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Sputnik — Biden Says US Sanctions Against Nord Stream 2 Would Be ‘Counterproductive’

Summary:
Reading between the lines, Germany (the people that run the place) said no, and Angela Merkel would not backdown in the face of threats. This was not a gift to Russia by Biden, as some make it out to be. It's about knowing when to hold 'em and when to fold 'em.Germany is pivotal in the global system as presently configured. The US was trying desperately to prevent Germany from swinging east through energy dependence. But the threat of sanctions against a top-level ally just resulted in a greater potential for that to unfold. There was no good solution.Natural gas just plays too big a role in Germany's longterm plan to decarbonize, and German business depends on an inexpensive and reliable source. For Germany it is a matter of national security since sourcing is vital to an economy

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Reading between the lines, Germany (the people that run the place) said no, and Angela Merkel would not backdown in the face of threats. This was not a gift to Russia by Biden, as some make it out to be. It's about knowing when to hold 'em and when to fold 'em.

Germany is pivotal in the global system as presently configured. The US was trying desperately to prevent Germany from swinging east through energy dependence. But the threat of sanctions against a top-level ally just resulted in a greater potential for that to unfold. There was no good solution.

Natural gas just plays too big a role in Germany's longterm plan to decarbonize, and German business depends on an inexpensive and reliable source. For Germany it is a matter of national security since sourcing is vital to an economy dependent on imported energy. There was no alternative if they wanted to maintain their dominance of the region economically.
Mike Norman
Mike Norman is an economist and veteran trader whose career has spanned over 30 years on Wall Street. He is a former member and trader on the CME, NYMEX, COMEX and NYFE and he managed money for one of the largest hedge funds and ran a prop trading desk for Credit Suisse.

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