Skip to comments.Jim Willie: US Dollar Funeral At Hand!
Posted on 04/10/2014 5:58:29 PM PDT by Errant
A global clash of nations is underway in full gear. The time is finally right. The urgency is acute. The banking system insolvency is widespread. The illiquidity has reached the surface. The geopolitical chessboard has busy movements of many pieces, even with a delayed check in Ukraine after a devious capture of the Cyprus castle but not the Syrian knight. The Saudi support via OPEC for the Petro-Dollar has fallen out of view, dragging its pummeled chin on the desert sands. The Eastern superpowers are marching arm in arm, ready to challenge the West. It seems the Western leaders, in particular the robot sock puppets of the Untied States, see the end of the USDollar. They appear to wish to lay blame on Russia for the death of the dollar. The global rejection began with the Iran sanction workarounds, where India bought Irans oil & gas, but paid with Turkish gold, delivered to Tehran banks. The global rejection will achieve escape velocity with the acceptance of Russian Rubles for its energy products. The global rejection will achieve additional escape velocity with the acceptance of Chinese Yuan payments for Saudi crude oil (then all OPEC oil). Coming is the launch of both the gold-backed Russian Ruble and the gold-backed Chinese Yuan. The global rejection will be final, and the funeral will be announced.
(Excerpt) Read more at silverdoctors.com ...
This will be a game change if it comes to pass. I would look for at least Canada to join and perhaps some of the States. For those who hold gold in America, now might be a good time to get it out of country?
Rick Wiles is joined by Alasdair Macleod from the UK to discuss why WW3 will be financial in nature and the how the approaching death of fiat currency will radically change the world economic order. Macleod is head of research for GoldMoney and also runs FinanceAndEconomics.org, a website dedicated to sound money and demystifying finance and economics. He has a background as a stockbroker, banker and economist.
The Yuan certainly won't become the currency of record. The Russian economy isn't doing that great and the Ruble is depressed.
The mere thought of a gold backed Chinese Yuan is laughable --- there isn't enough gold in the world x2 to cover the paper assets of the Chinese Tiger.
That would depend upon the value assigned. Both the Chinese and Russians have been accumulating large quantities of gold.
"In this week's Off the Cuff podcast, Chris and Alasdair Macleod build on the insights laid out in Chris' recent mega-report last week on gold: The Screaming Fundamentals for Owning Gold. And specifically, they delve deeply into the poorly-understood topic of why Chinese demand has become such a game changer in recent years."
Perhaps but the idea of a devalued dollar is not a stretch if the Petro-Dollar is weakened by sufficient non-dollar denominated energy and commodities purchasing. China, Russia, India, Iran, and any ankle biters could put a major tear in that Petro-Dollar. HOW MUCH would it hemorrhage is the better guess then IF it would.
They have along with other countries. It is very questionable how much gold we actually have if it takes 7 years to send Germany their gold we were holding for them. I wonder why they didn’t raise hell about that?
We’ve obviously leased out all of Germany’s gold, otherwise 30 days should be plenty of time to get their gold back to them.
IMHO an alternative to the US dollar will come gradually. It has to be financially driven and not politically driven. As long as the US keeps printing dollars to paper over our deficit spending it is a matter of time nations may start creating an alternative on their own amongst themselves if the devalued dollar is causing inflation and killing them economically. Russia is threatening an alternative by using the Yuan, but China is not rushing into this without thorough review and calculations. China does not want Russia to drag them into a all out Cold War with the west where markets are no longer available and most of the GDP is spent on weapons. IMHO China rather have Russia/US/EU kill each other materially and financially in a Cold War. With the US and Russia drained by their fighting, China stands to gain in the Far East. IMHO China will remain with the dollar system as long as possible and will set up an alternate when the risk of a new system is less then keeping to the old system. The Russians are the only ones making noise about a Yuan alternative, but the Chinese officials have been tight lipped about it. IMHO if I were Putin I too would think things over before proceeding, especially when China is not saying a definite yes or no to the move.
If I were a German, I would be worried.
Wonder what ever happened to all that Aztec gold the Spanish sent to the USSR for safekeeping back in the Spanish Civil War?
It has never been seen again.
