Europe: between East and West

September 8th, 2014

1406735406_8f00dddd52b21747664c9ba9d18bf5e2Europe has got into a very difficult situation amid economic stand-off between Russia and the West. The bottom line is that it is not even the sanctions war; it is the struggle between the US and Russia to maintain or end the unipolar domination. So the issue is mostly about geopolitics that stems from historical realities and traditions. As for the European Union, it has become sandwiched between the US hysteria and Russia’s cold calculation.The US is ready to go far with its sanctions on Russia holding a shield of Europe in front of it. In its turn, Russia hits the diluted vassal bloc of the US.

Thus, it is Europe that suffers first casualties in terms of money. The US and EU sanctions prevent Russia from raising funds in the foreign capital markets with a maturity longer than 90 days. Indeed, this is a real blow to the Russian banking system and corporate sector. However, China develops its banking sector by leaps and bounds loosening control over its financial system and offering credits to other countries and major companies. So it is an affair of few months for Russia’s businesses and banks to turn to China for credits. Of course, China may raise its borrowing costs, but this country could well be a substitute of the western debt market.

Speaking about the Russian retaliatory sanctions against the EU, US, Norway, Australia, and Canada, the matter is much worse here. While the US, Australia, and Canada had almost nothing to lose, the wave of farmers’ protests has engulfed the EU. The European Union may lose from 6 to 10 billion euros in 2014 due to Russia’s foods import ban. This is a considerable amount given that the most export losses fall on Germany as well as on the weakened southern (Spain, Italy) and eastern (Lithuania, Latvia, Estonia, Poland, Hungary, Czech Republic, and Slovakia) countries of the EU. Finland, the country that has growing political and economic weight, also takes a hard hit to its exports. 1384194275_76Thus, Finnish Prime Minister Alexander Stubb has been the most cautious on ramping up the sanctions measures. “We have good relations with Russia, and, of course, we use them to our benefit,” said Stubb adding that Finland would seek compensation from the EU because of the impact of sanctions.

The Baltic countries are also worth mentioning. Lithuania may incur huge losses due to Russian retaliatory sanctions. It supplied up to 60% of its total meat and dairy exports to Russia. It would take Lithuania years to find an alternative market with the same level of demand. While searching for such a market, its GDP would decrease 6% annually, thus pushing the country to the deepest recession. On top of all this, Lithuania is set to adopt the euro on January 1, 2015. This could result in a collapse of its economic system and disappointment in European integration, which would be quite undesirable for the EU. In case this scenario unfolds, Washington would be presented a bill for that. But that is quite unlikely. The maximum that may happen is the European Union rejection of sanctions against Russia because of the fear of losing the Russian market, not only its food segment, but also the automotive, manufacturing, textile sectors, etc.

In this context, statements of the Chinese government about not supporting the US and EU sanctions make attempts of the latter to indulge in the US policy absolutely vain. Curry favoring with the US is quite widespread in the EU, but it remains unclear what price Europe is ready to pay for the opportunity to ‘play in the same sandpit’ with the US. Perhaps the limit is somewhere out there as 10 billion euros the EU lost seems to be more than enough. Maybe someday Europe will throw up this game.

imagesThere are an increasing number of politicians and people in power opposed to confrontation with Russia in the European Union. That means the EU is likely to move away from the geopolitical conflict between Russia and US. However, it is as well unlikely that it will move closer to Russia. Neutral position is most possible. For example France, Spain and other EU member countries with no superpower ambitions have already paid too much for current pro-American policy of the EU.

Being under political and economic pressure by the US and Russia from both sides, the European Union could start more active work on de-escalation of the conflict in Ukraine. However, the Ukrainian government got used to listen to mostly American orders, not German gentle tone. So all Europe can do is mince words to explain the US why EU countries do not want to take part in the sanctions war with Russia.

Meanwhile, Russia has its own dialogue with Ukraine, the EU and US. That gives Russia some room for manoeuvre. The EU cannot afford such a luxury yet.

InstaForex TV celebrates 5th anniversary

August 29th, 2014

Five years ago, InstaForex team created online InstaForex TV, a large-scale information resource devoted to the forex market. Thanks to InsatForex TV, thousands of traders around the world become aware of newsworthy economic events.

