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By "Punishing" France, The US Just Accelerated The Demise Of The Dollar

Tyler Durden's picture




 

Not even we anticipated this particular "unintended consequence" as a result of the US multi-billion dollar fine on BNP (which France took very much to heart). Moments ago, in a lengthy interview given to French magazine Investir, none other than the governor of the French National Bank Christian Noyer and member of the ECB's governing board, said this stunner at the very end, via Bloomberg:

  • NOYER: BNP CASE WILL ENCOURAGE ‘DIVERSIFICATION’ FROM DOLLAR

Here is the full google translated segment:

Q. Doesn't the role of the dollar as an international currency create systemic risk?

 

Noyer: Beyond [the BNP] case, increased legal risks from the application of U.S. rules to all dollar transactions around the world will encourage a diversification from the dollar. BNP Paribas was the occasion for many observers to remember that there has been a number of sanctions and that there would certainly be others in the future. A movement to diversify the currencies used in international trade is inevitable. Trade between Europe and China does not need to use the dollar and may be read and fully paid in euros or renminbi. Walking towards a multipolar world is the natural monetary policy, since there are several major economic and monetary powerful ensembles. China has decided to develop the renminbi as a settlement currency. The Bank of France was behind the popular ECB-PBOC swap and we have just concluded a memorandum on the creation of a system of offshore renminbi clearing in Paris. We have very strong cooperation with the PBOC in this field. But these changes take time. We must not forget that it took decades after the United States became the world's largest economy for the dollar to replace the British pound as the first international currency. But the phenomenon of U.S. rules expanding to all USD-denominated transactions around the world can have an accelerating effect.

In other words, the head of the French central bank, and ECB member, Christian Noyer, just issued a direct threat to the world's reserve currency (for now), the US Dollar.

Putting this whole episode in context: in an attempt to punish France for proceeding with the delivery of the Mistral amphibious warship to Russia, the US "punishes" BNP with a failed attempt at blackmail (recall that as Putin revealed, the BNP penalty was a used as a carrot to disincenticize France from concluding the Mistral transaction: had Hollande scrapped the deal, BNP would likely be slammed with a far lower fine, if any). Said blackmail attempt backfires horribly when as a result, the head of the French central bank makes it clear that not only is the US Dollar's reserve currency status not sacrosanct, but "the world" will now actively seek to avoid USD-transactions in order to escape the tentacle of global "pax Americana."

And, the biggest irony of all is that in "punishing" France for dealing with Russia, that core country of the Eurasian alliance of Russia and China, the US merely accelerated the gravitation of France (and all of Europe) precisely toward Eurasia, toward a multi-polar (sorry fanatic believers in a one world SDR-based currency) and away from the greenback.

Or shown visually (as we have ever since 20120).

Meanwhile, somewhere Putin is still laughing.

 

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Fri, 07/04/2014 - 16:58 | 4925418 kowalli
kowalli's picture

You don't like truth about USA,LOL

Fri, 07/04/2014 - 15:18 | 4925126 The Shootist
The Shootist's picture

Nuclear ransom is an economics game changer.

Fri, 07/04/2014 - 15:22 | 4925133 Hubbs
Hubbs's picture

One by one, the countries are crossing over, which makes it easier for the next country to do the same.

The hypocrisy of the US  going after BNP makes it all the more easier for the next country to walk.....from the dollar that is.

Sat, 07/05/2014 - 04:40 | 4925332 SHRAGS
SHRAGS's picture

Its the old  "postage stamp" analogy.  The first one in a group of four is difficult to remove (two tears), after that, each subsequent stamp requires only a single tear to remove.

Banning Iranian SWIFT transaction may have been the first two tears.

Sat, 07/05/2014 - 10:53 | 4926427 Kirk2NCC1701
Kirk2NCC1701's picture

And yet Ecuador is handing over its gold for Goldman "liquidity".

Fri, 07/04/2014 - 15:24 | 4925136 atthelake
atthelake's picture

ALL of this is done, purposely, to destroy the dollar.

Fri, 07/04/2014 - 18:17 | 4925565 Not Too Important
Not Too Important's picture

No, not the destruction of the dollar. The destruction of the United States completely.

As long as the US 'exists', people around the world will fight for 'freedom and democracy'. Snuff out the US, you snuff out the hopes and dreams of the world.

Much easier to implement a single global totalitarian genocidal government when all the hopes and dreams of the global downtrodden have been destroyed.

Obama was absolutely right, when he campaigned on 'Hope & Change'. He just left out the fact that he was the one that was going to destroy it.

 

"You do not destroy an idea by killing people; you replace it with a better one."
--  Edward Keating

No, in the US, you kill enough, and everyone else will get the point. Same as it always was.

Sat, 07/05/2014 - 10:00 | 4926346 whirling tword ...
whirling tword freedom's picture

What you san can only make sense if you think that all the wars the U.S. has fought have been just.

Fri, 07/04/2014 - 18:51 | 4925648 Count de Money
Count de Money's picture

Obama "smart power" in action.

Fri, 07/04/2014 - 15:24 | 4925144 realWhiteNight123129
realWhiteNight123129's picture

Vive Noyer et Vive la France Libre! Proud to be French today and of My French Central Banker today. (maybe the first time since Jacques Rueff left the scene!)

Fri, 07/04/2014 - 15:29 | 4925161 kliguy38
kliguy38's picture

shave your armpits biatch and put some deoderant on

Fri, 07/04/2014 - 15:43 | 4925196 realWhiteNight123129
realWhiteNight123129's picture

Shove your paper dollars up your ass mon ami.

