Infinite Unknown

FYI. (And I certainly do NOT agree on those recommended countries being the ’5 best countries’, but it gives you ideas what you could do besides sitting and waiting for the hammer to fall.)

- 5 Best Countries to Move to Before Collapse of the West (Activist Post, March 5, 2013):

It’s been two-and-a-half years since we posted a similar article to this. In just that short time, the national average gas price has gone up from $2.86/gallon to $3.72/gallon, a 30% increase. This is our updated list of where to bug out to.

That which mathematically cannot continue will not continue. Western countries, led by the United States and Europe, are in deep economic trouble. Massive debt levels are strangling their economies, and once great nations like Greece and Spain have been reduced to third-world status with staggering unemployment levels and almost daily violent riots.

Continue reading »

Tags: Chile, Collapse, Economy, EU, Europe, Global News, Malaysia, Mexico, Society, Thailand, U.S., Uruguay

- The Giant Currency Superstorm That Is Coming To The Shores Of America When The Dollar Dies (Economic Collapse, Nov 27, 2012):

By recklessly printing, borrowing and spending money, our authorities are absolutely shredding confidence in the U.S. dollar.  The rest of the world is watching this nonsense, and at some point they are going to give up on the U.S. dollar and throw their hands up in the air.  When that happens, it is going to be absolutely catastrophic for the U.S. economy.  Right now, we export a lot of our inflation.  Each year, we buy far more from the rest of the world than they buy from us, and so the rest of the world ends up with giant piles of U.S. dollars.  This works out pretty well for them, because the U.S. dollar is the primary reserve currency of the world and is used in international trade far more than any other currency is.  Back in 1999, the percentage of foreign exchange reserves in U.S. dollars peaked at 71 percent, and since then it has slid back to 62.2 percent.  But that is still an overwhelming amount.  We can print, borrow and spend like crazy because the rest of the world is there to soak up our excess dollars because they need them to trade with one another.  But what will happen someday if the rest of the world decides to reject the U.S. dollar?  At that point we would see a tsunami of U.S. dollars come flooding back to this country.  Just take a moment and think of the worst superstorm that you can possibly imagine, and then replace every drop of rain with a dollar bill.  The giant currency superstorm that will eventually hit this nation will be far worse than that. Continue reading »

Tags: Australia, Bonds, Brazil, Chile, China, Collapse, Debt, Dollar, Economy, Fed, Federal Reserve, Germany, Global News, Government, Hyperinflation, Hyperinflationary Depression, India, Inflation, Iran, Japan, Politics, Quantitative Easing, Russia, U.S.

- 11 International Agreements That Are Nails In The Coffin Of The Petrodollar (The Economic Collapse, July 18, 2012):

Is the petrodollar dead?  Well, not yet, but the nails are being hammered into the coffin even as you read this.  For decades, most of the nations of the world have used the U.S. dollar to buy oil and to trade with each other.  In essence, the U.S. dollar has been acting as a true global currency.  Virtually every country on the face of the earth has needed big piles of U.S. dollars for international trade.  This has ensured a huge demand for U.S. dollars and U.S. government debt.  This demand for dollars has kept prices and interest rates low, and it has given the U.S. government an incredible amount of power and leverage around the globe.  Right now, U.S. dollars make up more than 60 percent of all foreign currency reserves in the world.  But times are changing.  Over the past couple of years there has been a whole bunch of international agreements that have made the U.S. dollar less important in international trade.  The mainstream media in the United States has been strangely quiet about all of these agreements, but the truth is that they are setting the stage for a fundamental shift in the way that trade is conducted around the globe.  When the petrodollar dies, it is going to have an absolutely devastating impact on the U.S. economy.  Sadly, most Americans are totally clueless regarding what is about to happen to the dollar. Continue reading »

Tags: Africa, Australia, Brazil, Chile, China, Dollar, Economy, Fed, Federal Reserve, Global News, Government, India, Iran, Japan, Oil, Politics, Russia, South Africa, U.S., United Arab Emirates

- After Creating Dollar Exclusion Zones In Asia And South America, China Set To Corner Africa Next (ZeroHedge, July 15, 2012):

By now it really, really should be obvious. While the insolvent “developed world” is furiously fighting over who gets to pay the bill for 30 years of unsustainable debt accumulation and how to pretend that the modern ‘crony capitalist for some and communist for others‘ system isn’t one flap of a butterfly’s wings away from full on collapse mode, China is slowly taking over the world’s real assets. As a reminder: here is a smattering of our headlines on the topic from the last year: ““World’s Second (China) And Third Largest (Japan) Economies To Bypass Dollar, Engage In Direct Currency Trade“, “China, Russia Drop Dollar In Bilateral Trade“, “China And Iran To Bypass Dollar, Plan Oil Barter System“, “India and Japan sign new $15bn currency swap agreement“, “Iran, Russia Replace Dollar With Rial, Ruble in Trade, Fars Says“, “India Joins Asian Dollar Exclusion Zone, Will Transact With Iran In Rupees“, ‘The USD Trap Is Closing: Dollar Exclusion Zone Crosses The Pacific As Brazil Signs China Currency Swap“, and finally, “Chile Is Latest Country To Launch Renminbi Swaps And Settlement“, we now get the inevitable: “Central bank pledges financial push in Africa.” To summarize: first Asia, next Latin America, and now Africa.

