The Complete World Currency War Heatmap

Tyler Durden's picture

A regular feature back in 2010 when we had our first taste of global currency warfare as Brazil's finance minister accurately summarized when he said "a currency war has broken out" (and yes: currency war existed then, and especially in the 1930s which led to the Great Depression, long before the recent eponymous book came out desperate to take credit for this simplistic concept) were the global FX heatmaps which showed how any given currency is doing on any given day. Since currency warfare is now back and more violent than at any time in the past 80 years, it only makes sense to bring back a long-time reader favorite: the currency warfare heatmaps which show who, on any given day, is winning and losing, the global race to debase and in the process beggar all globalized and SWIFT-interlinked neighbors. But don't forget: in a relativistic fiat world, nobody can actually win the global race to debase. Well, not nobody: gold (and other precious metals) can, assuming it is not confiscated as it was the last time the US ended the global currency war with a 50%+ devaluation of the USD relative to gold... and promptly confiscated all gold.

Legend for the charts below for any given currency:

  • red indicates a given country/insolvent monetary union is winning the FX debasement war relative to any given currency;
  • green indicates it is losing it.

Below are the currency warfare charts for today:

USD - doing solidly well, trouncing Brazil, South Africa, India, Canada and Russia showing Europe who is boss. The only clear winners against King Dollar: tiny Iceland.

EUR - not too shabby either, mauling Brazil, South Africa and landlocked Switzerland, but retreating against the US, China, Argentina, and of course Iceland.

JPY - today's clear winner, except again for Iceland which just like in Risk, remains a key strategic hotspot for anyone hell bent on destroying their currency. 

GBP - the biggest loser today, is this once powerful colonial nation, whose currency has appreciated against most of the world.

 

But one day is tactics. One year is strategy. Here is what the fallout of currency warfare over the past year looks like. The undisputed winner of the past year's currency nuke out is...

JPY - That's right: the Japanese Yen is the winner by a mile from all the coordinated currency intervention in the past year: not one country has managed to destroy its currency nearly by as much. The only problem now is if China will actually agree to import any of Japan's products and services any time soon, as not even a JPY at 0.00 will help much unless this key export market remains shut over that whole island fiasco.

Since every clear winner needs a clear loser, here it is:

EUR - the European currency has soared in the past year, and in the process has made life for both its export industry and its current account next to impossible. One can only hope the ECB can reponzify as much capital into the troubled nations to offset the increasing trade isolation of the insolvent continent, which will soon have to figure out a way to boost German exports or else. 


Curiously, the USD is doing only so-so despite the fact that it has been long priced in that Bernanke will print some $1+ trillion in 2013, and another $1 trillion in 2014, and so on.

As for Cable, well, Mark Carney has yet to introduce the BOE to just how Goldman suicides your currency:

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kw2012's picture

Illinois recently tried to have all private gold sales registered... Just like guns. Gotta know where it is before you can confiscate it. My Grandfather said his biggest regret was turning in his gold and he did so because he was a man of honesty and integrity. But with hindsight, he would have never done it. 

Bullionaire's picture

"But don't forget: in a relativistic fiat world, nobody can actually win the global race to debase. Well, not nobody: gold (and other precious metals) can, assuming it is not confiscated as it was the last time the US ended the global currency war with a 50%+ devaluation of the USD relative to gold... and promptly confiscated all gold."

 

Tyler has made this mistake before: devaluing the dollar from $20.67 to $35 is in fact a 69.327% devaluation.

 

So there.

mayhem_korner's picture

 

 

Ben's going to have to double down if he's going to catch up (down?) to the thoroughbreds.  (And Bazooka Joe's going to have to take up residence in a $1 jar)

+1 for "country/insolvent monetary union", "mauling Brazil", and "except again for Iceland, just like in Risk"  Very well played.

Falconsixone's picture

I'm going to print this and wipe my dogs ass with it (except Iceland) and mail it to 

200 West Street, New York City, New York 10004

Goldman Sachs - headquarters
mess nonster's picture

Looks like Chavezuela did pretty good in the race to the bottom.

ParkAveFlasher's picture

Boatloads of tungsten will do that.

mess nonster's picture

I won't assay your gold if you don't assay my gold.

lasvegaspersona's picture

The modern analogy would be "they devalued the dollar relative to all other currencies...then confiscated all other currencies."

