Reserve Currency

Tyler Durden's picture

Ron Paul Warns Seizure Of Russian Assets Will Hasten Dollar Demise

Thus far the Russian response has been incredibly restrained, but that may not last forever. Continued economic pressure from the West may very well necessitate a Sino-Russian monetary arrangement that will eventually dethrone the dollar. The end result of this needless bullying by the United States will hasten the one thing Washington fears the most: a world monetary system in which the US has no say and the dollar is relegated to playing second fiddle.

Tyler Durden's picture

If Greece Defaults, Will The Fed (& US Taxpayers) Bailout Europe?

With The IMF (and Germany to a less extent) apparently peeing in the Greek Deal pool, perhaps it is worth considering what happens next if this "Greece is rescued" deal is not done. Who can save Greece? Who will pay The IMF? Why, that's simple, the good ol' American taxpayer thanks to The Fed's lifeline...

Tyler Durden's picture

George Soros Warns Washington To "Mend Relations With China" Or Face World War 3

"Both the US and China have a vital interest in reaching an understanding because the alternative is so unpalatable," Soros wrote in an article for the New York Review of Books, with the danger imminent if Chinese economic reforms fail forcing President Xi Jinping to "foster some external conflicts to keep the country united and maintain himself in power." These "conflicts" would present themselves in the form of a Sino-Russo alliance which could draw the entire world into war.

GoldCore's picture

Russia Buy Gold Bullion For “Principles Of Diversification” – Central Bank Governor

“We have both accumulated buffers and gold currency reserves, and we have introduced a floating currency exchange rate in order to absorb various shocks,” Nabiullina said.

Tyler Durden's picture

Another Day, Another US Dollar Flash Crash

You know things are illiquid, turmoiling, insane, entirely non-human odd, when the world's reserve currency flash-crashes on a regular basis...

GoldCore's picture

New Gold Electronic Payments System To Protect From “National Financial Or Currency Crisis”

“But the truly game-changing aspect of this proposal … lies in the “system” part.  This would be an advanced, state-owned and operated system of electronic payments and settlements, denominated in ounces of precious metals, barred from engaging in lending, leasing, speculative or derivative transactions, and always maintaining a 100% ratio

Tyler Durden's picture

What Comes Next, Part 2: The Looming Transformation

The serial bubbles of the 2000’s are nothing more than what was wrought of the 1920’s, in general. The monetary character of both is not coincidence, as the failures that bookend each of these ages induces the transformation: from monetary to fiscal and back to monetary again. That looks like progress and accountability, but in each it only leads to more extreme measures (relative to the last) to still achieve what Robert Owen and Karl Marx conceived more than a century and a half ago. That leads us to 2015 and what is certainly the ragged end of the eurodollar standard. The third socialist age was undone by August 2007, but that did not stop its proprietors of “eurodollar socialism” under the name “investor capitalism” from trying to rebuild and restore it to full capacity. The groundwork has already been laid, and it is exactly what you would expect given the history since 1907. There are no widespread details about a return to capitalism and sound money practices, only how to overcome the third installation of that timeless barrier thrown down in the collapse of each of the asset bubbles so far – value.

Tyler Durden's picture

The PetroYuan Is Born: Gazprom Now Settling All Crude Sales To China In Renminbi

As Russia adjusts to Western sanctions stemming from the conflict in Ukraine, Gazprom is now settling all crude sales to China in renminbi. At the intersection of the petrodollar's death and yuan hegemony is: the PetroYuan...

Sprott Money's picture

German Gold Demand Blows the Rest of the West Away

Anyone remotely following the gold market, knows that the East is deeply connected with metals. They rightly believe that they are a safe store of value and have a deep affinity that has lasted throughout the ages.

GoldCore's picture

Gold At $64,000 – Bloomberg’s ‘China Gold Price’

There will be a tipping point where the advantage to be gained by badly impacting the dollar and positioning the yuan as new reserve currency will be greater than the disadvantage suffered by a collapse in the value of the dollar. The tipping point is closer than many believe.

Tyler Durden's picture

This Is The Fed's "Second Biggest Nightmare" According To Citigroup

Two weeks ago, Citigroup presented what it thinks is the biggest nightmare for the Fed: it said that the FOMC’s "biggest worry is not lift off and its market and economic implications, but what happens if the economic recovery dies of old age without the Fed having done anything to tighten." And, according to Citi's FX strategists, "if this were to occur, the USD would probably fall faster than it rose from July-March." A precursor to loss of faith in the Dollar's reserve currency status perhaps. Today, Citi's Steven Englander lays out what is the Fed's second biggest nightmare: a rebound which is so fast, the Fed's entire carefully planned renormalization schedule collapses.

Tyler Durden's picture

"If It Looks Like A Duck" - The Man In The Moon: Part 2

During “normal times” – an economic growth phase accompanied or generated by rising systemic leverage – central banks have incentive to promote nominal growth and inflation, which make banking systems profitable and their free-spending political overseers happy. In such times, commercial banks have fiduciary responsibilities to shareholders to constantly increase their market values, which they do by expanding their balance sheets.  Now that economies are highly leveraged, extinguishing debt would require banks to reduce the sizes of their loan books, which would shrink their market values. Thus, it seems economic policy makers never have incentive to promote debt extinguishment in the banking system, regardless of economic conditions or prospects.

GoldCore's picture

Gold Capped As Soros Warns Of “Threshold Of A Third World War”

The ‘war’ word is being increasingly heard internationally as the U.S., EU, Russia and China adopt provocative postures over various disputes including Ukraine and in the Pacific. War with the U.S. is “inevitable” if the U.S. involves itself in the dispute which has arisen over the Spratley Islands in the South China Sea according to China's state controlled newspaper the Global Times.

Phoenix Capital Research's picture

A Global Debt Deleveraging It At Our Doorstep

Something BIG is afoot: we are seeing multi-decade breakouts in numerous currency pairs. 

GoldCore's picture

Gold Bullion Is "100% Guarantee from Legal and Political Risks" - Russia

"The price of it swings, but on the other hand it is a 100 percent guarantee from legal and political risks." - Dmitry Tulin, manager of Russia's monetary policy.

Syndicate content
Do NOT follow this link or you will be banned from the site!