Yep: the Yuan may not be the reserve currency by default, but at this rate China will have bilateral, read USD-bypassing relations, with all countries in Asia, South America and shortly Africa (where none other than Goldman Sachs has been pushing harder than anyone). Once the entire world is trading in CNY, it will be merely a matter of flipping the switch and all those fancy three-letter economic theories that explain why the uber-welfare state works just becayse the US can print an infinity+1 in debt, will all suddenly find themselves completely and totally bidless.

From China Daily:

China is to promote the yuan’s use in settling trade and investment with Africa, and encourage the more active development of Chinese financial institutions across the continent, a senior central bank official said on Friday.

Li Dongrong, assistant governor of the People’s Bank of China, said Africa has the capability of becoming a new hub of international capital flow, and the yuan’s use there should be further improved in accordance with rising demand for the currency there.

“We will continue to encourage domestic financial institutions to increase their presence and business across the continent,” Li told delegates at the Forum on China-Africa Financial Cooperation in Beijing, adding that the cooperation potential between the two sides is huge, as Africa’s economy continues to take off. Continue reading »

Tags: Africa, Brazil, Chile, China, Dollar, Ghana, Global News, Government, India, Iran, Japan, Nigeria, Obama administration, Politics, Russia, U.S., Yuan, Zambia

See also:

- Egan-Jones Ratings Company Downgrades Spain’s Credit Rating To CCC+ (Uganda’s Credit Rating Is B!)

- Spain May Not Be Uganda, But Germany Is Chile (ZeroHedge, June 18, 2012):

While we discussed the definitive new world geography last week, it appears the CDS market has decided to add a new parallel for us, Germany is now Chile (in terms of 10Y restructuring and devaluation risk). As a reminder, Germany’s credit risk has risen by almost 50% in the last 3 months to record highs, and has converged higher towards Europe’s GDP-weighted average sovereign risk in the last 2-3 weeks.

and as a reminder – here is Germany’s 10Y CDS (interestingly we rallied modestly today – perhaps on the back of Merkel’s restatement that there will be no new aid package – or more risk transfer)… Continue reading »

Tags: cds, Chile, Debt, EU, Europe, Germany, Global News, Government

Related info:

- Global Earthquake And Volcano Overview: Phenomenal Worldwide UPTICK Continues (07/13/2011)

YouTube Added: 15.07.2011

http://earthquake.usgs.gov/earthquakes/recenteqsww/Quakes/usc0004ymd.php

Earthquake Details
This event has been reviewed by a seismologist.
Magnitude 6.0
Date-Time Saturday, July 16, 2011 at 00:26:13 UTC
Friday, July 15, 2011 at 08:26:13 PM at epicenter
Time of Earthquake in other Time Zones

Location 33.798°S, 72.074°W
Depth 22.9 km (14.2 miles)
Region OFFSHORE VALPARAISO, CHILE
Distances 47 km (29 miles) WSW of San Antonio, Valparaiso, Chile
94 km (58 miles) SSW of Valparaiso, Valparaiso, Chile
128 km (79 miles) WNW of Rancagua, Libertador O’Higgins, Chile
136 km (84 miles) WSW of SANTIAGO, Region Metropolitana, Chile

Tags: Alaska, Chile, Global News, Pacific Northwest, Seattle

See also:

- Argentina’s Economic Collapse (Documentary)

- Inflation, Hyperinflation and Real Estate (or, The Lessons of The Great Hernán P.) (Gonzalo Lira, February 12, 2011):

“Hyperinflation accompanied by a housing collapse is simply impossible—by definition.”
- None-too-clever financial blogger.

Most people in the advanced economies—including most economists—really don’t have any idea what inflation and hyperinflation is. They don’t have a clue because they haven’t lived through it, or were children when it happened in the States and in Europe during the Seventies.

Continue reading »

Tags: Argentina, Brazil, Chile, Economy, Global News, Hyperinflation, Inflation, Real Estate, Weimar Republic, Zimbabwe

Added: 15.06.2011

Tags: Chile, Environment, Global News, Volcano

- Puyehue volcano in Chile erupts, prompting mass evacuation (Guardian, June 5 2011):

Thousands of people have been evacuated from their homes after a volcano which has been dormant for decades started erupting in southern Chile.

Large columns of smoke reached more than six miles from the crater of the Puyehue volcano, which lies about 500 miles south of the capital, Santiago.

Continue reading »

Tags: Chile, Environment, Global News, Puyehue, Volcano

- Global Earthquake and Volcano Overview (05/30/2011)

Tags: Chile, Earthquake, Environment, Global News