Mad Mohel's picture

Anybody catch that piece of shit Krugman this morning? These heatmaps would surely give him a chub. The guy was spouting off saying, "look at Japan they are pedal to the floor and not getting punished, so what's the fuckin biggie?" I paraphrase of course.

mess nonster's picture

Krugman never saw a printing press he didn't like.

To play devil's advocate- people don't starve during hyperinflation, they just become slaves. The starvation comes later, when the hyperinflation crashes into the debt-deflationary black hole.

Keynes hated the rentier class. F--king bourgeoisie! Steal their property by inflating the money supply and put them all in chains! So does Krugman, except of course, he is one. Self-hatred takes so many forms. He'd better read Darknes at Noon and prepare himself.

falak pema's picture

currency wars and asymmetry balances...

What currency wars do is stifle real economic growth and increase the cost of capital to unacceptabe levels for the real economy. The asymptote approaches. 

Bubble markets and CBs tactics just feed the steam as we slide towards the Iceberg heading our way. They protect their hoarded wealth hoping the world will not collapse all the while they drill holes into the hull of their own collecitve ship, as each CB is a compartiment of that lady the Titanic. 

Talk about tail wagging the dog. I wonder how the Sheikh of Saud feels and Putin.

They are more the true kings of the world than these wanking CB frenetics. Unless they have hocked their socks to the fiat brigade.

Tweeter and Davos...what a joke.  I'd love to poke that baloon as Lagarde spoke of "staying on the ball" to all participants.

And pop went the weasel; party over as they head for the nuke shelters. 

Oh well, back to writing my novel. At least that is based on real blood n guts events not on currency wars of electronic fiat dissemination! 

mess nonster's picture

Oh, no, not you too! Wasting your time on ZH while you could be doing something productive! And I thought I was all alone!

Inthemix96's picture

Seeing as I am a moral man (I hope I am),

When they come for me to sign up for WWIII, I will at first sign the papers because seeing as I am a Britisher there is no other way I can get my hands on a battle rifle, and then promptly go AWOL.

I will then pop down to the parliament and use said battle rifle to even a few grudes I have.  And I can guarantee you I wont be the only one.

These fuckers want to go wrecking the lives of people I have never met, and probably have as much malice for me as I have them?  Well, if the smarmy child molesting perverts in parliament want me to fight a war to kill more fucking innocent people I can give you my word that inthemix96 will take no arms against his fellow man, but I would most surely take arms (if they are daft enough to give me a battle rifle) against the war criminal class, child buggering coverup merchants, in-bred, blue blooded thieves who think they are worth more than my life.

Be warned GCHQ, start this shit, and if enough folk like me can find their arse from their elbow you will have a war alright.

Just not the fucker you thought you would have.

You fucking stinking filthy cunts.

Carl Spackler's picture

Civil war is still war, you know.

Since you're all in, Mr. Inthemix96, what do you plan to do with the media, who do the dirty work (controlling the masses) for said establishment types?

Inthemix96's picture

You asume Mr Spackler from your remark that most people are asleep.

They most certainly are in most opinion polls, but not the folk I mix with on a daily basis.  I can tell you only what I personally know but more than 4 out of 5 who I talk with in this area of Britishland are well aware of the problems.  Even my own mother and father know the score, and I say again, I would no further take a grudge against KNOWN normal day-to-day folk than a fucking politician.

Google these names and find youtubes for them, Nick Clegg.  David Cameron.  William Hague. Danny Alexander (this ones a good one).  Ian Duncan Smith.  Doreen Nades.  Margeret Beckett.  David and Ed Milliband.  Ed Balls.  Harriet Harman.  Micheal Gove.  Jeremy Cunt.  Menzies Campbell.  Vincent Cable.  Anthony Bliar.  Gordon Brown.

I could go on but wont.  This lot of parasitical in-breeded child molesters, and just for interest the whore Harriet Harman would like the age of concent lowered to 12-14 years of age, I wonder why?  This lot want people like me to fight others for them?  And the names above are from all three "Main" parties here in Britain.  This lot of human floatsom would have others like me die for their cause?  Not going to happen friend, not at all.  Let these disgusting excuses of skin and waste fight, and their kids.