Fri, 07/04/2014 - 15:49 | 4925215 Bdelande
Bdelande's picture

The dollar based central bank regime of the West print and party while the rest of the world works and weeps.  About as ignoble as it comes.

 

Nice to see it called out for what  it is for a change, namely cheating.  Shove your worthess $$$ fiat up my hairy ass................

Fri, 07/04/2014 - 16:04 | 4925216 Bdelande
Bdelande's picture

indeed

Fri, 07/04/2014 - 16:02 | 4925255 Bdelande
Bdelande's picture

 

It was Rochambeau who joined with Washington to press the campaign of 1781 against Cornwallis' forces at Yorktown, with the assurance that the French Navy would be on station to support the armies. While Rochambeau's fellow countryman, the able Admiral de Grasse, defeated the British fleet off the Virginia Capes, 10,000 French and American troops marched toward the final battle at Yorktown. When Cornwallis and his beleaguered army capitulated, General Rochambeau insisted that the surrender be made to the American forces. Nevertheless, without Rochambeau and his troops and the French Navy, the last great victory in the American struggle for independence, Yorktown, would not have been possible.

Fri, 07/04/2014 - 16:05 | 4925267 knukles
knukles's picture

And without American troops the French would have learned German, twice.
I really don't give 2 shits, either way.
Just sayin'

Fri, 07/04/2014 - 16:17 | 4925306 Lea
Lea's picture

knukles, don't you believe the propaganda. 80% of the Whermacht was defeated by the Russians, not by the Western allies.

I don't mean to diminish the US effort, but if anyone American is to be honored, it's the average Joe who went to fight that particular war overseas, certainly not the "elites".

Guess who helped Hitler get into power?

If you answer "the American corporations and Wall Street", you win.

 

Fri, 07/04/2014 - 17:50 | 4925544 Bdelande
Bdelande's picture

Amen to ALL of that brother................

Fri, 07/04/2014 - 19:34 | 4925721 knukles
knukles's picture

Nobody could have won them wars without 'Merica selling arms and munitions to both sides.
Happy 4th of July

 

 

Sat, 07/05/2014 - 09:49 | 4926324 Analyse2
Analyse2's picture

Also the US wouldn't be a nation, without 'France GIVING arms and munitions'.

This leads to a few embarrassing questions:

- Have the French ever been invited to the celebrations - like the American are kindly invited in Normandy every year for the remembering of D-Day June 6, 1944 (this year with Obama)?

- Where is the memorial in Washington for the 5,000 sailors of French Navy who died for US Independence at the battle of the Chesapeake, and for the soldiers led by Comte de Rochambeau - more than half of the fighting troops at the decisive battle of Yorktown?
Happy 4th of July

Fri, 07/04/2014 - 19:09 | 4925671 Dublinmick
Dublinmick's picture

Stewart Rixon pretty much says it all and I have tried to point this out many times:

“Backed by Wall Street the German industrial base was rebuilt so that when the Nazis came to power in 1933 they were, in terms of economic and industrial capacity, a few short steps away from being able to wage total war. A combination of U.S. oil, pharmaceutical and military supply interests joined with Wall Street banking to finance the restructuring of Germany’s industries. Wall Street also helped create the I.G. Farben conglomerate; involved in the production of synthetic gasoline and explosives, both essential in any modern war, I.G. Farben was engaged in a range of activities that were crucial to Germany’s war effort. Indeed it’s no exaggeration to say that I.G. Farben was Hitler’s war machine and that it was largely created with the covert aid of U.S. banking elites: the Rockerfeller’s, the Harriman’s, the Du Pont’s and J.P. Morgan. (1)”

Hitler was a Rothshild and so is his daughter Angela.

Fri, 07/04/2014 - 16:20 | 4925310 realWhiteNight123129
realWhiteNight123129's picture

I am French and I have great admiration for the old school America and Mr. Ron Paul. As for those who defend paper dollars, whatever their nationality, they can go to hell.

Fri, 07/04/2014 - 17:03 | 4925422 Boxed Merlot
Boxed Merlot's picture

As for those who defend paper dollars, whatever their nationality,...

 

 

I figured the "Tri" in "Tri-lateral Commision" meant the purpose for their being was to assure the dollar was used to conduct international trade between otherwise "bi-lateral" parties.  This latest event with France and Russia is not producing "un-intended consequences" as far as many Commision members are concerned.

 

jmo.

Fri, 07/04/2014 - 16:27 | 4925335 logicalman
logicalman's picture

Hitler lost the war in 1941 in Russia.

US only showed up to pick over the corpse of Europe for its own ends, having snatched as much swag as possible before joining in.

Read some history, please, and forget the propaganda.

 

Fri, 07/04/2014 - 17:44 | 4925523 Bdelande
Bdelande's picture

Thank you!

Fri, 07/04/2014 - 21:15 | 4925875 August
August's picture

>>>US only showed up to pick over the corpse of Europe for its own ends...

Paul Craig Roberts put it well:  the US/UK invasion of Normandy was only trivially related to defeating the Wehrmacht, but was required to prevent the Red Army reaching Normandy first.

Fri, 07/04/2014 - 16:38 | 4925357 FeralSerf
FeralSerf's picture

Even when the Germans occupied France the French didn't learn German. The Germans needed to learn some French.

Fri, 07/04/2014 - 17:47 | 4925520 Bdelande
Bdelande's picture

Twice my ass..............................The armistice for WW I was signed in a French rail car for a reason.  

 

Johnny come latelies, always taking way too much credit for the allied victories.  Childish, put your pompoms away.

