Posted on 02/11/2013 5:12:42 PM PST by dennisw
The world currency system is riding down the road to catastrophe,
The world already has entered a currency war that began in 2010 on the heels of the Federal Reserves massive easing program, he tells Wall Street Journal Digital Network. Since then, plenty of nations have joined in, including Brazil, Switzerland and Japan, says Rickards, author of Currency Wars: The Making of the Next Global Crises.
All major central banks are easing, he says. Eventually so much money will be printed that this will lead to inflation. The endgame is collapse of the international monetary system sometime sooner than later.
In both the United States and Japan, the central banks are trying to import inflation to get their economies going, rather than trying to boost exports, through a weaker currency, Rickards says. Theyre scared to death of deflation. Theyve cut rates, and the last resort is to cheapen their currencies.
The European Central Bank is actually doing the right thing, easing for liquidity reasons rather than to depress its currency, Rickards notes. The euro has risen to a 14-month high against the dollar as a result
His currency view makes Rickards a huge bull on gold. His long-term price estimate is $7,000 an ounce One major factor is that China is in a scramble to acquire gold, he explains. With about 1,000 to 3,000 tons, compared with 8,000 tons for the United States, China doesnt have enough of the precious metal.
When the international monetary system collapses, major financial powers will convene to plan the aftermath, he says. When that happens, each nation must have enough gold relative to its gross domestic product.
China needs to get to 4,000 to 5,000 tons to look the United States in the eye and be an equal country, Rickards notes.
(Excerpt) Read more at moneynews.com ...
Well DAA!!!!
Is the (next) Pope black?
Stupid question, just how is our currency supposed to survive given our debt and deficits?
impending collapse —the reason for the mountain range of new DHS ammo.
I thought barry was just trying to bring down the US. He’s shooting for the moon
The antichrist is on the march.
The beast cannot control the world until he controls the money, and Satan is very close to that objective.
Look around us: widespread immorality, a world devoid of love, hatred towards God at every corner.
Somedays, I just want to go home and be with Christ.
"But realize this, that in the last days difficult times will come. For men will be lovers of self, lovers of money, boastful, arrogant, revilers, disobedient to parents, ungrateful, unholy, unloving, irreconcilable, malicious gossips, without self-control, brutal, haters of good, treacherous, reckless, conceited, lovers of pleasure rather than lovers of God, holding to a form of godliness, although they have denied its power; Avoid such men as these. For among them are those who enter into households and captivate weak women weighed down with sins, led on by various impulses, always learning and never able to come to the knowledge of the truth.
2 Timothy 3: 1-7
’Eventually so much money will be printed that this will lead to inflation.’”
It’s a little late for that; this has been going on for decades.
Will it be ok to call it the Obama Depression?
How does he know the USA has 8,000 tons of physical gold. It is not like they allow tours at Fort Knox. I am skeptical how much gold the USA has under wraps.
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