Not just gold. Both china and russia are natural resource heavy, and at least china has a major industrial economy. The US shifted from a production economy to a financial and service economy decades ago, so the rest of the world doesn’t need to rely on dollars as an exchange medium anymore. It’s going to shift back to hard currency and ditch our fiat money. In other words, we’ve built up asia to the point where they don’t need us anymore, and we are now the competition to be eliminated.
I hope you are right. IMO, it will be gradual at first (we may be seeing the start of that now if you've been watching the index) and then it will happen "all at once (i.e., crash)".
The full FATCA implementation on 1 July may really start the snowball rolling downhill.
Again, I hope I'm wrong...
In the Rick Wiles interview above with Alasdair Macleod, near the end, Macleod explains that China may reach a point where it can control the price of gold and we could see $10,000 an ounce for gold if that occurred, but that such wasn't China's style. I think their "style" might depend upon which islands it's allowed to take ownership of in the near future. :)
I’ve often wondered how much gold has been stashed away in secrecy and if the amount was made known, how much would that knowledge affect the price of gold. I guess that would depend upon the amount that has been hidden from the world.
The dollar losing reserve currency status could cause a global upheaval not seen since WWII. It would be an unmitigated DISASTER for us. We’d surely end up killing people and breaking things somewhere. That much is certain.
It’s On: Gazprom Prepares “Symbolic” Bond Issue In Chinese Yuan
US Dollar Funeral At Hand!
Thanks for that Zero Hedge link ..... hadn’t seen that.
Hell, if I'm a citizen of ANY Western country I'd be worried sh*tless.
After reading that Zero Hedge article (link above) I'm starting to get there. Not because of China though, because of Russia.
If they’re going to tax gold purchases and sales at, say, 80% then how will having gold here, or in storage internationally escape that tax, once you need it to live on (retirement, etc.)?
Why didn’t they raise hell about it?
Say they did raise hell about it. They would expose the fact that the USA was basically insolvent, and an outright thief, all in one day.
Collapsing our system, would be like stabbing a hole in a life raft they are sharing with us.
How’s that working out for ya, Germany?
I’m starting to think there will never be a crash. Gradual self debasement is what we do best, because we have this seemingly unlimited ability to rationalize failure. Failure and decline on every front.
We are self destructing quite nicely on our own.
We are the target. The Chinese have nothing to fear from Russia except an all out nuclear war. The EU is totally emasculated. All the Chinese need to do is wait, and keep building.
Prepare for the worse and hope for the best I say. But that said, I think the odds favor a crash this year or perhaps the next at the latest.
It's going to drive many into a "black market" of sorts.
What kind of impact (if any) would there be if a good conservative pro US energy POTUS came into office and literally opened up ALL U.S. holdings now currently forbidden to oil exploitation to be opened? Further mandate that non OPEC American Oil companies get the first plumb bids and require all refinieries to be either updated, expanded or new ones built as a prerequisite to the deal. Also mandate that all proceeds have to be sold inside our borders first before being sold overseas and block any sales to unfriendly nations. Maybe also pass emergency legislation that limits frivolous lawsuits especially by enviro-whackos seeking to block the new system and base it on national security?
Look at how a limited example of this has changed the face of the economy in North Dakota. We could send our economy into orbit and crush those who seek our destruction at almost the same time, right? Or am I out of my mind (a somewhat common situation)?
None, without first tackling this:
Open up oil exploration would be a good thing. Your “mandate” proposals not so much. Open it and let the free market and private business operate.
That says it all, Frightening!
I agree with a Laizzez Faire attitude, but the problem is that I don't trust BIG OIL (read the OPEC affiliated companies) to do the right thing which is to bring cheap gas to the nation and the economy over corporate profits in doing what's right over their bottom line. I hold oil stocks, too. There is being a stockholder and there's being a patriotic American. See, those companies don't consider themselves to be American entities. They think of themselves as global citizens. They are amongst the biggest contributors to globalization movements like the Council on Foreign Relations. Under normal circumstances, the free market would work well, indeed. I'm not so sure it would here because of the enormous market manipulation that these companies can exert. Business is business, after all....
As long as lawlessness and disregard for the Will of the People and the founding documents prevails, it's going to be a very long three years until 2016 and what this administration does between now and then (and what, if anything, is done by politicians who love this nation to save America as we know it). With government agencies now being used as weapons against us (Bundy case now), anything is possible.
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