Fri, 07/04/2014 - 20:21 | 4925793 barre-de-rire
barre-de-rire's picture

@ knuckles :

 

1) http://en.wikipedia.org/wiki/Gilbert_du_Motier_de_La_Fayette

so -> STFU.

 

2) WW2 total humans lost:

http://www.les-crises.fr/wp-content/uploads/2014/06/morts-ww2.jpg

 

military lost :

http://www.les-crises.fr/wp-content/uploads/2014/06/pertes-militaires-ww...

 

 

without russia war to massivly lower germans troops,  normandy just would not have been possible.

you came when the party was over,

usa made the last 5% of the europ front war.

admit it,  pretty overrated. as usa as always been, fortunatly this is ending this days. :)

have a nice day , to HELL.

 

 

Fri, 07/04/2014 - 18:03 | 4925569 Not Too Important
Not Too Important's picture

And the Russians were guarding the West Coast for us.

Putin really needs to get some better PR guys. That would have been gold in the last few weeks, leading up to today.

Fri, 07/04/2014 - 16:07 | 4925266 Lea
Lea's picture

to kliguy38

You guys in America actually shave your armpits? No joke?

Fri, 07/04/2014 - 16:07 | 4925272 knukles
knukles's picture

Some fucked up guys do, as a matter of fact

http://www.campusreform.org/?ID=5735

Fri, 07/04/2014 - 16:11 | 4925285 El Vaquero
El Vaquero's picture

Good God Knucks!

Men are also allowed to receive extra credit, as long as they shave their bodies from the neck down.

My legs alone would probably take an hour!

Fri, 07/04/2014 - 16:08 | 4925275 El Vaquero
El Vaquero's picture

Only women and narcissists. 

Sat, 07/05/2014 - 07:54 | 4926240 Learn more and ...
Learn more and know less's picture

deodorant is an expression of all that is wrong with modern life.

Fri, 07/04/2014 - 15:26 | 4925150 JimboJammer
JimboJammer's picture

France  just  has  to  say "  we  will  treat  you  like  you  treat  Germany ...  we  want  seven  years  to  pay  you...

yes  you  will  get  your  money ....but  it  will  take  seven  years  to  get  it...

Fri, 07/04/2014 - 15:47 | 4925208 realWhiteNight123129
realWhiteNight123129's picture

Excellent idea BNP should sale some TSYs or just repo them buy some Gold with the procceds and in 7 years BNP might have made a nice profit net of the fine they have to pay to the US.

 

Fri, 07/04/2014 - 15:29 | 4925157 Meatballs
Meatballs's picture

All while the FED props up banks all around the world. Just too stupid for words. From which way the wind will come to blow down the house of cards is endlessly fascinating.

 

Sat, 07/05/2014 - 02:08 | 4926120 MEAN BUSINESS
MEAN BUSINESS's picture

from Paris as winter starts in 2015 ; )

Fri, 07/04/2014 - 15:29 | 4925158 Sudden Debt
Sudden Debt's picture

It was the first thing that came to mind when the told bnp they couln't deal in dollars anymore.

It's not by accident.

Fri, 07/04/2014 - 15:30 | 4925163 Meatballs
Meatballs's picture

Nope.

Fri, 07/04/2014 - 15:42 | 4925192 International Jew
International Jew's picture

How to derail the most powerful country on the face of the earth...

- take notes, the jews are doing a marvelous job.

Fri, 07/04/2014 - 17:06 | 4925444 CCanuck
CCanuck's picture

MF'er

Fri, 07/04/2014 - 17:37 | 4925512 COSMOS
COSMOS's picture

The derailment happens even faster when you fight for interests that are not your own.

Fri, 07/04/2014 - 15:31 | 4925164 Meatballs
Meatballs's picture

.

Fri, 07/04/2014 - 15:30 | 4925165 Al Huxley
Al Huxley's picture

Time to switch back to 'Freedom Toast' and 'Freedom Fries'.  Ungrateful fucking cheese-eating surrender monkeys....

Fri, 07/04/2014 - 15:45 | 4925200 Bdelande
Bdelande's picture

You wouldn't be celebrating the birth of your Nation today without the French.

 

GEORGE WASHINGTON, letter to John Banister, Apr. 21, 1778 
 
"France, by her military might and supplies, has saved us from the yoke thus far; and a wise and virtuous perseverance would, and I trust will, free us entirely."    

Fri, 07/04/2014 - 16:57 | 4925375 realWhiteNight123129
realWhiteNight123129's picture

On this day, it is very a propos for America to remember its old principles, remember what it is at there core, shake its parasites and leeches which have been nourishing themselves of financialization, de-industrialization, inflation-theft, monetary rot, war mongering and corruption.  Stand up America, you can do it! Go march against those impostors sitting in Washington. It is time to bring what those who have defaced this great country to accountability, to bring them down and restore the great virtues which were those of America, self-reliance, capitalism without safety net for incompetent fat cats. Go Americans stand up, those people will be toppled in a blink if you join forces.

Today should be the birth of the second American Revolution.

Vive la deuxieme revolution Americaine. 

Vive L' Amerique Libre!

 

Fri, 07/04/2014 - 23:34 | 4926009 COSMOS
COSMOS's picture

Well they saved us and they can bury us by tipping the dominoes

Fri, 07/04/2014 - 23:35 | 4926010 WillyGroper
WillyGroper's picture

monsanto, le sirop de maïs riche en fructose longues citoyens vivants unie et cheetos

Fri, 07/04/2014 - 15:52 | 4925228 Seize Mars
Seize Mars's picture

Huxster

That's a bullshit meme. The Nazis marched in, and in return for total being dominated by those scumbags, you mock them. Nice.

