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The Slow (But Inevitable) Demise Of The US Dollar
Nothing lasts forever (as we've shown before) - except perhaps gold as a store of value it would appear.
Central banks around the world are increasingly diversifying their currency reserves away from the US Dollar. Even as overall holdings soar to a record $11.4 trillion, the US Dollar accounted for 61.44% (down from well over 65% at the peak of the crisis in 2008). With China outspokenly concerned at the US Dollar's future status, we suspect this will only become more 'diversified'.
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With stewardship such as....
http://cnsnews.com/mrctv-blog/matt-vespa/hawaii-obama-blasted-republican...
Zero is a fucking shitbag piece of work.
Hell, just a little more than 3 years left. I'm sure he will right the ship.
[do I need a sarc tag?]
No , but I do believe a barf bag may be in order........
In other news, FBI Hunts Little Old Lady, No Charges Filed Against Banksters
Obama is bad, Bush was bad, Clinton was bad, Bush was bad.....who cares let's get to the part where we elect guys who don't want the job, like George Washington.
Better yet, realize it's the job that is bad. There is no such thing as a benevolent politician, and they aren't necessary; I say lose 'em all.
"Central banks around the world are increasingly diversifying their currency reserves away from the US Dollar"
fortunately, this repatriation of the dollar will not take as long as the german repatriation of its gold
and as the chinese and saudis and other who hold FRNs exchange their notes for other currencies and/or other goods and services and debts and derivatives, that means more FRNs will eventually be exchanged for domestic goods and services
this is great news
the dollar is not a trade dependent currency. i'm sure the complaint department (big industrial concerns) about it being way too strong is off the charts now that commodities have fallen out of bed. Kunstler et al simply gloss over the reality that the "dollar" is a medium of exchange for a huge internal market...not a huge international one. (not that China still isn't the gift that keeps giving...complaints are understandable from them in my view.) Japan is the exact opposite case...so might Great Britain be...and so obviously is "the euro" which looks awfully close to becoming a "D-mark and all the other ones" here. (that would be mighty ugly tho.) the "corrupt bargain" in the USA is the military/industrial complex. that thing is sucking in trillions in dolares with not a lot to show for it...either in the economic sense of the term (full employment) or military sense of the term (a big Army or Navy.) we'll see if US energy production falls of a cliff as everyone is saying it will. we've never been much of an oil power actually...but in fact a "refining power"...that has not changed as massive amounts of global goo comes to America just to be turned into something useful. I would not sell short the natural gas boom either. Marcellus and Utica shale is the real deal...and that does provide an enormous amount of liquidity that is financing not only three different battery technologies...(solar, lithium ion and fuel cell) but also seems to be able to launch private rockets into space. part of me says "lets see those prices go through the roof again." clearly the cost of base load power (electricity through nuclear, hydro and coal) is rising again. In my view all the Government needs to do is mandate bi-fuel vehicles to soften any blow from yet another super-spike in energy prices.
And just when will these batteries of yours start competing?
Petrol has 45 times as much energy per unit of weight as the best lithium batteries. If they double the performace of lithium - which will never happen - it is still 22 times better to have petrol in your tank.
How is it great news? That flood of trillions of dollars back into the US will create the inflation that will comletely destroy the middle class.
All Fed puppets were bad and will be bad in the future - is a pattern.
Dr Engali,
I agree - but try to let it go.
Forget the troll-wing(s) media, even when it's correct.
It's not worth the vexation.
Everyone is trying to out-QE the Fed/US, so as a percentage the USD declines while the nominal values of USD and everything else in circulation skyrocket.
Yeah, this ends well. It isn't just going to be the USD that sees its demise.
That graph needs to go farther back in time in order to give you an accurate perspective.
http://www.treasury.gov/resource-center/international/exchange-rate-poli...
@seek, I definitely get all that.
Thing is... why are commodities not bid?
Unless growth really is in the shitter.
I told my wife that I would wallpaper the hallway when the dollar fell far enough.
I bought a bunch of sheets of bills uncut from the treasury a while back and wallpapered a hallway. It's a conversation piece. Some people don't believe its real money. I can't argue with that. But it is the same stuff that the banks call money.
2 nights ago, I told my wife I would paint the hallway this february. I wonder who will have to do their project first, you or me?
