APEC 2024 Peru. Biden shafted to a corner in the back row. Xi in front row next to Peru's President
12/18/2022
What is the current weakness of the USD?
'The dollar will remain in demand, thanks to its success in making the Eurozone dependent on it. The British pound has little means of support, and little reason for foreigners to invest in it. The euro is a junior satellite currency to the dollar.
Without a dollar or other currency to hold their monetary reserves in, governments will continue to increase the proportion held in gold, because it doesn’t have government liabilities attached to it – so U.S. officials can’t simply grab it, as they did with Russia’s foreign reserves. Eurozone countries cannot be trusted not to follow U.S. orders to grab foreign countries’ reserves, so it will be shunned.
As the euro’s exchange rate declines against the dollar, foreign investment will decline, because investors will not want to invest in (1) a shrinking market, and (2) companies that earn domestic euros that are worth fewer and fewer dollars or other hard currency for head offices.
Of course, gold will have to be kept at home, so that it can’t simply be grabbed, as the Bank of England grabbed Venezuela’s gold and gave it to the right-wing U.S. proxy.'
So what is the current analysis of the energy and financial crises in the world?
No real crisis as much as a slow crash. Rising prices paid for what America exports: oil, food and IT monopoly goods, with living costs for consumers rising faster than wages. So there will be a tightening squeeze or most families. The middle class will discover that it really is the wage-earning class after all, and will go deeper into debt – especially if it tries to protect itself by taking out a mortgage to buy a home or even a car.'
Link to article: https://thesaker.is/michael-hudson-gives-an-interview-to-a-german-magazine.
Anonymous
5 comments:
Anonymous
said...
Ironically, some countries were so stupid to keep their gold reserves in USA and the West. They thought it was the safest place on earth. Now they can never get them back.
At least keeping gold at home or in safe deposit boxes is much safer, as access to them is easier, than taking the great risk of putting them in the hands of gangsters and mafia families, who can seize them at will.
Countries must learn, but probably too late for that, as all gold deposited with them are likely frozen by the gangsters and mafia families.
The lnnate Weakess of the USD is that it is a fiat currency. How much the US printed is always not known to any other countries. Trade started with barter originally and this is the Most Equitable for transaction. And it is also easy to use. Why barter is not in practice, is beyond my comprehension. However, in my lay understanding, it is the Best and Fairest Method to trade.
Pardon me for being primitive. I do think that if barter is not practical for commerce, precious goods like gold, could be used. Printed money and crypto currency are created from thin air and are beyond regulation. Hence, should be done away with until there is way to ascertain its' value and equity.
Why must countries trading with each other have to convert their currencies into US$ in order to do so? After all, trade between countries like Russia and China can be made in their own currencies, since both are buying and selling to each other. Why let the USA reap all the benefits of the exchange rate differentials, print fiat money for them to do trade, and rip them off using daylight robbery? This silliness must stop.
Iran and China already doing oil for infrastructures. Russia is doing oil for infrastructures with China as well, in most cases. SWIFT does not even figure in all this? There are many ways to do away with the US$, if countries are determined and just work together to get rid of it.
Of course the USA and the West will come up with threats and doomsday scenarios if it happens. Do not be surprised. The fact that it works for Iran, Russia and China is proof enough of the possibility and viability.
The fact that no one can regulate the US$ is the biggest con job that was ever pulled on the rest of the world. Keep supporting it means shooting one's own feet.
5 comments:
Ironically, some countries were so stupid to keep their gold reserves in USA and the West. They thought it was the safest place on earth. Now they can never get them back.
At least keeping gold at home or in safe deposit boxes is much safer, as access to them is easier, than taking the great risk of putting them in the hands of gangsters and mafia families, who can seize them at will.
Countries must learn, but probably too late for that, as all gold deposited with them are likely frozen by the gangsters and mafia families.
The lnnate Weakess of the USD is that it is a fiat currency.
How much the US printed is always not known to any other countries.
Trade
started with barter originally and this is the Most Equitable for transaction. And it is also easy to use.
Why barter is not in practice,
is beyond my comprehension.
However,
in my lay understanding, it is the Best and Fairest Method to trade.
Pardon me for being primitive.
I do think that if barter is not practical for commerce, precious goods like gold, could be used.
Printed money and crypto currency are created from thin air and are beyond regulation. Hence, should be done away with until
there is way to ascertain its' value and equity.
Why must countries trading with each other have to convert their currencies into US$ in order to do so? After all, trade between countries like Russia and China can be made in their own currencies, since both are buying and selling to each other. Why let the USA reap all the benefits of the exchange rate differentials, print fiat money for them to do trade, and rip them off using daylight robbery? This silliness must stop.
Iran and China already doing oil for infrastructures. Russia is doing oil for infrastructures with China as well, in most cases. SWIFT does not even figure in all this? There are many ways to do away with the US$, if countries are determined and just work together to get rid of it.
Of course the USA and the West will come up with threats and doomsday scenarios if it happens. Do not be surprised. The fact that it works for Iran, Russia and China is proof enough of the possibility and viability.
The fact that no one can regulate the US$ is the biggest con job that was ever pulled on the rest of the world. Keep supporting it means shooting one's own feet.
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