Further, did you forget WWI? Nobody surrendered. They fought like motherfuckers for 4 years, losing almost 2 million men.

So, fuck you.

Fri, 07/04/2014 - 16:14 | 4925286 Al Huxley
Al Huxley's picture

You know, on principle, I will never tag a comment with /sarc, but I can't believe how many people apparently aren't familiar with the Simpsons, and who also think that the fucking idea of renaming stuff from 'French' to 'Freedom' could EVER have been anything other than an illustration of idiotic pandering by the basest element of the political class to the dumbest fucking members of their constituencies.

Fri, 07/04/2014 - 16:30 | 4925342 Temporalist
Temporalist's picture

Well I for one love cheese...and monkeys.

Fri, 07/04/2014 - 16:41 | 4925362 FeralSerf
FeralSerf's picture

Maybe you're really Dutch and not French.

They say there's nothing like a warm, live monkey brain.

Fri, 07/04/2014 - 20:02 | 4925768 Escrava Isaura
Escrava Isaura's picture

Al,

I couldn't agree more.

Fri, 07/04/2014 - 15:58 | 4925244 Bdelande
Bdelande's picture

Give it a rest......... 
 
WW II deaths: France 600K USA 400K 
 
WW I deaths: France 1.4 Million USA 100K 
 
I rest my case, the facts speak for themselves. You have always over stated your contributions, Johnny come latelies, is all.
 

Fri, 07/04/2014 - 16:12 | 4925287 El Vaquero
El Vaquero's picture

I think he forgot the sarc tag.

Fri, 07/04/2014 - 16:14 | 4925296 Al Huxley
Al Huxley's picture

See my above comment.

Fri, 07/04/2014 - 17:10 | 4925300 FredFlintstone
FredFlintstone's picture

Oh, and Jean Claude Van Damme is Belgian, so there are no tough guys in France.

 

But we had the big, tough farm boys who could shoot. You had the little effete guys.

 

 

Fri, 07/04/2014 - 18:06 | 4925576 Not Too Important
Not Too Important's picture

A lot of US Marines with boxing skills beat the shit out of a bunch of highly trained Chinese martial artists back in the day.

We didn't need to be there, but we didn't take any martial arts shit.

Fucking opium peddlers, now Central Bankers.

Fri, 07/04/2014 - 16:45 | 4925380 Conax
Conax's picture

No sonfabitch ever won a war by dying for his country. You want the enemy to die for his.. 

Nevertheless, I personally appreciate the French and their contribution to our winning the first war with England. I understand they detest Gringoes and make fun of us in those open-air cafes in Paris, too.  Foreigners are funny, c'est la vie.

Fri, 07/04/2014 - 18:07 | 4925509 Bdelande
Bdelande's picture

Johhny come latelies was the point...............The Germans had exhausted their man power and were retreating by the time you Yanks showed up on the scene.  It is what it is .....the numbers speak for themselves.......................your school boy text books give way too much credit for the allied victories in both wars.

 

Fri, 07/04/2014 - 21:04 | 4925864 Ocean22
Ocean22's picture

The Russians did the dirty work for the Americans.

Sat, 07/05/2014 - 10:45 | 4926411 Bdelande
Bdelande's picture

Indeed Sir

Sat, 07/05/2014 - 18:56 | 4927493 DrewJackson
DrewJackson's picture

Let's not forget the Imprial Japanese the US were fighting at the same time.   The same Japs who destroyed the Russian Navy 60 years before ( first time Asians ever beat Europeans)

 

Then the Russians were Ivans come lately in the Pacific....

All nations of the World have bled for a handful of sociopaths, and they are leading us ALL to the same shredder.

 

 

Fri, 07/04/2014 - 22:05 | 4925930 timmeh
timmeh's picture

WW II Russian deaths: 7,5Million + 15Million of citizenry

Fri, 07/04/2014 - 23:09 | 4925989 Emergency Ward
Emergency Ward's picture

You can never accuse Napoleon of cowardice, especially when it came to conscripting foreigners to use as cannon fodder in his military expeditions.

Sat, 07/05/2014 - 03:16 | 4926150 Jam
Jam's picture

That's a lot of dead Frogs.

Fri, 07/04/2014 - 15:31 | 4925166 BadDog
BadDog's picture

Germany BND member arrested for spying for U.S. Why stop at France?  Let's destroy relations with all of the non anglo-american world.

http://www.theguardian.com/world/2014/jul/04/germany-arrest-bnd-spying-a...

Fri, 07/04/2014 - 15:45 | 4925204 Anusocracy
Anusocracy's picture

There is no honor among psychopaths.

Fri, 07/04/2014 - 18:07 | 4925579 Not Too Important
Not Too Important's picture

Cloward-Piven on a global scale. Working great, btw.

Fri, 07/04/2014 - 19:19 | 4925689 Kprime
Kprime's picture

so given the us can set laws for all other countries, why doesn't Germany do likewise and arrest the entire NSA for spying?

Fri, 07/04/2014 - 19:34 | 4925717 BadDog
BadDog's picture

Germany, like our other ally Japan, is still occupied.  We like to keep them close.  France is a nuclear power.

http://militarybases.com/overseas/germany/

Fri, 07/04/2014 - 15:35 | 4925177 adonisdemilo
adonisdemilo's picture

Not be long now before Amerika is on its knees. The way the dumbfucks are stacking up the unintended consequences and constantly shooting themsleves in the foot they certainly won't need any shoes or socks, just crutches.

Fri, 07/04/2014 - 15:55 | 4925231 CCanuck
CCanuck's picture

America is on its knees......