About time you did something for her ... sheesh.
"I told my wife that I would wallpaper the hallway when the dollar fell far enough."
Sound deadfully revolting! Would you wallpaper with toilet paper?
how about an interesting contrarian perspective.
China tried to reduce its dependence on US Securities from the period 2007 to 2009. In 2006 the share of Chinese Reserves devoted to U.S securities is 84%. It started to drop from 2007 until 2009 when China tried to reduce its investment in U.S Securities. However in 2010, it again rose to 78% and this clearly shows that China has failed in its attempt to diversify its dollars. http://www.marketoracle.co.uk/Article43841.html
The collapse is slow until it isn't. Think Soviet Russia early 90s. You will wake up one day and they will have devalued the currency...for the good of the nation.
I did wake up that day already.
Back in 1971.
I think in this year 2014 I will create a website compiling all of the ZH charts with red arrows and call it badredarrows.com
ZH rule, if its RED its REAL
if its green, its circle-jerk good old boy self-love aka fight club
where's bob?
A continuing free-fall of the US dollar would cause mass panic in the Fed.
LOL, the Fed governors would look like deer that walked onto an interstate a night full of 18 wheelers moving at 80 mph.
The USD still leads the herd by trading by a longshot, everything say 90% is still priced USD's,
Nobody else on the planet wants 'reserve status',
Toss your logic out the window boys, while your technically correct, this is the end of history, the graph don't mean shit, cuz basically what happened is war's changed who held the seas for trade, and now trade is done digitally, so history is over.
Do you get it boys?
HISTORY IS OVER, the new paradigm is digital, and that means NSA passing drones targetting to anyone it wishes 24/7 forever.
You been sniffing glue again?
Hell Yeah, but only the good stuff!
Hell Yeah, but only the good stuff!
I'm sorry. I seem to have doubled.
20 years ago, Fukuyama claimed that history is over.
But then 20 more years happened.
Now he is widely regarded as a fuckin' asshole.
Dear PussN'boots,
The graph showing whose money had power going back to 1400's is WHO controlled the sea's for trade,
HISTORY is over, ... controlling the sea no longer means your FIAT rules the earth,
Call the truth that which you will,
Time for a new PARADIGM,
Now HE who controls the DIGITAL SEA, rules the world,
THE NSA controls the digital sea, and for how long? My guess is forever.
Dear Incorrigible Moron:
Oh, I get your argument. It's just that it's the kind of thing an idiot would have on his luggage.
The NSA NAZIS think they've built the 1000-year reich.
Good luck to those fucks when people get a little bit angry.
Interesting conjecture but dead wrong. When China starts producing aircraft carriers at the rate of one a month you'll see your rule of the sea is still very much alive. Trade will always be by sea until there is no more of either:
17 For in one hour so great riches is come to nought. And every shipmaster, and all the company in ships, and sailors, and as many as trade by sea, stood afar off, 18 And cried when they saw the smoke of her burning, saying, What city is like unto this great city! 19 And they cast dust on their heads, and cried, weeping and wailing, saying, Alas, alas, that great city, wherein were made rich all that had ships in the sea by reason of her costliness! for in one hour is she made desolate.
King James Bible Revelation 18
gonna take the other side on this one: regardless of whether it's flows digitially or not, the FeRN ain't called the PETRODOLLAR for nuthin'. and the petrol flows over the high seas. until an alternative energy source equal or surpassing its power is "discovered", maritime/admirality rules rule.
Take a look at the pound sterling as the reserve currency and it's fall. Enough said.
Britain NEVER recovered from WWII, and the USA was the last man standing, and now history is over.
Just as we'll never recover from what's coming. Deal with it.
The next currency will be a tattoo on your foreheads..........
The next currency will be the IMF-SDR, backed by the full power of the US-MIL, aka NSA.
ZH herd's will have erections dancing in the streets saying "FED IS DEAD", until they realize they have accomplished nothing, other than transferring FIAT control from civilian to military.
Founding fathers warned us well about the dangers of a standing army, ... a little late, since 1948 this is all been planned like a fine tune fiddle.
*
China, Russia, ... all have already approved SDR, so has japan, no war required, just waiting for YELLEN & President HILLARY to justify the transistion.
