The United States keeps burdening Russia with new sanctions, but does it in a very careful and cautious way, aiming to prevent any undesirable consequences. So, every restrictive measure is thoroughly thought over and undergoes numerous stages of approvals. From a great variety of options, Trump’s administration chooses the most effective ones.
Thus, the White House refused a proposal to impose sanction against the Russian debt. The administration took the Treasury’s advice to drop this idea and not make a rod for its own back. The US investors make hefty profits, trading Russian bonds. Investments of foreign investors in Russian bonds and the ones of the Russian citizens in securities of the western countries are equally beneficial. However, there is one outstanding difference: the interest rates. While Russia auctions bonds with the yield of 0-2%, it borrows at the interest of 4-6%. This difference in rates enables US investors to get profits of several billions per year. This figure is really impressive. Moreover, the Russian stocks are highly volatile currently due to sanctions, so the time is ripe for reaping more profits.
Conflicts should be put aside when it comes to profitable investments. So, it seems that some sanctions will not be imposed after all. However, it does not mean that there won’t be any sanctions at all. It depends on the further geopolitical developments.