 

 with the BIG O right behind it, pushing, thrusting, pounding...FORWARD

Fri, 07/04/2014 - 16:56 | 4925410 Pure Evil
Pure Evil's picture

And the Wookie is at the other end making poor America eat bush meat.

Fri, 07/04/2014 - 17:02 | 4925433 falconflight
falconflight's picture

Joan Rivers outed the Wookie yesterday identifying her as a "tranny."  lol

Fri, 07/04/2014 - 17:08 | 4925445 lakecity55
lakecity55's picture

Mooch is behind bath house, he is behind the US. That tranny dick must be big.

The country is pulling a gay tranny train!

Fri, 07/04/2014 - 17:48 | 4925535 mc225
Fri, 07/04/2014 - 15:40 | 4925188 debtor of last ...
debtor of last resort's picture

Dollar reserve status is going down in 2014. Just a thought.

Fri, 07/04/2014 - 17:06 | 4925442 lakecity55
lakecity55's picture

2015 for sure.

Fri, 07/04/2014 - 15:42 | 4925194 3rd Pig
3rd Pig's picture

Chrissie Lagarde’s, One World lucky No. 7’s being Ordered & printed as we chat.

I can hear her now “2014 drop the 0 La La..! 0i oi...”

It’s been planned for one hundred years

 

Fri, 07/04/2014 - 15:47 | 4925211 Quick
Quick's picture

Obama handlers are working overtime to bring this country to an end. It appears they are working double time to finish the job before 2016 ends. 

I dont think they can thwart the elections (as though eelections matter anymore) because enough gun toters are awake to cause them a problem.  So they work double time to finish the job !

Fri, 07/04/2014 - 19:37 | 4925726 mrmister
mrmister's picture

Record amount of executive decisions this summer. Tyranny.

Fri, 07/04/2014 - 15:49 | 4925218 auntiesocial
auntiesocial's picture

conversely, what if the destruction of the dollar is on porpoise...

Fri, 07/04/2014 - 16:09 | 4925278 knukles
knukles's picture

That's a pretty fishy idea, fellah

Fri, 07/04/2014 - 16:30 | 4925343 booboo
booboo's picture

Rename the dollar the dolphine! Is this a hoax!

Fri, 07/04/2014 - 18:09 | 4925582 Not Too Important
Not Too Important's picture

And that's a radioactiave porpoise, too!

Glow-in-the-dark dollah?

Fri, 07/04/2014 - 15:50 | 4925224 orangegeek
orangegeek's picture

there are six inverse biases to the USD

 

http://bullandbearmash.com/about/usd/

 

if the USD goes to zero, the Euro goes to infinity

 

the USD is an index and is part of a 7 currency network

 

so china can partner with whomever it wants - the largest economy is europe and it is tied to the second largest economy - the US.

 

good luck changing this

Fri, 07/04/2014 - 15:55 | 4925230 falak pema
falak pema's picture

Oh the irony of saying one thing and doing the opposite.

Obammy loved French support to take out Q-daffy and openly praised Sarko at Cannes for that tipping moment which had as unintended consequence that it fueled the Putin-Syria HARD line front; which has subsequently created the larger Eurasian Cold war front on the energy-money line threads.

Now the BNP rap on fingers :  something that Pax Americana's exorbitant privilege status imposes on its surrogate monetary partners since 1971; its producing a ripple effect, just like Libya did on the military front. 

US policy now begets its own illegitimate children, like a corrupt Oligarch on a bunga bunga spree. 

Potus should have been wearing a condom when he said : we stand for Justice at home and we fight the terrorist abroad. Now he has to deny having had crony sex with the Squid, JPM and the ISIS Syrian sons fed on Libya's demise. 

Something the fast receding world of ancient allies will find difficult to forgive him. Talk about an EU-Russian energy cum business front in the making

Sat, 07/05/2014 - 05:17 | 4926175 trader1
trader1's picture

falak,

one of the few here who actually "gets it"

don't forget china.

 

Fri, 07/04/2014 - 15:59 | 4925249 Davos
Davos's picture

This has to be by design, it is unpossible to be this stupid.

Looks like that guy wasn't lying when he said "were gonna kill the dollar"

Fri, 07/04/2014 - 21:01 | 4925857 Ocean22
Ocean22's picture

.

Fri, 07/04/2014 - 21:00 | 4925858 Ocean22
Ocean22's picture

You are correct sir. This is all intentional. Most are too busy with tee vee, i-gadgets and football to pay attention.

Fri, 07/04/2014 - 16:03 | 4925259 potato
potato's picture

Let's talk about the demise of America. I see a lot of benefits to the lack of an international bully using force against other nations. But i'm not clear on what would be the ill effects. Would Russia replace the USA as the global bully?

Sat, 07/05/2014 - 04:16 | 4926165 smacker
smacker's picture

Start worrying when the internationally mandated Air Traffic Control language changes to Chinese, Russian or Arabic.

Fri, 07/04/2014 - 16:09 | 4925277 Gringo Viejo
Gringo Viejo's picture

"And I will give children to be their princes, and babes shall rule over them."

Isaiah 3:4

Fri, 07/04/2014 - 16:11 | 4925284 Richard Whitney
Richard Whitney's picture

The BNP Paribas guilty plea, which resulted in an $8.9B penalty, was the result of a lawsuit filed by the father of a 20-year-old woman who was killed in a Gaza Strip bus bombing. From that lawsuit, Manhattan prosecutors found that BNP Paribas, along with Credit Suisse and Lloyds, were disguising illicit transactions, substituting their names in place of Iran to facilitate Iranian investment here. Stephen Flatow of West Orange NJ was awarded $250M by a Federal judge, but Iran never paid. So Flatow sought to collect from the Alavi Foundation, an Iranian front.