[ IMF is CIA/UN/USA, aka big oil, aka Rockefeller OIL, Bush, Hearst, OSS ]
China likes this cuz their MIL, the PLA is self-financing, Putin likes it cuz the Russians too, once all the worlds MIL control the FIAT, then they divide up the PIE and print to the moon.
Zillion years of prosperity for MIL familys, and slavery and prostitution for civilian familys forever.
***
Students of history will realize that this is a new PRAETORIAN the world has never seen before, with china,russia,japan, usa sharing a common currency, and providing its own with unlimited wealth.
Antagonism may exist for show, and YELLEN or HILLARY might get implants, but the PRAETORIANS will party on like never before in human history.
The Civilian-Gov paradigm will be a MSM show, so all can watch on TV forever, from their prison cell, or gubmint whore house.
Michelle Obama may just be the next President of the USA. That way Barry can run us into the ground completely. The Free Shit Army will vote for her as they are just a bunch of Femmes like you.
While it is a horrific thought it can happen. May the Good Lord forbid it. But it can happen. I will not be too shocked.
Benghazi killed Hillarity's chances.
Yes...Instead of Moebama we get President Wookie. LMAO.
The public don't care about BENGHAZI, its HILLARY's TURN, she was good, and has waited and its a DONE DEAL.
Michelle Obama now I know your being snide, Ophra would run if that were the case, the DEM are very tired of TEAM OBAMA, they're finished.
Clinton's are ROYALTY, like KENNEDY's.
***
But don't change the subject, keep the light on the IMF-SDR and YELLEN-HILLARY introduction thereof.
Nice fantasy but God has other plans:
The Lord Judges the Nations
1 For, behold, in those days, and in that time, when I shall bring again the captivity of Judah and Jerusalem,
2 I will also gather all nations, and will bring them down into the valley of Jehoshaphat, and will plead with them there for my people and for my heritage Israel, whom they have scattered among the nations, and parted my land.
3 And they have cast lots for my people; and have given a boy for an harlot, and sold a girl for wine, that they might drink.
4 Yea, and what have ye to do with me, O Tyre, and Zidon, and all the coasts of Palestine? will ye render me a recompence? and if ye recompense me, swiftly and speedily will I return your recompence upon your own head; 5 Because ye have taken my silver and my gold, and have carried into your temples my goodly pleasant things: 6 The children also of Judah and the children of Jerusalem have ye sold unto the Grecians, that ye might remove them far from their border. 7 Behold, I will raise them out of the place whither ye have sold them, and will return your recompence upon your own head: 8 And I will sell your sons and your daughters into the hand of the children of Judah, and they shall sell them to the Sabeans, to a people far off: for the LORD hath spoken it.
9 Proclaim ye this among the Gentiles; Prepare war, wake up the mighty men, let all the men of war draw near; let them come up:
10 Beat your plowshares into swords, and your pruninghooks into spears: let the weak say, I am strong.
11 Assemble yourselves, and come, all ye heathen, and gather yourselves together round about: thither cause thy mighty ones to come down, O LORD.
12 Let the heathen be wakened, and come up to the valley of Jehoshaphat: for there will I sit to judge all the heathen round about.
13 Put ye in the sickle, for the harvest is ripe: come, get you down; for the press is full, the fats overflow; for their wickedness is great.
14 Multitudes, multitudes in the valley of decision: for the day of the LORD is near in the valley of decision.
15 The sun and the moon shall be darkened, and the stars shall withdraw their shining.
16 The LORD also shall roar out of Zion, and utter his voice from Jerusalem; and the heavens and the earth shall shake: but the LORD will be the hope of his people, and the strength of the children of Israel.
Joel 3 King James Bible
Look at the charts, the USD is ready to sink now. All that is holding the line is the Fed, mostly from the taper jawbone. Asia is about to blow up into a new crisis, not like 1997, far worst. War and internal strife. So liquidation will be the play.
Prepare in 2014, with POMOs flopping and EM trades collapsing. Writing is on the wall, nice and bold.
i hope you are right - i want my trip to vegas el cheapo.
