Infinite Unknown

Just wait for the currency markets meltdown!

Expect another ‘Problem - Reaction - Solution’ scenario created by the elite anytime soon.

Here is some background on the BIS (Bank for International Settlements):

- BIS: Currency Collapse May Stimulate Economic Expansion (Bloomberg)

Remember?

- President Medvedev Shows Off Sample Coin of New World Currency at G8 (Bloomberg)

Percentage share of the U.S. dollar has continued its (not so) slow decline

FRANKFURT (MarketWatch) — Daily turnover in the world’s foreign-exchange markets has soared to $4 trillion, the Bank for International Settlements said Wednesday.

In its survey, conducted every three years, the Basel, Switzerland-based BIS found that global turnover in April 2010 was up 20% from $3.3 trillion in April 2007.

Spot transactions led the rise, increasing to $1.5 trillion a day in 2010 from $1 trillion in 2007. Other forex instruments saw turnover rise 7%, for an average daily turnover of $2.5 trillion.

Britain retained its title as the top player in the forex market, with British-based banks accounting for 36.7% of daily turnover, up from 34.6% in 2007.

The United States followed with 18%, while Japan accounted for 6%. Rounding out the top players, Switzerland, Singapore and Hong Kong accounted for 5% each, while Australia-based banks accounted for 4%.

The percentage share of the U.S. dollar has continued its slow decline witnessed since the April 2001 survey, while the euro and the Japanese yen gained relative to April 2007.

Among the 10 most actively traded currencies, the Australian and Canadian dollars both increased market share, while the pound sterling and the Swiss franc lost ground. The market share of emerging-market currencies increased, with the biggest gains for the Turkish lira and the Korean won.

The U.S. dollar had a share in 85% of all transactions, continuing a “slow retreat” from its 90% peak in 2001 just after the introduction of the euro, the BIS said.

The euro gained two percentage points since the 2007 survey to account for 39% of all transactions. The Japanese yen also increased its market share by two percentage points to 19%, but remained below its 2001 peak of 23.5%.

Continue reading »

Tags: BIS, Dollar, Economy, Global News, U.S.

Before you read the Financial Times article below, read this, if you haven’t done so:

- Mike Krieger: This Is The Last Dance:

They refuse to allow the yuan to strengthen because they know that once they do that it will mark the real end of the dollar era. So instead they are spending like crazy on infrastructure ahead of them allowing the dollar to plunge.  Then the strong yuan will be employed to purchase all the commodities they need to utilize their infrastructure and the OECD gets priced out. To those that talk about yuan devaluation, you need to be specific.  Devaluation versus what?  Versus commodities generally along with other currencies?  I can buy that argument very easily.  Versus the dollar, highly doubtful.  Why? The latest data says China owns $877.5 billion in U.S. treasuries. All they have to do is start dumping and the dollar is finished as the Fed will be forced to print so many dollars it will make Mugabe blush.  People need to wake up.

(Mike Krieger, formerly a macro analyst at Bernstein, and currently running his own fund, KAM LP, summarizies the pretend reality we are all caught in now, knowing full well America is set on a crash course with reality at some point, yet sticking our collective heads in the sand, as the collapse will be some time in the “indefinite” future. In the meantime, banks will continue to boost US GDP by peddling “financial innovation” and restructuring advice to countries like Greece… and nothing else.)

And what happened to the US dollar since China allowed the yuan to strengthen?!!!

And now Illuminati bank JPMorgan and …

Aug. 26 (Financial Times) — A number of the world’s biggest banks have launched international roadshows promoting the use of the renminbi to corporate customers instead of the dollar for trade deals with China.

HSBC, which recently moved its chief executive from London to Hong Kong, and Standard Chartered, are offering discounted transaction fees and other financial incentives to companies that choose to settle trade in the Chinese currency.