The Manhattan prosectutors began this investigation in January 2006 under Robert Morgenthau, who was succeeded by Cyrus Vance Jr.. Adam Kaufmann of the Manhattan prosecutors office traveled to Wasjhington to meet with the Treasury Office of Foreign Assets, and later Federal authorities joined the case. The parallel investigations merged in 2007.

Sleazy European banks salivated over a chance to make a quick buck circumventing sanctions, and they got caught, and they have been getting punished. Barclay's settled in 2010, and ING, Standard Chartered and HSBC settled in 2012. By the way, BNP was also doing business with Sudan when Sudan was perpetrating their genocidal regime.

So this entire paragraph quoted below is completely incorrect. It is factually ignorant, appeals to the dollar-catstrophe hounds and only reflects Kremlin propaganda. Worse, it parrots the lame claim by Putin that this was all to punish France for the recent Mistral sale (which only happened years after the investigations were leading to settlements and big fines). Putin's claim unintentionally exposes Putin's fear that real sanctions would actually be effective.

 

>>Putting this whole episode in context: in an attempt to punish France for proceeding with the delivery of the Mistral amphibious warship to Russia, the US "punishes" BNP with a failed attempt at blackmail (recall that as Putin revealed, the BNP penalty was a used as a carrot to disincenticize France from concluding the Mistral transaction: had Hollande scrapped the deal, BNP would likely be slammed with a far lower fine, if any). Said blackmail attempt backfires horribly when as a result, the head of the French central bank makes it clear that not only is the US Dollar's reserve currency status not sacrosanct, but "the world" will now actively seek to avoid USD-transactions in order to escape the tentacle of global "pax Americana."<<

Fri, 07/04/2014 - 16:27 | 4925303 Bdelande
Bdelande's picture

Seeing as the sanctions themselves were sleazy hypocracy by the one and only Nation in the world ever to use a Nuclear weapon on civilians, the circumventing of bogus iligitimate sanctions was perfectly legit.

 

Your self righteous & self seeking US hedgemony can blow us.

Fri, 07/04/2014 - 16:55 | 4925406 Richard Whitney
Richard Whitney's picture

Thank you for your delusional, revisionist, fact-free, misspelled ad-hominem comment

Fri, 07/04/2014 - 17:31 | 4925477 Bdelande
Bdelande's picture

Put your USA USA USA pompoms down, no one buys your self serving horsehit anymore.  Go print some more paper $$$ to impress us all.

Fri, 07/04/2014 - 18:42 | 4925638 McMolotov
McMolotov's picture

The US is a pompous, hypocritical, pathetic shell of its former self. All we have left are the tattered pompoms we've been waving since WWII.

There's a reason I joke that I tell people I'm Canadian. Not sure how much longer it'll remain a joke...

Fri, 07/04/2014 - 20:36 | 4925822 Aussiekiwi
Aussiekiwi's picture

Individually Americans are great people, never met one I didn't like, (may be I'm just lucky), its as group that the stupidity level rises, perhaps that applies to all groups.

Sat, 07/05/2014 - 00:53 | 4926071 Anusocracy
Anusocracy's picture

I can certainly say that about Australians - saved my life twice.

But then again, I've never met any of your politicians.

Fri, 07/04/2014 - 17:01 | 4925423 falak pema
falak pema's picture

...Sleazy European banks salivated over a chance to make a quick buck circumventing sanctions, and they got caught, and they have been getting punished....

Lol, 'cos other banks can be sleazier than the US cabal?

You've reinvented the "sleaze" spectrometer of the TBTF brigade.

You deserve a Nobel just for that!  

You do know that the US sanctions are totally UNILATERAL in nature and are NOT EVEN US Law but US Admin banking decrees, which they make up knowing that the US clearing houses are in a MONOPOLY position and that foreign TBTF banks HAVE to deal with the US clearing house on US soil for their $  transactions to survive in international banking world. 

The whole USD monopoly is the biggest scam of them all and its a total protectionist racket just based on ONE Admin Mantra dating 1971 : Our money your problem. 

Talk about "invisible hand of markets" and clean dealings and foreign banking "sleaze".

The whole Oligarchy world is just one ocean of sleaze. 

And there is NO BIGGER protectionist racket than the FED's greenback with the possible exception of the US/SAUD oil monopoly created by the Seven Sisters and Aramco. 

Fri, 07/04/2014 - 17:28 | 4925484 Bdelande
Bdelande's picture

Very well stated............bravo.

Sat, 07/05/2014 - 08:27 | 4926269 Ghordius
Ghordius's picture

great rebuke, falak. applause

Fri, 07/04/2014 - 21:50 | 4925903 Lux Fiat
Lux Fiat's picture

While you present some interesting food for thought, I tend to agree with Falak Pema on this one.  US regulators and prosecutors seem to have no qualms body slamming foreign banks, while criminally fraudulent and economically damaging activity perpetrated by US-based banks was swept under the rug, and stays there, with the one off low-level sacrificial lamb trotted out from time to time. 

The wake up call for me was not the '08/'09 implosion, but what happened, or in this case, didn't happen, in it's aftermath.  Toto, we're not in Kansas anymore.

Fri, 07/04/2014 - 21:59 | 4925918 August
August's picture

>>>The Manhattan prosectutors began this investigation in January 2006 under Robert Morgenthau, who was succeeded by Cyrus Vance Jr.. 

Only because Clark Clifford is still dead.

 

Sat, 07/05/2014 - 03:39 | 4926154 Grumbleduke
Grumbleduke's picture

Now looky here:

Who's boss of the FBI, the mighty FBI?