I could be wrong or I could be right:
*0233 GMT [Dow Jones] Concerns are growing among investors that regulators in Asian emerging markets may have an excuse to introduce fresh capital controls, Credit Agricole CIB says,
my trip is in july and its been hard to watch the AUD go from $1.05 to $0.88.
its not all about you guys u know, fuck the strong USD.
I believe that too... QE 1-ah zillion was only utilized for gov inc to invest in stocks, bonds and prop Wall Street with appearance of well being for domestic and international gov and corporate community.. Watch timeline as taper takes effect over next few months ... Stock market will slowly fall under " correction" montra ....
When I was a kid living overseas in an Army family we used military-issued script instead of dollars. Every few months or so you would have 24 hours to turn your old script in for new script - after 24 hours the old script was worthless. This was designed to catch 'black marketers' and anyone else who had illegal hoards of US script.
I will not be surprised at all if one morning we wake up and are told that all our money in electronic form (and all dollar-denominated assets) has already been converted to 'new dollars' and that we have 24 hours to turn in all physical 'old dollars' in our possession before they expire worthless. Oh, and there will also be a sizeable reward announced for turning in gold/silver hoarders.
"Oh, and there will also be a sizeable reward announced for turning in gold/silver hoarders."
The President: I have outlawed Asia, Russia and the ME forever. PMs are illegal worldwide.
What may have escaped you is that the laws are written by the wealthy and for the wealthy. It is the wealthy that own Gold. Do you think that the public owns Gold? LMAO. We will not tolerate that from the politicians whom we own. They are just public servants whom are there to serve us.
Good attempt at scare tactics. But what is funny is that in that same Chain of Command in Vietnam that there were Officers whom were heavily engaged in Black Market activities, such as the Heroin Trade. Since they were the ones making the policies you can bet that they were cashed out of their scrip well before any action was ever taken. This only served to help them weed out competition.
We, the wealthy, will move our Gold, before that ever happens if we ever decide to allow it to happen.
Scaremongering does not work on ZH where the wealthy are. Just how do we get so much time to post? Obviously we are not working an hourly job, are we?
that is exactly how it did happen in the former USSR
Bitcoin – a product of the Federal Reserve.
Only the blind can not see it.
Dollar discredited itself in the eyes of the public. The Fed also discredited itself in the eyes of the public.
Of course for Fed was needed make a legend about some Satoshi, buyout supposedly created Bitcoin, and then he is evaporated.
Thus, the Fed shows for fools (which the majority) that Bitcoin - a system that "does not belong to anyone," and "no one is controlled".
But this is absurd. In the world there are no financial assets and payment systems that have no owner.
All that is in front of the prefix "The global World or International" - it is the property of the United States. Or controlled by the United States.
Everything else - the local and minor.
Federal Reserve no longer need gold. Now they have a Bitcoin. As soon ends era the first fiat money - the U.S. dollar, immediately begin the era of other fiat money under the control of the Fed - it will Bitcoin.
Bitcoin system has a limit of coins. But Bitcoin system has no limit fragmentation of these coins.
Crushing coins Bitcoin to infinity - it's the same exact Monetary Emission, like printing FRN.
http://bitcoinmagazine.com/8531/u-s-air-force-building-bitcoin-payment-g...
very interesting link, thanks.
been reading a shitton about cryptos the last few days. this blurb packs a punch:
The primary concern is that in the long term, most organizations become corrupt, regardless of the intentions of the founders. The single best defense against the corruption of an organization is competition.
http://www.devtome.com/doku.php?id=devcoin
thus, it may be irrevelant who satoshi is or what he's up to now or if he even exists.
One of the main objectives of Bitcoin - it distract investors from investing in gold and silver.
Bitcoin today is the main enemy of the PMs and the main instrument of the Fed for to suppress the price of PMs.
Tic toc tic toc
been waiting for this spectacular crash, and waiting, long in the tooth
Yeah, I know there's a certain doom fatigue, but it does seem inevitable. I can't see the dollar long surviving as RC the TPP - fuckin P.J. O'Rourke may have been right, just early. Perhaps in 20 years, we'll have an economy based on people delivering pizzas to one another.
it's called "gold and silver"...that's what blew a gasket. "there's wrong...then there's totally wrong." we're "totally wrong" in these here parts. Having said that take a trip to Detroit...that's what collapsed with gold and silver. if this recovery doesn't begin in earnest you could see a lot more of that too. I would not by a BTFD on the collapsed commodity plays until this summer. for those that keep missing out on one tech home run after another...that's how this game gets played. somebody is a right miffed though because no one cares about trying to generalize the economic growth that has been spectacular in some parts of the country. the whole "game" is to keep Chicago from blowing sky high in my view.