They want me to go forth?  They had better not give the likes of me a weapon I would happily use on them first.  And as I say, there are a lot more like me out there who will fight, but not the cause the peodophile politicians would have us do.  And I am being serious.  If war criminals like Bliar and Bush are swaning around free as a bird, it can only be a matter of time before they are not.  Fuck them, and the horse they rode in on.  Inhuman cunts.

jmcadg's picture

Amen brother. That's a proper scummy list you have there. Lot of people tired of this shit.

mess nonster's picture

Inthemix, you say you're a moral person. ...oh, what the fuck. Sometimes I am overwhelmed by the futility of it all. I think this is the root of my pornography addiction.

TPTB_r_TBTF's picture

Maybe they will train you to be a drone pilot.  Then you can really have some "fun".

DaveyJones's picture

inthemix shows us just how much these criminals over estimate themselves and under estimate the rest 

Tall Tom's picture

As for the media...I was on Yahoo the other day...That just says enough.

 

There was a Poll on Gun Control on Yahoo. 59% of the respondents to the poll stated that...THERE IS TOO MUCH REGULATION ALREADY. That was with over 59,000 responses.

 

At the same time there was an article posted that said that, according to the polls, Americans overwhelmingly wanted more Gun Control.

 

The media LIES about Poll Results. It is all unbelievable now. They are losing control by the hour and they know it. It scares them to death.

 

Do not take what the MSM says for real. It is propaganda used in order to promote fear.

rehypothecator's picture

Kind of a bummer you people gave up the sport-utility rifles in the first place. 

reload's picture

You would be suprised how many of those weapons are still in circulation. I am fortunate to live a rural life these days - Everybody I know has at least one shot gun, and the local fire arms officer comes round once every 5 years to check that your storage is secure and that you have updated your ceretificate with the serial numbers of the guns you have. But getting a rifle is not hard - the last time the fire arms man came to see me, he said "if you wanted a rifle and firearm certificate it would be no problem".

Turns out there are almost as many rifles in my county as shotguns. I later found out that almost 1/2 my male staff are rifle owners - and use their weapons for hunting (deer, foxes etc) as well as on the range.

It is all tightly controled  -  you even have to present your firearm license to buy ammo - and your purchases are logged. Magazines are limited to 5 rounds, and no automatic weaponry is permitted. But a rifle is a rifle and very nice to have - My neighbour has a range set up in some woodland, but there are plenty of gun clubs with ranges.  

So I think any Brit who was prepared to jump through a few hoops could own a rifle and teach his kids to shoot. Its just that most dont want to, or dont realise they can.

mess nonster's picture

Syria had a standard-boilerplate gun control law in effect in 2001.

http://www.israelnationalnews.com/Articles/Article.aspx/540

Hmm, I wonder how that's workin' for them.

Libya's gun control policies were even more draconian.

http://www.gunpolicy.org/firearms/region/libya

Somehow, when everyone needed a gun, they got one.

Somewhere betweem 70 million and 150 million AK's have been manufactured since 1947

http://www.kalashnikov-encyclopaedia.com/the-ak-conquers-the-world.php

As of 2007, there were 16 manufacturers of AK-47 variants in the USA

http://www.ak-47.us/AK47_Manufacturers.php

Arms dealers are happy to sell guns where they are wanted. Arms dealers are not known to be especially scrupulous when it comes to obeying gun control laws.

I wouldn't be too worried about disarmament. If you really want a gun, you're sure to find one.

rehypothecator's picture

By "sport-utility rifles" I meant things like AR15s - and their 308 big brothers, like AR10s, FN-FALs, and HK91s.  I don't think you can get those quite so easily, and it's too bad that you can't. 

jmcadg's picture

I'll happily join ya. Eton toffs watch out, actually, they'd probably enjoy us tearing them another arsehole.

stant's picture

a chance to raise merry hell? count me in. i ve already got my own stuff no need for govt support

Winston Churchill's picture

I96

Are you anywhere near Radlet ,Herts ?

If so I could steer you in the right direction of getting the needed supplies.

I just cannot let that positive energy go to waste.  

Inthemix96's picture

Sorry mate,

20 miles outside Newcastle Upon Tyne.  We Geordies know this is a fucking scam.

Winston Churchill's picture

Well, if you change your mind.They are not going anywhere.

