Mar 122015
 
  China-IMF talks underway to endorse yuan as global reserve currency  March 12, 2015, 12:12 pm   Including the yuan in the SDR basket would aid China’s attempts to diminish the dollar’s dominance in global trade and finance [Xinhua] China is pushing for the International Monetary Fund to endorse the Chinese yuan as a global reserve currency alongside the dollar and euro. A senior Chinese central bank official said Thursday that the country is “actively communicating” with the IMF on the possibility of including the yuan, or RMB, in the basket of the Special Drawing Rights (SDRs). Including the yuan in the SDR system would allow the IMF to recognize the ascent of the world’s second-biggest economy while aiding China’s attempts to diminish the dollar’s dominance in global trade and finance. “We hope the IMF can fully take into account the progress of RMB internationalization, to include RMB into the basket underlining the SDR in foreseeable, near future,” said Yi Gang, vice governor of the People’s Bank of China. However, China will be patient until conditions are ripe, Yi said at a press conference on the sidelines of the ongoing annual parliamentary session. In late 2015, the IMF will conduct its next twice-a-decade review of the basket of currencies its members can count toward their official reserves. SDRs are international foreign exchange reserve assets. Allocated to nations by the IMF, an SDR represents a claim to foreign currencies for which it may be exchanged in times of need. Although denominated in US dollars, the nominal value of an SDR is derived from a basket of currencies, with, specifically, a fixed amount of Japanese yen, US dollars, British pounds and euros, without RMB. China would need to satisfy the Washington-based lender’s economic benchmarks and get the support of most of the other 187 member countries. To become a currency included in the SDR basket, the trade volume of goods and services behind that currency will be evaluated, the Chinese Central Bank official explained on Thursday, stressing that RMB has no problem in this regard. But he said views are divided on whether the RMB is a freely usable currency. “No matter whether and when the RMB will be included in the SDR basket, China will push on with its financial sector reform and opening-up,” Yi said. The yuan became the world’s No. 2 currency for trade finance globally in 2013, and overtook the Canadian (more…)
Mar 092015
 
This was originally posted on Internationalman.com http://www.internationalman.com/articles/capital-punishment by Jeff Thomas Those who trade liberty for security deserve neither and will lose both.John Adams In the end, more than freedom, they wanted security. They wanted a comfortable life, and they lost it all—security, comfort, and freedom. When the Athenians finally wanted not to give to society but for society to give to them, when the freedom they wished foremost was freedom from responsibility, then Athens ceased to be free and was never free again. Edward Gibbon, English historian and member of Parliament, commenting on Ancient Athens in The History of the Decline and Fall of the Roman Empire, published in six volumes between 1776 and 1788. Libertarians (myself included) now grind their teeth on a daily basis, as they watch the parade of irresponsible economic measures concocted by First World political and banking leaders. Each measure seems more outrageous than the last, both in its inability to correct the situation and its outright thievery from the purse of the populace. The EU recently announced that they will introduce a level of quantitative easing (QE) that promises to be the economic equivalent of an overdose to a heroin addict. In addition, the EU, the US, Canada, and other First World countries have created bail-in legislation that will allow their bankers to literally steal the funds of their depositors. Further, political leaders on both sides of the Atlantic have announced that pensioners’ funds are “in danger,” and their solution is to make it mandatory for the funds to contain a percentage of investment in government bonds—an investment that promises to go off the proverbial cliff in the coming years. So, what’s the plan? Are the leaders of the world’s most “advanced” nations planning collective economic and political suicide? Or are they simply so stupid/arrogant/out of touch with reality—pick your explanation—that they just don’t understand thateconomic collapse is now baked in the cake and it is now only a question of time? Or do they have an alternate plan? I must confess that I’m cynical enough to regard many of the leaders in question as being stupid, arrogant, and out of touch with reality. However, I do also believe that some of them are clever enough and devious enough to have a plan in place as to how they might continue to not only hold their power, but expand upon it. (That desire is, of course, a virtually universal truth, as regards (more…)
Mar 072015
 