Don't allow fear to get the best of you... they want you scared and making poor financial decisions. Just don't put all your apples in one basket - e.g., PMs for example. Once you've stockpiled what you need to survive and kept your mouth shut about it then you're in good shape (on a relative basis). Once you've properly prepared then all time does is give you additional opportunity to prepare... which should make you happy - I know it does me.
Currencies fail very slowly, and then all at once. This is especially true when there are other, more value retaining currencies, in competing circulation (as is to be found today). The least value retaining currency becomes the highest velocity currency in a high stakes game of "hot potato". If you are holding two currencies, and need to spend some fiat, which currency would you use - the one with a higher capacity to retain value, or the one for which you have lesser expectations? The latter, of course. And it is this logical bahaviour, at the level of the individual transaction, that masks the decay of a failing currency, as it appears to be robust due to its increasing velocity. Nevertheless, the failing currency has its Achilles heel; which is that it stays in circulation only for as long as people must use it to acquire , or trade in, goods or services that they must have, and cannot procure using any other currency. This forces the currency into use in the first place; and thus, as people strive to rid themselves of it before it loses in value, starts the game of "hot potato" anew. The day that vital goods and services can be procured and/or traded using a more value retaining currency, the weaker currency, irrespective of its size, will quickly lose its lustre and its state sponsored repository (typically a Central Bank) will be swamped with banknotes requiring repatriation. And while a Central Bank can forge its own currency, it cannot (at least not overtly) forge the currency of foreign nations. The result is the equivalent of the formation of iron in the core of a star - the value of the failing currency quickly collapses and the state sponsoring entities of that currency "go nova". And just like stars, the larger the currency, the more spectacular the final collapse. The US currency should provide us with a fine light show (just don't be too close to it when it finally goes off).
What does this mean for the US in practical terms - it means that US dollar hegemony, both in oil and as a general means of exchange in international trade, is the last hope for the US dollar. The argument that there is no currency that can replace it is not rational, as this argument reflects industrial age thinking in a information age world - US reserve currency status was established to provide indirect gold backing to other currencies and to avoid currency exchange artbitrage; and as gold badking is now just a footnote of history, and 3 way currency exchange artibrage has been essentially eliminated through the use of computerized FX exchanges, there does not seem to be any compeling reason,s other than tradition, convenience and legacy computer systems, to not use whatever high value retention currency or currencies that have sufficient liquidity at the time of transaction (to avoid excessive financial fees) for any good and/or service sale, acquisition or trade. This leaves the US Armed Forces as the final defender of the US debt based financial system, as they can, and are, insuring the US dollar hegemony is not eliminated in spectacular fashion. Nevertheless, no amount of armed might can prevent the quiet erosion of hegemony that has been occuring over the last 5 years or so, and if this trend continues (and I see no reason that it would not), then the foundation for the currency will continue to erode, until one day the mighty will fall.
Many systems in nature work in precisely this same fashion - and nature can only be suppressed for a finite period of time. There just is no free lunch.
Bretton Woods was that which allowed for indirect Gold Backing of other World Currencies. When the Bretton Woods agreement was temporarily suspended on August 15, 1971, and permanently suspended in 1973 the backing of the US Dollar was transformed from Gold to Oil.
I am in agreement with your thesis, however, to be hypercritical, it is a little bit wanting in the record of chronology.
Other than that it is a danmed good assessment.
The USA was bankrupt in 1971, post 1973 the USD went from backed by gold, to backed by 'lethal force'
The world then and now respects strenght through murder.
Post 2008, the US-DEBT went from backed buy the taxpayer, to backed by permanent FED-FIAT with no intention of every balancing, ...
TODAY the entire image of balanced budget, congress allocation, and voting is a mirage, today the US-MIL controls who gets USD's, and its going to be this way from now on,
SOFT COUP post 1948 to present.
