Posted Jul 29, 2014 by Martin Armstrong
US and EU are ready to impose new sanctions against Russia furthering the new cold war and raising the stakes for this turning hot. The U.S. and EU are looking to place tougher sanctions on Russia aimed at the finance, defense and energy sectors of the country’s economy. The EU, which is highly dependent on Russia’s energy supplies, has not yet gone as far as the US in hitting Russia’s $2 Trillion economy. Both seem intent upon creating war. Such sanctions CANNOT make Putin back-down for that would make him appear weak and lose control of the political system. The US and EU are clearly intent on making the situation far worse and we are rapidly crossing that line which marks the point of no return. Watch November – this could turn ugly.
Meanwhile, stock investors are pulling money out of Russia at an accelerating and very alarming pace. This will add even further pressure upon Putin to become far more aggressive and to blame the USA for everyone’s domestic losses.