James Comey

This sack of shit was on the board of directors of HSBC Holdings

Formerly know for laundering drug cartel money (and saving muricas banks), now running the enforcers.

 

This is so exceptional!

Sat, 07/05/2014 - 05:57 | 4926184 andrewp111
andrewp111's picture

There is no inconsistency in the narratives Just because the fines were over trade with Iran doesn't mean the Obama Administration didn't try to use them as leverage in scuttling the Mistral sale to Russia. In foreign policy, all things are interconnected.

Fri, 07/04/2014 - 16:15 | 4925297 Seize Mars
Seize Mars's picture

Look, at this point, if you don't know:

1 - Fiat money is a very unrealiable place to store your hard work

2 - The USD is not going to last

3 - The demise of the American Republic and the USD are both by design

...then I don't know what to say.

Fri, 07/04/2014 - 18:11 | 4925590 BeetleBailey
BeetleBailey's picture

I'd like to read one lucid comment on what will replace the USD as the reserve currency.

Everyone yammering about the demise of the USD....fine....agreed.

But...what will replace it?

The Yuan? I highly doubt it.

The Rubel? see above....

A "basket of currencies"?

The Euro? Again...highly dubious....

Sat, 07/05/2014 - 11:38 | 4926482 El Vaquero
El Vaquero's picture

Why must something replace it? 

Sat, 07/05/2014 - 08:36 | 4926280 Ghordius
Ghordius's picture

I disagree. roughly. there is the American Republic and there is the Oil Empire, the Defense Empire, the Financial Empire and the USD Empire

their political centers of gravity aren't all the same. in the first case, it's Washington, DC

in the second case, it's an axis between Washington and Ryad, and in the fifth case it's an axis between Washington and NY's financial interest networks, expressed in the NY-FED

each of those five nexus points of interests has a life of it's own. the "demise" of one of them does not necessarily result in the demise of others

Fri, 07/04/2014 - 16:25 | 4925327 Joe A
Joe A's picture

America is pissing off European allies in such a fast pace that one would almost think it is deliberate.

Fri, 07/04/2014 - 17:03 | 4925438 lakecity55
lakecity55's picture

It is 100% deliberate.

Sat, 07/05/2014 - 07:49 | 4926235 Eyeroller
Eyeroller's picture

Dunno.

As far as Teflon Barry is concerned, I think it is gross incompetence.  His incompetence is directly proportional to his ego.  He truly believed that once he got into office that all the Muzzie countries would cease to hate America and Europe would fawn over him like the US press does. 

Foreign nations see him as the weak leader he is, and this is why they are emboldened to plot the destruction of the USD.  They aren't the slightest bit concerned about any "red line" consequences.

Saying that the downfall of America is all "by design" is really giving too much credit to Obama.  If anything, the real credit belongs with the voter who chose to vote for free stuff instead of the strong medicine it would take to get the economy turned around. 

 

 

Fri, 07/04/2014 - 16:36 | 4925329 Lea
Lea's picture

All that was to be expected. A French economist said, right after the BNP shebang unfolded, that the Americans were shooting themselves in the foot. He declared "what's the American message on this one? If the dollar is a pain in the neck, simply drop the dollar, dudes. Simple enough".

My bet is that other countries will rapidly follow, as nobody likes the threat of huge fines.

That was a seriously dumb move.

Fri, 07/04/2014 - 20:55 | 4925848 Ocean22
Ocean22's picture

Unless they WANT the dollar to crash. (Which they do )

Fri, 07/04/2014 - 16:30 | 4925339 Circle of DNA
Circle of DNA's picture

France should be bombed into democracy by the Anglo-Zionist freedom fighters very soon. They will have a wonderful, LGBT, full color spectrum revolution and the hallucinations of freedom will forever be imprinted in their estrogenic-GMO-modified brains.

Fri, 07/04/2014 - 16:36 | 4925352 dogfish
Fri, 07/04/2014 - 17:19 | 4925468 JohninMK
JohninMK's picture

Well spotted.

So it is now Germany/UK/France/S Korea/Australia/New Zealand direct dealing in Yuan.

South Korea, a real US dominated state that is the news, not France.

Fri, 07/04/2014 - 17:54 | 4925554 kowalli
kowalli's picture

+Russia,Japan

Fri, 07/04/2014 - 16:36 | 4925353 kchrisc
kchrisc's picture

Fat lady just started her third aria.

Fri, 07/04/2014 - 17:02 | 4925434 lakecity55
lakecity55's picture

I think the bath house has been ordered to kill the dollar by 2016; the French banker is correct- it is an accelerating process along an exponential curve.

The invasion from the south is intended to exterminate sovereignty towards a NAU monetary unit.

 

Fri, 07/04/2014 - 20:03 | 4925683 CCanuck
CCanuck's picture

KC, will she be joining you on the Kareoke Tour?

Fri, 07/04/2014 - 16:39 | 4925358 yogibear
yogibear's picture

The Crash of the US dollar should be devistating for the 99%.

Fri, 07/04/2014 - 16:42 | 4925365 g speed
g speed's picture

I think it's a good thing for the US to get away from having it's fiat as the worlds reserve.  Maybe we can get on with business at home --clean up our politics and adjust our priorities. World banks are world banks and will do business in what ever--no change there.---big change will happen in US foreign policy -- no more bombing around the world. No more nation building-- more of a Ron Paul type of USA-- no more foreign aid -- no more Import Export Bank-- --No more big military bases around the world-- No more exporting inflation so chickens come home to roost. --  Lots of good stuff can happen. --Maybe even fair stock markets with interest rates normalized with out the FED supporting the crooks of the world-- maybe big crime will use something other than the dollar??  just saying.