CHINESE PLA ( peoples liberation army ) is self financed, today the USA-MIL(NSA) is self financed, Russians are now on the same, we now have a TRIPOD of MIL-ASSHOLES ruling the world, and HILLARY/YELLEN will go along, cuz they get to be in the limelight, and the MIL-BIRDS behind the scenes don't give a fuck who is in front of the curtain.
First of all the US dollar is backed by 11 aircraft-carrier battle-groups and 700 oversea bases.
2nd of all while historically a weak currency is good for exports these days information is the power of the days, 100 years ago the Rine was worth a war but now its all digital.
http://www.pathofmusashi.wordpress.com
My nuke bomb bigger than yours doesn't work anymore.
China already has all the US nuke technology. Even the cruise missiles.
China stole all of it during Clinton.
Think Naval superiority. The USA has the greatest navy of all time and can protect its trade interests. The Chinese still has a green-water navy that only operates in coastal waters. One of china's biggest geopolitical hurdles is access to open water. Taiwan, Korea, The Philippians. 80% of their oil goes through the straits of Malacca.
https://pathofmusashi.wordpress.com/2014/01/07/banking-for-bums-and-husl...
CHINA/RUSSIA have already agreed to let the USA-MIL run the IMF and create SDR's so everyone can have unlimited FIAT,
The only war will be on those who refuse to accept SDR for their OIL, FOOD, or WATER.
CHINA/RUSSIA have already agreed about use gold yuan for mutual trade of oil, gas, and any goods.
There is no such thing as 'gold yuan'
Both China and Russia have said they don't want to be in the reserve currency business, not stable, and their reset is done,
If they were to go 'reserve' they would have to kill 10-30 Million of their citizens and off shore their jobs, and have a standing army in 1,000's of locations worldwide, nobody wants to do this, leave it to the USA.
Thus the IMF will provide SDR's, the USD will go away, and the USA and Russia/China get rights to pull as many SDR's out of their ass as they wish,
Happy ending for all.
Yes, today is no such thing as "gold yuan". But what will happen tomorrow, nobody knows.
I do not listen to what say publicly China and Russia. I look at what they do.
Four or Five of those Carrier Groups are inactive as the Carriers are undergoing refurbishments in ports in the USA from what I have read last.
Some overhauls are expected to take many months extending into years.
How many troops are stationed at the majority of those oversea bases? A handful?
The USA strength is overextended as the Foreign Wars are exhausting our resources. This is not to write that we cannot respond and ramp up a War Time Economy and Production if necessary. But the Political Will to do that is not present at the current time.
Personally I do not support the idea of America being a World Empire. We need to bring the troops home and take care of ourselves.
But what I want and the reality of Foreign Policy are two different agendas. Unfortunately I must deal with the reality.
The US Dollar is backed by OPEC Oil. The Military exists to protect those Signatory Nations to the 1973 Treaty drafted by one Henry Kissinger back during the Nixon Administration.
But Obama has pissed off the Saudis by not attacking Syria. However if Syria attacks Saudi Arabia we will be going to War...regardless of the moves of both Russia and China.
This is the unintended consequences of our deal with the House of Saud with King Faisal back in 1973. He was sane. Prince Bandar is a fucking Lunatic.
Personally I do not support the idea of America being a World Empire. We need to bring the troops home and take care of ourselves.
***
WOLFOWITZ and CHENEY made this decision a long time ago, what they didn't invite you for your VETO?
hmmmm their bad
im surprised central banks hold any dollars its junk. Better to hold monopoly money
Funny thing is I'm not scared, I'm ready to face whatever comes........but I am very tired of this suspended animation life complete with Ozero and his follies. Markets are a joke, people are walking about in a trance, unaware. Let it begin. @hayabusa
Can't wait for it to turn back to gold. Was a bad year for gold, but markets are cyclical
Nothing backs the US dollar.
That is NOT TRUE. The US Dollar is still backed by Saudi Oil...and OPEC Oil. It is not called the Petrodollar by accident.
World DEMAND for the US Dollar, because of the previously true fact that Oil can only be paid for, in US Dollars, backed the US Dollar's Purchasing Power, its underlying VALUE.
WE removed Iraq's Saddam Hussein because he was going to accept Euros for Oil.