Originally posted on themarysue.com By Dan Van Winkle  Friday, March 6th 2015 at 12:19 pm The Supreme Court of the United States will soon hear a case on whether or not state-by-state anti-marriage equality laws are constitutional, which is likely to clear the way for nationwide legal acceptance that we should all be able to marry the person we choose. Now, a group of 379 companies, from tech and entertainment giants to other massive corporations, has written to the court to voice their support and lay out some hard, logistical reasons other than, “It’s the right thing to do.” Read full article here! originally posted on themarysue.com Share this:FacebookLinkedInTwitterGoogleTumblrPinterestReddit (more…)
Mar 042015
 
Editor’s Note: This is a warning shot. The global economy is undergoing a sever change.  I suggest buying precious metals. “metal-in-hand” is the best an option is finding an asset backed digital currency to invest in. Why This Greek Tragedy Could Mean Global Disaster One of the assumptions of the eurozone – those 19 countries in Europe that use the euro as their national currencies – is that if any country left the zone, economic disaster would follow in its wake. Only a few days ago, it appeared that heavily indebted Greece might be forced to drop the euro and return to the drachma, the currency it used before the euro. During the 1990s and early 2000s, Greece was spending money like a sailor on shore leave with a limitless credit card. The government ran up debts amounting to hundreds of billions of dollars to prepare for the 2004 Olympics, among many other infrastructure projects. It also promised retired Greek citizens some of the cushiest pensions in the EU. In 2002, Greece was among the first EU members to adopt the euro. Entrance into the eurozone was contingent on Greece’s accomplishing certain reforms and demonstrating a threshold level of economic prudence. Among the requirements was to maintain a budget deficit of less than 3% and a total government debt under 60% of GDP. Greece never even came close to meeting these targets. To make it look as if it were, Greek politicians engaged in such sleights of hand as not counting military spending as a government expenditure. But if it wanted to join the euro, Greece needed to do more. And Greek politicians weren’t about to ask voters permission to dismantle the cradle-to-grave welfare state financed by borrowed money. To solve the problem, the government hired Goldman Sachs to help tidy up its balance sheet. Goldman created a series of currency swap arrangements using fictional exchange rates. The swaps took billions of dollars of debt off Greece’s balance sheet and allowed the country to issue far more debt than what was actually showing up in its account ledgers. Goldman used similar financial engineering to help prop up ill-fated energy trader Enron Corp., and we all know how well that experiment turned out. In other words, Greece never, ever should have been allowed to join the eurozone. But now that it’s part of it, there seems to be no end to the willingness of EU (more…)
Jan 012015
 
HOW DOES IT FEEL? “Privacy is not an option, and it shouldn’t be the price we accept for just getting on the Internet.” Gary Kovacs How many computers were hacked this year? Good questions, right? Scary cybersecurity news has dominated the headlines constantly this year, with hacks and penetrations, involving Home Depot, Heartbleed, iCloud, Target, Sony and others – banks don’t report the number of times they were hacked. The experts say the attacks will only continue in 2015. But I believe there’s an important opportunity to this amazing year of hacking: the publicizing of a long-overdue conversation about the potential attacks that threaten everyone online. Ok, I decided to do a search for the answer. My search was quite revealing no one gives up there real numbers and the information I ‘encountered’ was for the most part BS. Hence the psyops operatives engage. A Forbes article from a year ago stated that there were 30,000 computers hacked every day. On year later, I think the the rate is up exponentially to around 300,000 every day but the real numbers are probably staggering and they do not want you to know. I say that because searching for that number is like chasing the proverbial “pot of gold”, know one gives the actual numbers, Target, now Sony are two recent examples. Have they said how many? Or by whom? “They” will point to and do point to a convenient boogyman this time its North Korea, last year it was Russia or China or somebody, maybe even the NSA. Here is an interesting revelation: “The US corporate government, for its part, has been on the warpath against North Korea for some mysterious reason. The entire US State Department story about Sony pictures being hacked by North Korea is a case in point. According to IT experts the hacking attack blamed on North Korea could only have been carried out by somebody inside Sony’s US headquarters. As one expert put it, “The Sony breach was an inside job. 100 terabytes of data is too big to transmit over the Internet. At top broadband speeds it would take 661 days at top US speed and, 2,315 day to transmit to S. Korea (and general Asia Pac Rim) at their top transmission speed.”Now the US is trying to indict North Korea for human rights abuses, possibly to deflect world attention from its own widespread use (more…)
Dec 312014
 