“We’re now capable of doing renminbi settlement in many parts of the world,” said Chris Lewis, HSBC’s head of trade for greater China. “All the other major international banks are frantically trying to do the same thing.”

HSBC and StanChart are among a slew of global banks – including Citigroup and JPMorgan – holding roadshows across Asia, Europe and the US to promote the renminbi to companies.

The move aligns the banks favourably with Beijing’s policy priorities and positions them to profit from what is expected to be a rapidly growing line of business in the future.

The phenomenon will accelerate Beijing’s drive to transform the renminbi from a domestic currency into a global medium of exchange like the dollar and euro. Continue reading »

Tags: China, Citigroup, Dollar, Economy, Global News, Government, HSBC, JPMorgan, Politics, U.S., Yuan

Listen to Gerald Celente America!
Rome is burning:

- John Williams: ‘Times That Try Our Souls’ (U.S. Bankruptcy - Hyperinflation - Great Depression), Preparedness Can Save Your Life

So what have the elitists planned for the US? Total collapse and/or WW III?

- Former CIA And Military Officials To Obama: Israel Prepares To Attack Iran This Month

Part 1 of 3:

Added: 11. August 2010

Part 2 of 3:

Added: 11. August 2010

Part 3 of 3:

Added: 11. August 2010

Continue reading »

Tags: Afghanistan, Barack Obama, Bill O'Reilly, Bush administration, Civil liberties, Civil rights, Congress, Constitution, Depression, Dictatorship, Dollar, Economy, Education, Egypt, Fed, Federal Reserve, Freedom, George Bush, Gerald Celente, Global News, Government, Great Depression, Iraq, Lew Rockwell, Middle East, Military, Obama administration, Pakistan, Politics, Ron Paul, Saudi Arabia, Taliban, Taxes, Taxpayers, U.S., War

Highly recommended reading.

The Greatest Depression is here.

When Fed Chairman Ben Bernanke admits to seeing an “unusually uncertain” economy ahead, it’s pretty terrifying to imagine what he’s really thinking. What John Williams envisions-and he’s by no means looking to the far horizon-is a systemic collapse, a hyperinflationary great depression and the cessation of normal commerce. Despite that bleak outlook, however, when the economist and editor of ShadowStats.com sat down for this exclusive Energy Report interview, he also had some good news.

The Energy Report: A few months back, John, you said, “if you strangle liquidity you always contract an economy and deliberately or not, liquidity is being strangled, resulting in sharp declines in consumer credit, commercial and industrial loans.” Does this mean it would spur more economic growth if banks actually started lending?

John Williams: It sure wouldn’t hurt. We’re still seeing contractions in liquidity, and that’s adjusted for inflation. In real terms, M3 money supply is down almost 8% year-over-year. It’s the sharpest fall in the post -World War II era. It’s not so much the depth of the decline in the liquidity or the duration, but the fact that the liquidity turns negative year-over-year that signals the economy turning down.

We had the signal in December of 2009 indicating intensification of the downturn, in this case, within six to nine months. We’re in that timeframe now and see softening numbers. People are talking about a weaker economy. Even Mr. Bernanke has described the economy as “unusually uncertain” in terms of its outlook. Wording like that from the Fed is a pretty good indication that something’s afoot. Continue reading »

Tags: Bankruptcy, Barack Obama, Depression, Dollar, Economy, Fed, Federal Reserve, Government, Great Depression, Healthcare, Hyperinflation, Inflation, John Williams, Medicare, Obama administration, Politics, Preparedness, Recession, Social Security, Stock Market, U.S., Unemployment, Weimar Republic

Wang Qing, Morgan Stanley’s chief economist of greater China, estimates the yuan will gain 4 percent by the end of this year and 6 percent next year. (Bloomberg)

China’s trade surplus widened to the highest this year and exports climbed more than estimated to a record in June, adding pressure on the government to let the currency gain after the U.S. said the yuan “remains undervalued.”