WE removed Libya's Qaddafi because he was only going to accept a Gold Backed North African Dinar for Oil.
WE want to take on Iran because they are accepting Gold for Oil.
WE go to WAR to protect US Dollar Hegemony.
However, currently, there has been a trend away from the US-OPEC Agreements. Furthermore the US Dollar has been under assault from Foreign Nations, like China, making Currency-Trade Swap Agreements that do not involve the US Dollar. We are NOT prepared to fight China at this point.
Thus the US Dollar is losing preeminence as the World's Reserve Currency.
You may not like this. (I do not.) But it will not change it.
Abe Lincoln,
It is called the 'Petro dollar', because so long as those selling OIL, sell that OIL in USD their children and wives and family's get to live.
Anyone that refuses to SELL their PETRO for anything other than USD is a dead man, that is why its called the 'PETRO-DOLLAR' in the circles of death.
The USD is backed by 100 million corpses since 1910, and dead people don't lie.
How many people have been murdered to get BTC to $10Billion in capitalization? Just a few ...
Currency Reserve Status requires
1.) Off shore jobs
2.) Mass murder domestic and foreign
3.) Dillution of your currency
***
The USD is backed by the FULL power of the US-MIL and enough nuclear weapons to kill everyone on the planet 100x.
How much backing do you need?
But they will fight like hell to keep it going, and the enemy is Gold and Liberty. Slam gold down, and keep the people dummed up and they will continue their ponzi scheme. Next target for gold, $960, here's why:
http://www.thecactusland.com/2014/01/gold-will-break-below-960-its-in-script.html
The choice of $960 is abitrary. Frankly I don't give a fuck what price Gold is, I have enough green already and I find the relic beautiful and inasmuch I will own as much as I fucking please, and thank you.
Don't use dollars or Euros. This is how the lowest criminal scum, the financial terrorists, troglodites from hell, steal your money. They counterfeit that worthless crap and if you use it you are giving them your wealth.
Don't go near dollars they are poison and immoral to use.
Does anyone have any links to the SDR currency...
Go to the BIS site or google SDR, links are legion.
http://www.imf.org/external/np/fin/data/rms_five.aspx
http://www.imf.org/external/np/fin/data/rms_sdrv.aspx
http://www.imf.org/external/fin.htm
This should help
The USD is indexed against the Euro - USD goes down, Euro goes up.
http://bullandbearmash.com/about/usd/
Europe is in far worse shape than the US. The USD also encompasses 60% of global trade - good luck trying to change this.
As usual, from your blinkered daytrader's perspective, you confuse the US dollar (which is ALWAYS falling in value) with the contrived, outdated, and artificial teeter-totter of the US Dollar Index, which has next to zero real-world relevance, except perhaps for the corporate-controlled media muppets to point to in their pathetically lame attempts to claim that the US dollar is (sometimes) "up".
Anyone bringing the long-outdated and bogus US Dollar Index into the discussion immediately discredits himself as an honest or intelligent analyst or commentator.
Gold is like pussy, the dollar is like ass, now go wipe your dick off.
A massive dollar rally is on the way. When europe and Japan crumble, the U.S will be the only game in town. Nothing else will be able to handle the inflows. Dollar shorts will get blown out, as will loans, as in every emerging crisis in the past.
LOL
You are astute and correct gforce. Things will get better for the dollar one more time before the sheeple bond buyers again realize the emporor has no clothes.
The worst thing for the U.S. dollar would be, if drug cartels would ditch it for EUR, CNY or both. That's why HSBC's massive operation to launder money got "boys will be boys"-treatment in the U.S. courts.
If you do it in small scale, like the 'Dread Pirate Roberts' of the Silk Road, you get to spend the rest of your life in prison. If you do it in gigantic scale like HSBC, you get those sweet bonuses. HSBC probably launders money for the U.S. politicians and the security machinery, therefore it was punished only very lightly.
excellent point, although one could make a case, based on the bank's history, that the strings of HSBC are tangled much much deeper than U.S. politicians and the praetorians (to borrow a term).
"Nothing lasts forever (as we've shown before) - except perhaps gold as a store of value it would appear." - welcome to the tyler durden comedy blog!
i move AWAY from the DOLLAR every time i buy Gold or Silver!