For the five years, journalists of InstaForex TV have presented a great number of news bulletins and analytical surveys, visited the largest global financial hubs, and interviewed noted traders and forex experts in Europe and Asia. InstaForex TV provides only fresh and reliable information on the forex community. Every day, the team of professional analysts works at surveys and forecasts to help you recognize the right trend. So, tune in InstaForex TV and you will be always well-informed on important events of the financial world.

InstaForex on the ShowFx World conference in Singapore

August 27th, 2014

On August 16, 2014 InstaForex took part in the financial conference held by ShowFx Asia. The event took place in Singapore.At a conference hall of luxurious Marina Bay Sands hotel, the one of Singapore’s tourist attractions, InstaForex presented the whole range of its offers, innovative products and services. InstaForex exhibition booth attracted a great number of visitors who were interested in the broker’s advantages and latest developments.


They include: the PAMM system that has ample opportunities for both investors and managing traders; ForexCopy, a unique system designed to copy trades of successful traders; binary options, etc. The representatives of InstaForex were happy to answer questions of the guests and provide them with professional advice on different aspects of forex trading.


At the ShowFx Asia 2014 conference in Singapore, InstaForex was represented by such speakers as Hairul Azman Bin Mohamed, an experienced trader and analyst, as well as by renowned analyst Arief Makmur and InstaForex Development Director Pavel Shkapenko.
Being the title partner of the event, InstaForex traditionally gave out $50 bonuses to the conference guests. Moreover, the company raffled Samsung Galaxy Tab 4 7.0, iPhone 5s as well as $500 and $1,000 certificates among the most active visitors.


A warm and friendly atmosphere is what made the financial conference in Singapore special for all participants. This contributed to a constructive dialogue between brokers, representatives of educational projects, developers of specialized software, and traders. InstaForex extends sincere thanks to the exhibitors for their great work and cooperation and to the conference guests for coming.

InstaForex keeps title of the best broker in Asia

August 12th, 2014

InstaForex has ones again been acknowledged as the best broker in Asia clinching the prestigious title from the CIOT Expo for the 10th year in succession


The China International Online Trading Expo is considered to be one of the key forex events in Asia. Brokers, professional traders, businessmen, spokesmen for investment companies and famous analysts from all over the world get together here. According to the CIOT Expo, InstaForex keeps on improving its trading terms, thus it still retains the popularity with the customers from the Asian region. Over 1.5 million people worldwide opted for InstaForex, including thousands of clients from Asia

Besides, exciting InstaForex offers and campaigns, including bonuses on a trading account and yearly elite car raffles, stir up the clients’ interest to the broker. First-class services as well as profitable and reliable trading terms are proved to be outstanding advantages of InstaForex over other brokers. InstaForex team is sure that not only traders from Asia, but traders from the rest of the world will be keen on the broker’s offers and trading terms in the nearest future

Partnership with Barclays Premier League runner-up

July 31st, 2014

InstaForex, and legendary Liverpool Football Club announced a two-year partnership today that will run until the end of the 2015/16 season. 

InstaForex will become the Official Online Forex and Binary Options Trading Partner in Asia and the Commonwealth of Independent States (CIS) of Liverpool FC. The new alliance will see InstaForex offer exciting LFC experiences to their customers who are fans in these markets, including tickets to see the Reds play at home in Anfield.

“We are delighted to welcome InstaForex to the Liverpool family as our very first online Forex trading partner. The online service has over 1.2 million online customers and those in Asia and CIS will benefit from this partnership, which will see InstaForex offering fans content and access to the team they love” commented Chief Commercial Officer of Liverpool FC, Billy Hogan.

Commenting on the new partnership, Pavel Shkapenko, Director of Business Development at InstaForex said: “InstaForex has similar aspirations to Liverpool– we strive to be the best in the Forex industry as LFC in football. This partnership brings together our young dynamic brand with that of over a century of tradition and we’re excited to work with such an established and followed Club.”

Founded in 1892, Liverpool FC is one of the world’s most historic and famous football clubs having won 18 League Titles, seven FA Cups, eight League Cups, five European Cups, three UEFA Cups, three European Super Cups and 15 Charity Shields.


Liverpool FC legend Ian Rush holds Instaforex T-Shirt announcing 2 year partnership between InstaForex and LFC.