The gap increased 140 percent to $20.02 billion from a year earlier, the nation’s customs bureau said yesterday. That compares with the $15.6 billion median estimate of 24 economists Bloomberg News surveyed. Exports surged 44 percent and import growth moderated for the third month, rising 34 percent.

U.S. Treasury Secretary Timothy F. Geithner said July 8 he will “closely” monitor the yuan’s appreciation after China scrapped a two-year peg to the dollar and allowed a 0.8 percent advance in the past three weeks. Policy makers in the world’s biggest exporting nation may be reluctant to step up gains while Europe’s debt woes threaten demand, even as the bureau said trade has “recovered” to levels before the global crisis. Continue reading »

Tags: China, Dollar, Economy, Exports, Government, Politics, U.S., Yuan

Added: 1. July 2010

Tags: Barack Obama, Bonds, Debt, Dollar, Economy, Euro, Global News, goverment, IMF, Obama administration, Politics, U.S.

UNITED NATIONS (Reuters) - A new United Nations report released on Tuesday calls for abandoning the U.S. dollar as the main global reserve currency, saying it has been unable to safeguard value.

But several European officials attending a high-level meeting of the U.N. Economic and Social Council countered by saying that the market, not politicians, would determine what currencies countries would keep on hand for reserves.

“The dollar has proved not to be a stable store of value, which is a requisite for a stable reserve currency,” the U.N. World Economic and Social Survey 2010 said.

The report says that developing countries have been hit by the U.S. dollar’s loss of value in recent years.

“Motivated in part by needs for self-insurance against volatility in commodity markets and capital flows, many developing countries accumulated vast amounts of such (U.S. dollar) reserves during the 2000s,” it said.

The report supports replacing the dollar with the International Monetary Fund’s special drawing rights (SDRs), an international reserve asset that is used as a unit of payment on IMF loans and is made up of a basket of currencies.

“A new global reserve system could be created, one that no longer relies on the United States dollar as the single major reserve currency,” the U.N. report said.

The report said a new reserve system “must not be based on a single currency or even multiple national currencies but instead, should permit the emission of international liquidity — such as SDRs — to create a more stable global financial system.”

“Such emissions of international liquidity could also underpin the financing of investment in long-term sustainable development,” it said. Continue reading »

Tags: Dollar, Economy, Global News, Politics, U.N., U.S.

‘Obamanomics’ fulfills exactly the master plan of the elite described by Robert Welch.

I have always said that Obama is just another puppet of the elite (like Bush, McCain, Clinton etc.).

Proof that the NEW WORLD ORDER has been planned by the elite. Robert Welch, Founder of The John Birch Society, predicted today’s problems with uncanny accuracy back in 1958 and prescribed solutions in 1974 that are very similar to Ron Paul’s positions today.

President John F. Kennedy’s Secret Society Speech

“The high office of the president has been used to foment a plot to destroy America’s freedom, and before I leave office I must inform the citizens of this plight.”
- John F. Kennedy November 12, 1963.

Date of Kennedy Assassination : NOV. 22, 1963

- Ron Paul on Glenn Beck: Destruction of the dollar:

Ron Paul: “Foreign policy is dictated by individuals who control both the Republican and the Democrat party”

- Former Assistant Secretary of the Treasury Paul Craig Roberts: Americans: Serfs Ruled by Oligarchs:

“Will Americans realize that they are not ruled by elected representatives but by an oligarchy that owns the Washington whorehouse?”

“Will Americans ever understand that they are impotent serfs?”

Tags: Debt, Dollar, Economy, Government, John Birch Society, John F. Kennedy, New World Order, Politics, Society, U.N., U.S.

As recovery starts to stall in the US and Europe with echoes of mid-1931, bond experts are once again dusting off a speech by Ben Bernanke given eight years ago as a freshman governor at the Federal Reserve.

