible we could have several different currency blocks. Feeding a growing population may give countries with a rice surplus more power currency wise than a bloc that has oil. If we have multiple currency blocs and the complications that go with it... the world may have to go back to a gold standard just to make the accounting easier.
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  25.  @nasha5292  Did Ukraine invade Russia or did Russia invade Ukraine? Did Ukraine threaten military action against Russia?
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  26.  @jamesdoe3713  "To keep the USD as the world reserve currancy." That is the latest hipster theory.
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  27. Guyana and China both found large oil reserves. These will counteract against Russia and Saudi Arabia. You could see oil prices drop. If Venezuela gets serious that will be additional oil on the market. You could see price wars as these countries try to unload oil. Saudi Arabia can cut back production all it wants, they will lose control and keep in mind, oil is all Saudi Arabia has going for it. Africa is aiming for development. China's interest in helping Africa isn't based on a love of African people, they are essentially helping Africa to form as a plantation to feed Chinese industry and mouths. Once African nations come online in a big way, they will compete directly with Chinese industries. China's future may change due to this and India's intent to be the production center of the world, effectively weakening the Chinese economy. If the value of the U.S. dollar drops, the U.S. can become the export machine it once was. The U.S. has both food and oil and is well positioned to face the future. You can spend endless hours guessing what the future would look like.
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  28. Russia's prime source of income is oil sales. Eventually they'll have to start selling oil to Europe again, they need the money, Most of their major oil sales now come with a deep discount. China has announced a huge reserve and this will lessen dependence on Russian oil. Another large reserve was found in South America and Guyana will probably not want to sit on it, they'll want some of that oil money. Russia has few fallback options, they'll have to start selling oil to Europe. It was easy money for them as all they had to do was pump the oil to Europe through pipelines.
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  29. BRICS was not intended to ask uncomfortable questions.
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  30. Gold backed currency is useful only if you can exchange it easily. Do you have to fly to China to get physical gold if you decide to redeem your gold backed Yuan currency?
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  31. India is turning the screws on China economically. The Yuan may not have a bright future. If the dollar drops in value, Chinese goods become more expensive.
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  32. Maintaining trade with China is more a political thing and not good economics. Looking at the trade deficits the U.S. is doing a massive capital transfer to China with the benefit only to a few industries while causing a slow decay with in the rest of the country. The only reason the economy still works is because of massive credit card usage. China needs the U.S. and Europe more than they need China. Both the U.S. and Europe can go back to making toasters. While they may not be as cheap, the earned money will remain and circulate within those countries. If you look at the whole picture, cheap items from China cost a fortune over the long term.
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  33. I have been saying for a year now Russia will eventually become a ward of China. India has already made it clear they will go with anyone who gives them a discount. Give us a 10% discount and we will be your friend. Things may look bad for Europe now but as new sources of oil are still being found many countries will be glad to take Euros. And China knows they need American and European buying power to keep their economy going. They will have to decide which is more important, markets to buy Chinese made goods or Russia's cheaper oil? You do not need a lot of oil if your economy is floundering.
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  34. If you sleep with India, you better keep one eye open.
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  35. The U.K. imports £63.6 billion from China, sells back to China £18.8 billion. Trade with China is a money loser for the U.K. The British have to make up that deficit from elsewhere.
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  36. You have a Communist trying to run a capitalistic economy. The head Communist has no economic experience. And the Chinese government is broke and in debt, same as the United States.
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  37. Russia and South Africa are economic small fry. Take away oil, Russia has no economy. South Africa doesn't have all that much to offer either. Saudi Arabia outside of oil is known for what? Their great beaches? One thing Sean doesn't take into account is a lot of Asian countries want more economic action, they don't want to be customers of China, they want China to be their customer. You are going to have a lot of economic friction in the years to come. India also intends to go after China and the Indians almost see this as a religious economic war. Getting an iPhone factory from China is a mighty blow. Plus Indians love who ever gives them a discount. Again, buying some gold is not a bad idea but I wonder if China has continuing economic problems due to their economy slowing down, would they start selling off their gold reserves to pay the bills there by depressing the price of gold? If they are selling off their U.S. Treasuries in large quantity, they must be taking a loss so they are losing money there.
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  38. China runs a trade surplus with all 3 countries. China would be throwing billions of dollars away not to mention the job loss that comes with it. On the other hand, that would be billions of dollars that remain in those countries that could be used to invest in industry and infrastructure.
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  39. China's economy is slowing down as well and you have increasing bankruptcy. China's bankruptcy laws do not allow debt to be cancelled, their laws just give the borrower a little breathing room but they may still have to pay their debt, like student loan holders in the U.S.
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  40. Russia is taking good care of China's export markets.
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  41. Cheap Chinese cars can cost Europe a fortune over the long term. A declining industrial base and the job loss must be made up elsewhere in the economy. The EU runs a large trade deficit with China every year. Money gone from their economies, never to return. This not a new situation, it has existed since international trade began. Continual trade deficits is not good for any country.
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  42. When the U.S. economy slows down many investors will buy stocks because the price of investment grade stocks drop a little. Bargain time. Bitcoin is useless but buying gold can work against you if a central bank decides to sell off gold. Gold itself is sort of useless unless coinage is put in general circulation or gold backed currency is created. The primary value of gold is in jewelry or electronics. If not used gold has no more value than Bitcoin. Therefore, the value of gold will act more like Bitcoin as the price of gold goes higher.
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  43. "China is adapting. innovating" More like they do not know what they are doing. Plus politics always trumps economic policy.
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  44. You would not get full value for it unless you bought it at a very low price.
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  45. The Russian Army embarrassed itself, you can't say war in Russia and the only thing Russia has to sell is oil. What should be asked is... What exactly has Putin accomplished in his vanity war?
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  46. Russia has gotten it's azz kicked by a country that is supposedly militarily inferior. China is finding it is paying quite the price to prop up Putin's ego.
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  47. India was always more friendly to the Soviet Union. But it doesn't matter, India goes where the money is.
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  48. They are protecting Ukraine more than the west is trying to destroy Russia.
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  49.  @Soulofsilverold  The European part of NATO has argued with the U.S.A. more than once so Europe doesn't always go along with the U.S. The history of Russia and Ukraine has been a bit messy more than once and I will agree there will be bad feelings for a long time to come. Putin has handled this very badly and he made a bad situation much worse. Internationally I think he has damaged relations and the only friends he has is the countries that need Russian oil. Even China has made comments that are expressing displeasure with Russia yet they were supposed to be friends without limits just a year ago.
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  50. Could it be so many countries are so deep in debt no one ends up caring and nothing happens? None of the major economies are in great shape and who knows, they may take the bonds and burn them up. Debt problem solved.
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