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Eating their own…

Russia, Indonesia, Ukraine Shut Exchanges as Stock Rout Worsens

The Russian market has total capitalization of around US$1Trillion…to shut it down means that much capital of owners is taken out of circulation. The Russian state, therefore, has essentially performed the largest expropriation in world history.

Indonesia, and Ukraine followed their lead.

This is fairly silly since it only does all at once what normal trading was doing anyway – imposing massive paper losses on the owners of capital. But, the act itself shows precisely what is necessary: not increased liquidity, but removal of existing liquidity.

Capitalism is eating itself

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