12/27/2011

US dollar going to the sewage

Saddam had to go when he schemed to replace the US dollar for trading oil. This was a dangerous move that would jeopardize the already weak dollar. When countries have no need to use the dollar to buy/sell oil, the demand for US dollar is going to go down the sewage.

This was the logical reason put forth by many economists that explained why the hoax of WMD was shafted down the dead brains of the heads of Allied governments who then parroted the whole hoax to their people as truth, and joined the gang of the ‘Willing Coalition to kill Saddam and Iraqis’.

The Chinese and the Japanese have just signed an agreement to facilitate trade between the world’s number 2 and number 3 economies using Yuan and Yen, by passing the need to buy US dollars. The implications of this development on the US dollar are severe.

China is also working with the Asean states to promote the use of Yuan. And why not when the US dollar is slipping into the drain? Commercial transactions using US dollars are so treacherous that seemingly profitable deals may end up a big loss with the currency depreciating daily. It is a matter of time before the US dollars be dumped and turned into banana currency.

And hither will the TPP go when the Yuan starts to replace the US dollar as a reliable currency for trade? There is no need for war for the US economy to collapse. When the dollar becomes a useless piece of paper that no one wants, that will be the end of the Empire. It may come much sooner than expected.

7 comments:

Matilah_Singapura said...

The Chinese are even worse money printers than the US Fed. IMO almost every cuntry is on the race to the bottom to devalue their curren ies so they have liquidity and be "export competitive"

It's a global wayang. Everybody's guilty. The only variance is by degree.

The said...

/// And hither will the TPP go when the Yuan starts to replace the US dollar as a reliable currency for trade? ///

Wither - not hither.

The said...

Oops, whither ........

Anonymous said...

What China is doing is trying to stop the bleeding. Dun forget they have over taken the Japs as biggest holders of US treasuries. So , there is no way US dollar will get to zero not unless , China allows US to walk away from their debt obligations.

Chua Chin Leng aka redbean said...

Thanks The, whither hither: )

Anonymous said...

There is also some agreement between Russia and China to facilitate trade in some commodities using their currencies instead of US$.

Sadam was removed, on a trumped up charge of possessing WMD, but the real reason was for championing the oil trade in other than the US$.

Venezuela's Chavez is thinking along the same line. That is why he is such a thorn in the side of the US, who are trying to remove him by ways and means.

The Iranians are also moving in the same direction, hence the posturing and threats against them, of course, for the trumped up charge again that they are trying to go nuclear, when the obvious reason is non other than their trying to dump the US$ in their oil trade.

Chua Chin Leng aka redbean said...

There is no escape. The decline of Pax American is gaining momentum. The big apple is rotting at its core and breaking out.