Shigure's picture

If you are going to Parliament from Newcastle Upon Tyne, you would pass Radlet, Herts on the way :)

Inthemix96's picture

Yes I will.

No fucking problem.  These cunts need sorting out, blokes like me might just grow some balls and do it.

hooligan2009's picture

currency whores in the race to debase which really got going when Abe won the elections

two weeks and counting...

http://www.zerohedge.com/news/2013-01-14/yen-soars-following-econ-minist...

and now, the second leg...asia currencies (including China) will get massively pissed off with Japan and will want to devalue in order to remain regionally competitive. the big winners not on that basket mentioned prior...saudi riyals and the other freer floating middle eastern oil based currencies (kuwaiti dinar!!! now that iraq can't invade..probably want to load up on iraqi dinars, if you can find a bank that is

http://www.globalsecurity.org/military/world/iraq/currency-reform.htm

Europe (Merkel) will gripe, but is as unable to co-ordinate currency intervention as it is fiscal consolidation. Who is responsible for the selling of national central bank reserves of euros in europe? ministers of fnance? european commision, ecb? answer is no-one.

the brazilians, russians, canadians (plus norwegians) will get the benefit of lots more dollars.

time to load up on oil and PM's (gold) as well

easy to see how global food prices take another massive leap as well..in dollar terms anyway...hard currencies (and the euro because of ineptitude) plus the middlea easetern currencies

LMLP's picture

Any Usd rally in North or South East Asian currencies should be smashed!

 

 

mess nonster's picture

Abe's dillemma; currency devaluation means austerity. The only way for Japan to be competitive in export markets is to lower standard of living to the level of Cambodia or Bangladesh.

Energy triage in favor of production of export goods, less energy for fancy toliets and computerized rice cookers or bullet trains.

He thinks 2% will do it, but that is the dream of a politician. If he can make everyone think 20% inflation is really 2%, he will demonstrate how good he is at his job.

This bullshit is coming soon to YOU.

Welcome to Ingsoc.

NoDebt's picture

I really liked this article.  Red is "winning"- very clever.

Look, if it's a race to the bottom you should probably know who's getting there the quickest.  Can't get more obvious than looking at simple color-coded pictures.  Even I can understand that.

 

 

DaveyJones's picture

"he's gonna see the big board!"

Moe Howard's picture

Risk! Now there is a game the elites love playing. The Middle East changes hands every turn!

LMLP's picture

Nice maps! ...  Ccy wars in focus and underway..... FX and Metals Bitchez!!

yogibear's picture

Also last time there was a currency war, there was a world war.

When the fools game of devaluation doesn't work it's mass destruction time and mass rebuilding.

 

fuu's picture

Where's cougar_w when you need him?

DeficitAlchemist's picture

The Fed lamented the lack of cohesion between Central Banks in the FT yesterday.

Meet The Hegelian Dialectic, also known as - Problem - Reaction -Solution

Problem - There is a Global currency war with each nation attempting to devalue away its debts and boost exports

Reaction - Get the people through mass media to blame all economic sufferage on this issue and all civil unrest and unemployment to boot.

Solution - the solution is as simple as it is obvious: the world needs a single, central monetary authority to smooth out the fluctuations among the present antiquated national currencies.

Enter Global Central bank and backdoor NWO... 

Rothschilds/Rockefeller/ Kissinger/Other's purr at their ingenuity..

 

BTW  I am St Albans Herts..UK ex SADF will go to SA for my piece if necessary.

Mi Naem's picture

DeficitAlchemist says: "Solution - the solution is as simple as it is obvious: the world needs a single, central monetary authority to smooth out the fluctuations among the present antiquated national currencies.

Enter Global Central bank and backdoor NWO... 

Rothschilds/Rockefeller/ Kissinger/Other's purr at their ingenuity.."

That's really the whole ball of wax. 

Sometimes, I feel like the game's so rigged that we can try to keep from drowning as the roar of the approaching waterfall grows louder. 

DeficitAlchemist's picture

The Fed lamented the lack of cohesion between Central Banks in the FT yesterday.

Meet The Hegelian Dialectic, also known as - Problem - Reaction -Solution

Problem - There is a Global currency war with each nation attempting to devalue away its debts and boost exports

Reaction - Get the people through mass media to blame all economic sufferage on this issue and all civil unrest and unemployment to boot.