Entitled “Deflation: Making Sure It Doesn’t Happen Here”, it is a warfare manual for defeating economic slumps by use of extreme monetary stimulus once interest rates have dropped to zero, and implicitly once governments have spent themselves to near bankruptcy.

The speech is best known for its irreverent one-liner: “The US government has a technology, called a printing press, that allows it to produce as many US dollars as it wishes at essentially no cost.”

Bernanke began putting the script into action after the credit system seized up in 2008, purchasing $1.75 trillion of Treasuries, mortgage securities, and agency bonds to shore up the US credit system. He stopped far short of the $5 trillion balance sheet quietly pencilled in by the Fed Board as the upper limit for quantitative easing (QE).

Investors basking in Wall Street’s V-shaped rally had assumed that this bizarre episode was over. So did the Fed, which has been shutting liquidity spigots one by one. But the latest batch of data is disturbing.

The ECRI leading indicator produced by the Economic Cycle Research Institute plummeted yet again last week to -6.9, pointing to contraction in the US by the end of the year. It is dropping faster that at any time in the post-War era.

The latest data from the CPB Netherlands Bureau shows that world trade slid 1.7pc in May, with the biggest fall in Asia. The Baltic Dry Index measuring freight rates on bulk goods has dropped 40pc in a month. This is a volatile index that can be distorted by the supply of new ships, but those who watch it as an early warning signal for China and commodities are nervous.

Andrew Roberts, credit chief at RBS, is advising clients to read the Bernanke text very closely because the Fed is soon going to have to the pull the lever on “monster” quantitative easing (QE)”.

“We cannot stress enough how strongly we believe that a cliff-edge may be around the corner, for the global banking system (particularly in Europe) and for the global economy. Think the unthinkable,” he said in a note to investors.

Continue reading »

Tags: Banks, Ben Bernanke, Bonds, Debt, Dollar, Economy, Fed, Federal Reserve, Global News, Government, Politics, Quantitative Easing, RBS

- Mike Krieger: This Is The Last Dance:

They refuse to allow the yuan to strengthen because they know that once they do that it will mark the real end of the dollar era. So instead they are spending like crazy on infrastructure ahead of them allowing the dollar to plunge.  Then the strong yuan will be employed to purchase all the commodities they need to utilize their infrastructure and the OECD gets priced out. To those that talk about yuan devaluation, you need to be specific.  Devaluation versus what?  Versus commodities generally along with other currencies?  I can buy that argument very easily.  Versus the dollar, highly doubtful.  Why? The latest data says China owns $877.5 billion in U.S. treasuries. All they have to do is start dumping and the dollar is finished as the Fed will be forced to print so many dollars it will make Mugabe blush.  People need to wake up.

(Mike Krieger, formerly a macro analyst at Bernstein, and currently running his own fund, KAM LP, summarizies the pretend reality we are all caught in now, knowing full well America is set on a crash course with reality at some point, yet sticking our collective heads in the sand, as the collapse will be some time in the “indefinite” future. In the meantime, banks will continue to boost US GDP by peddling “financial innovation” and restructuring advice to countries like Greece… and nothing else.)

China’s Stocks May Rally Tomorrow After Yuan Policy Move, CICC, SocGen Say

June 20 (Bloomberg) — China’s pledge to make the yuan more flexible may boost shares denominated in the currency when markets open tomorrow, China International Capital Corp. and Societe Generale SA said.

“If it leads to appreciation for the yuan, it’s good news for the market,” Hao Hong, global equity strategist for CICC in Beijing, said in a report today. “Investors will want to get into Chinese assets because they will be worth more. It will also deflect political criticism and help stem inflation.”

The People’s Bank of China said yesterday that it will “increase the renminbi’s exchange-rate flexibility” after the economy improved. Officials have kept the yuan, also known as the renminbi, at about 6.83 per dollar since July 2008, aiding the nation’s exporters and fueling tensions with trade partners. Continue reading »

Tags: China, Dollar, Economy, Global News, Government, Politics, Yuan