Fri, 07/04/2014 - 18:51 | 4925651 Kprime
Kprime's picture

no intent to be unkind or diss u, but what drugs are causing these wild hallucinations?

Sat, 07/05/2014 - 09:01 | 4926301 g speed
g speed's picture

just everyday business and stuff thats happining in politics --like the "new speaker of the house" going on record to wanting to get rid of the Export Import Bank.  --- the bundy ranch-- the Iraq debacle --- more people wanting to have less gov't.----Obama care ---waking up on the 9/11 events-- fewer "greatest generation" voters---IRS scandal -----Snowden---general US populations view of Israeli aparthed-- US voters realizing the level of "hate USA" vitrol around the world--TSA in airports--

Oh yea the drugs---it's the war on drugs and the resulting loss of freedoms that the avereage US citizen is feeling--and the Patriot Act ---

IMHO the tide is turning--- 

I've been around since the early 1940s and have seen a lot of changes---I don't have to rely on schools and books and the net for my recent history lessons-- I just look in my photo album to see the patterns---

Fri, 07/04/2014 - 21:43 | 4925899 drendebe10
drendebe10's picture

Fat Frackin chance, fat frackin chance..

Fri, 07/04/2014 - 16:45 | 4925379 Oldrepublic
Oldrepublic's picture

very glad  to see the French standing up to  the blatant blackmail of the American government over the sale of the Mistral warships to Russia.  Noyer’s  statement  regarding the future of the dollar  is indeed foreboding.

Fri, 07/04/2014 - 17:42 | 4925519 viahj
viahj's picture

true, but it is disheartening to see all the US vs. France stereotype bickering going on in here.  divide and conquer ensures the continuation of the global oligarchy and their systems.

Fri, 07/04/2014 - 16:57 | 4925417 atthelake
atthelake's picture

STOCK UP, if you can, on food, fuel, drink, meds, supplies and heirloom seeds because this cannot end well.

Fri, 07/04/2014 - 23:54 | 4926025 WillyGroper
WillyGroper's picture

My thoughts exactly. Dried beans are fine but what if you've got no power or fuel?

Canning some nice fava beans & chickpeas tomorrow. 

Fri, 07/04/2014 - 17:13 | 4925460 DarthVaderMentor
DarthVaderMentor's picture

Obama and Michelle are behind schedule in destroying America. Bill Ayers is clearly disappointed.

Fri, 07/04/2014 - 21:33 | 4925889 nathan1234
nathan1234's picture

Would that be Michael and not Michelle.?

Fri, 07/04/2014 - 17:13 | 4925462 NoWayJose
NoWayJose's picture

As long as the Fed can create trillions of dollars and flood them into other central banks, global commercial banks, bond and stock markets, etc - the US will have no real trouble. The Fed cronies can manipulate markets to move any 'real' asset in the direction they desire - and leverage their positions many times over. This will work until the dollar collapses - and the Fed's actions are themselves hastening the day.

Fri, 07/04/2014 - 17:21 | 4925472 kurt
kurt's picture

France and everything east will be a Fuku-Chernobyl Dead Zone. They have too many nuke power stations, and nuclear weapons. Can you say toxic hell hole of death. Germany in moving away from nukes was smart but will have to live in domed cities and underground. Bullish excavating equipment, tunneling, full spectrum lighting. All that radiation will move east mixing with the cloud from the Ruso-Ukrainian-Americo-Israel-Muslim War. That in turn moves east killing China. Soon it rains down into the Pacific completing the death of that ocean. Bullish filtration, radiation mitigation, synthetic foods, think fungus algae. At first the winter will be at least three years. Bullish stored foods. See? I'm not all negative.

Fri, 07/04/2014 - 18:34 | 4925627 IndianaJohn
IndianaJohn's picture

kurt, -- did you see the one about the Babushkas; http://thebabushkasofchernobyl.com/

Sun, 07/06/2014 - 03:55 | 4928432 kareninca
kareninca's picture

thank you for linking that

Fri, 07/04/2014 - 17:25 | 4925478 Bear
Bear's picture

This Administration is the epitome of cluelessness ... these are the best and brightest America has to offer? 

Fri, 07/04/2014 - 18:07 | 4925580 Jackagain
Jackagain's picture

Not sure....but they are the most corrupt...

Fri, 07/04/2014 - 22:10 | 4925940 August
August's picture

If you're a Top Graduate from a Top University, you go on into either a lucrative FIRE industry position, or into "Governance".  Either way, these people are the cream of the crop.

Fri, 07/04/2014 - 17:46 | 4925530 yogibear
yogibear's picture

Crash the US dollar already! The Federal Reserve wants it as well. Their doing everything they can to devalue it big time.

Fri, 07/04/2014 - 20:26 | 4925810 lakecity55
lakecity55's picture

How about the owners of the B for IS is ordering their branch bank, the Fed, to devalue it so they can profit off the East?

Fri, 07/04/2014 - 17:51 | 4925546 Banjo
Banjo's picture

Oh wow another big accident slash blunder by the US. Just like 9/11 all just dumb luck, air force intellignce agencies all failed at the same time.

 

Fri, 07/04/2014 - 17:55 | 4925547 Banjo
Banjo's picture

Oh wow another big accident slash blunder by the US. Just like 9/11 all just dumb luck, when air force and intellignce agencies all failed at the same time.

 

Fri, 07/04/2014 - 18:01 | 4925566 Crazed Smoker
Crazed Smoker's picture

Well that's not good because France's economy is even larger than Russia's. Oye.

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