Posts Tagged ‘dollar collapse’
Posted by seumasach on April 30, 2014
“Today’s markets would react negatively to any major expansion of central bank Credit from the likes of Brazil, Russia, Turkey, India, Indonesia or South Africa. This market dynamic provides a huge competitive advantage to developed central banks, markets and economies. Increasingly, this competitive advantage along with the destabilizing global role of Federal Reserve “money” are sources of heightened global animosities. More than ever before, EM economies see developed “money” printing as a force for rising inequality”.
In other words, the ability of Washington and London to “quantitatively ease” is an imperial privilege. However, there is one crucial distinction between this and past forms of imperial exploitation: QE is also impoverishing, through inflation, the whole US and UK populations, outside the 0.01 % elite.
Doug Noland
Prudent Bear
27th April, 2014
Trouble brewing
Over the years, money and the “Moneyness” of Credit have remained focal points of my Macro Credit Analytical Framework. From my perspective, money is fundamentally defined by perceptions. “Money” is a financial claim perceived as safe and a liquid store of nominal value. Understandably, this definition is troubling to monetary purists. Yet in the spirit of Ludwig von Mises and his notion of broad money/“fiduciary media,” my view of contemporary “money” is focused on an array of financial claims and their functionality.
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Posted in Currency Wars | Tagged: dollar collapse, End of empire, hyperinflation, quantitative easing | Leave a Comment »
Posted by seumasach on April 19, 2014
F.William Engdahl
PressTV
18th April, 2014
Washington’s decision to go for the military coup in Ukraine was intended to rupture the emerging cooperation between key Eurasian nations that ultimately would have isolated the power of US hegemony and opened the door for a genuine multi-polar world where peaceful cooperation replaced military threats and sole Superpower domination.
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Posted in Multipolar world | Tagged: BRICS(Brazil-Russia-India-China-South Africa), China-Iran-Russia Triangle, dollar collapse, End of empire | Leave a Comment »
Posted by seumasach on February 21, 2014
This looks like a good moment to curb CIA activities in Ukraine and Venezuela
Investment Watch
20th February, 2014
In order for our current level of debt-fueled prosperity to continue, the rest of the world must continue to use our dollars to trade with one another and must continue to buy our debt at ridiculously low interest rates. Of course the number one foreign nation that we depend on to participate in our system is China. China accounts for more global tradethan anyone else on the planet (including the United States), and most of that trade is conducted in U.S. dollars. This keeps demand for our dollars very high, and it ensures that we can import massive quantities of goods from overseas at very low cost. As a major exporting nation, China ends up with gigantic piles of our dollars. They lend many of those dollars back to us at ridiculously low interest rates. At this point, China owns more of our national debt than any other country does. But if China was to decide to quit playing our game and started moving away from U.S. dollars and U.S. debt, our economic prosperity could disappear very rapidly. Demand for the U.S. dollar would fall and prices would go up. And interest rates on our debt and everything else in our financial system would go up to crippling levels. So it is absolutely critical to our financial future
that China continues to play our game.
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Posted in Currency Wars | Tagged: Chinese soft power, dollar collapse | Leave a Comment »
Posted by seumasach on February 18, 2014
The great about quantitative easing is that at the same time as providing an ongoing bailout of Wall Street it releases speculative funds to drive up food prices globally. This enables further US-backed destabilization campaigns, led by “activists” and cheer-led by the Guardian newspaper, directed against the worlds “regimes”. But these dollars are now coming home to roost with the promise of hyper-inflation in the homeland. How will our “regimes” respond?
Guardian
18th February, 2014
A crowd of anti-government activists wrested free an opposition politician as he was being hauled away in handcuffs by security forces following a raid on the party headquarters of Leopoldo López, President Nicolas Maduro’s biggest foe.
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Posted in Currency Wars | Tagged: dollar collapse, End of empire, quantitative easing | Leave a Comment »
Posted by seumasach on February 17, 2014
LEAP 2020
16th February, 2014
The avalanche of liquidity from the Fed’s quantitative easing in 2013, allowed the world before’s tenets to wake up: indebtedness, bubbles, globalization, financialization… But all it took was a slight slowing down in the astronomical amounts injected by the US central bank every month for the rampant crisis, buried under these piles of liquidity, to reassert itself. As anticipated, the method of “resolving” the crisis by accentuating the excesses that caused it is ineffective, causing a crisis squared instead. All the same one can find an actual benefit: time is gained which everyone uses to their best advantage.
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Posted in Financial crisis | Tagged: BRICS(Brazil-Russia-India-China-South Africa), dollar collapse, End of empire, QE3, tapering | Leave a Comment »
Posted by seumasach on February 13, 2014
The Federal Reserve had been purchasing $85 billion in Treasury and mortgage-backed securities per month, but it announced that it would reduce its monthly pace of purchases to $75 billion in January and to $65 billion in February. In her testimony, Yellen reaffirmed that another reduction in the pace of asset purchases is likely to be announced at the next policy meeting in March.
Yellen cannot continue a zero-interest rate policy and continue tapering QE. QE, the systematic devaluation of the dollar, still the world’s reserve currency, has led to rising prices globally and threatens to provoke a global revolt against US finical hegemony. That is why the Fed is tapering and why interest rates will rise at some point in the none too distant future.
US Fed Chair Janet Yellen reassures Wall Street on easy money policy
Andre Damon(WSWS)
RINF
US Federal Reserve Chair Janet Yellen reassured Wall Street in her first congressional testimony Tuesday that the Fed would continue its zero-interest-rate policies into the indefinite future.
Posted in Currency Wars, Financial crisis | Tagged: dollar collapse, End of empire, QE3 | Leave a Comment »
Posted by seumasach on January 31, 2014
“In other words, perhaps the Fed understands that a dollar crisis is a bigger crisis than a bank crisis and that its bailout of the banks is undermining the dollar. The question is: will the Fed let the banks go in order to save the dollar?”
Paul Craig Roberts
RINF
30th January, 2014
In former times, the rise in the gold price was held down by central banks selling gold or leasing gold to bullion dealers who sold the gold. The supply added in this way to the market absorbed some of the demand, thus holding down the rise in the gold price.
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Posted in Financial crisis | Tagged: dollar collapse, failing banks, QE3, tapering | Leave a Comment »
Posted by seumasach on November 24, 2013
Bloomberg
21st November, 2013
The People’s Bank of China said the country does not benefit any more from increases in its foreign-currency holdings, adding to signs policy makers will rein in dollar purchases that limit the yuan’s appreciation.
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Posted in Financial crisis | Tagged: Chinese soft power, dollar collapse | Leave a Comment »
In These New Times 