Solution - the solution is as simple as it is obvious: the world needs a single, central monetary authority to smooth out the fluctuations among the present antiquated national currencies.

Enter Global Central bank and backdoor NWO... 

Rothschilds/Rockefeller/ Kissinger/Other's purr at their ingenuity..

 

BTW  I am St Albans Herts..UK ex SADF will go to SA for my piece if necessary.

mess nonster's picture

Damn! The underlying cycle is deflationary- eroding EROEI means less profit from energy expenditure. This means harder and harder to pay off debt X3 usury, this means cuts in employment.

Peak oil is a reality under $70/bbl (that's $2.30/gal gasoline). Handy price bbl crude-to-gallon gas calculator here:

http://gascalc.appspot.com/

When oil prices drop even close to this threshold, production dries up, since oil is now too scarce (expensive) to produce below the $70/bbl threshold. This production dead-end shocks oil supplies and keeps prices high enough to act as a brake on economic growth

Debt bubbles based on high EROEI begin to implode. Without Gov't bailouts, underlying energy deficit would lead to deflationary apocalypse. Gov'ts bail out banks with fiat QE, and then impose austerity on citizens to pay back X3 usury, further cutting into employment, wages, and further exacerbating underlying low EROEI.

Gov'ts then debase currency in effort to underbid other nations for export earnings, except no-one anywhere can buy the export products manufactured, due to EROEI keeping prices just out of reach of all consumers, who are squeezed between EROEI rock and austerity, incipient stagflation hard place. It is stagflation because the QE/fiat debasement, inflation of worthless money supply can barely keep up with the underlying deflationary erosion of asset prices- said erosion based on instinctive knnowledge that no-one anywhere will ever get paid back what they are owed, much less what they think their debased assets are worth in their own deluded and greedy self-serving minds.

Frustration (pension fund collapse) at the bottom builds, and elected officials sense it. They know they WILL BE CONSUMED by the mob- somehow they must find a way to vent the pent up anger and frustration. Blaming someone else, preferably someone who doesn't look or sound like you- it's a tried and true misdirection technique. A close second is blaming someone who may look and sound similar, but who is better off. Another tactic is to blame those who have a different religious affiliation.

War is the inevitable result of this sort of pass-the-buck, kick-the-can, whistle-in-the-dark, you-today, me-tomorrow short term thinking.

 

 

Tall Tom's picture

Whistling in The Dark?

Instead of TBTF it is They Might Be Giants

http://www.youtube.com/watch?v=YyhGtKAkNTo

A woman came up to me and said
"I'd like to poison your mind
With wrong ideas that appeal to you
Though I am not unkind"
She looked at me, I looked at something
Written across her scalp
And these are the words that it faintly said
As I tried to call for help:

Chorus: 

There's only one thing that I know how to do well
And I've often been told that you only can do
What you know how to do well
And that's be you,
Be what you're like,
Be like yourself,
And so I'm having a wonderful time
But I'd rather be whistling in the dark
Whistling in the dark  (X5)
There's only one thing that I like
And that is whistling in the dark

A man came up to me and said
"I'd like to change your mind
By hitting it with a rock," he said,
"Though I am not unkind."
We laughed at his little joke
And then I happily walked away
And hit my head on the wall of the jail
Where the two of us live today.

Chorus: 

Whistling in the dark 
Whistling, whistling 
Whistling in the dark

Whistling (whistling), Whistling (whistling)
Dark (dark), Dark (dark) (X4) 

 

 

G_T_A_44's picture

It is far beyond inflating away debts in order to boost exports.

 

This is about the greatest Heist i.e. transfer of wealth from Main St. to crininal elites in history, as well as attempting to preserve the $USD hegemony via force (MIC) if necessary. Just to name a few amongst many others.

 

No need to worry though. All ends well.

 

* $600+TT (Quad+?) Global OTC Apocalypse

* Global Bond Mkt Implosion

* Curreny Cris'/Wars

* Cannibalization (bankers/elitists)

* Massive/Pervasive Global Civil Unrest

 

= Global Hyperinflationary Depression

 

Carry On~

 

eddiebe's picture

So what does this mean?

obthedgehog's picture

FDR confiscated the gold first, then devalued.  Can't be paying the serfs back in real money, can we?

Tall Tom's picture

Stop being a serf. Get the Gold. There is still some time.