On Sept. 11, Pastor Lindsey Williams, former minister to the global oil companies during the building of the Alaskan pipeline, announced the most significant event to affect the U.S. dollar since its inception as a currency. For the first time since the 1970’s, when Henry Kissenger forged a trade agreement with the Royal house of Saud to sell oil using only U.S. dollars, China announced its intention to bypass the dollar for global oil customers and began selling the commodity using their own currency. Lindsey Williams: “The most significant day in the history of the American dollar, since its inception, happened on Thursday, Sept. 6. On that day, something took place that is going to affect your life, your family, your dinner table more than you can possibly imagine.” “On Thursday, Sept. 6… just a few days ago, China made the official announcement. China said on that day, our banking system is ready, all of our communication systems are ready, all of the transfer systems are ready, and as of that day, Thursday, Sept. 6, any nation in the world that wishes from this point on, to buy, sell, or trade crude oil, can do using the Chinese currency, not the American dollar. – Interview with Natty Bumpo on the Just Measures Radio network, Sept. 11 This announcement by China is one of the most significant sea changes in the global economic and monetary systems, but was barely reported on due to its announcement taking place during the Democratic convention last week. The ramifications of this new action are vast, and could very well be the catalyst that brings down the dollar as the global reserve currency, and change the entire landscape of how the world purchases energy. Ironically, since Sept. 6, the U.S. dollar has fallen from 81.467 on the index to today’s price of 79.73. While analysts will focus on actions taking place in the Eurozone, and expected easing signals from the Federal Reserve on Thursday regarding the fall of the dollar, it is not coincidence that the dollar began to lose strength on the very day of China’s announcement. Since China is not a natural oil producing nation, the question most people will ask is how will the Asian economic power get enough oil to affect dollar hegemony? That question was also answered by Lindsey Williams when he pointed out a new trade agreement that was signed (more…)
Dec 312014
 
A bank clerk counts Chinese yuan banknotes at a branch of Industrial and Commercial Bank of China in Huaibei (Reuters/Stringer) and Russian ruble banknotes (Reuters/Ilya Naymushin) 11.8K1.1K12 Tags Banking, China, Currencies, Russia and the global economy China and Russia have effectively switched to domestic currencies in trading using financial tools as swaps and forwards, as they seek to reduce the influence of the US dollar and foreign exchange risks. The agreement signed in the end of October comes into force Monday, December 29, and provides a currency swap of CNY150 billion (up to US$25 billion). READ MORE: Defying the dollar Russia & China agree currency swap worth over $20bn The country’s Foreign Exchange Trade System will carry out similar transactions with the Malaysian ringgit and the New Zealand dollar. From now on yuan swaps are available for 11 currencies on the foreign exchange market. “China won’t stop yuan globalization or capital account opening because of the volatility in emerging market currencies,” Ju Wang, a senior currency strategist at HSBC Holdings Plc in Hong Kong told Bloomberg. China has set up bilateral currency swap lines with more than 20 countries and regions since 2009, including Switzerland, Brazil, Hong Kong, Indonesia and South Korea, Xinhua News reported in July. A swap is a financial tool to ease transactions by exchanging certain elements of a loan in one currency, like the principal or interest payments into an equivalent loan in another currency. Currency forward is an obligation of two parties to convert an agreed amount of one currency into another by a certain date at an exchange rate specified at the moment of signing the deal. Russia and China have long been looking for ways to cut the dollar’s role in international trade. The question is significant for China as 32 percent, or $4 trillion of its foreign exchange reserves are in US bonds, which means there is a vulnerability to fluctuations in the exchange rate. READ MORE: Russia’s biggest bank launches financing in Chinese yuan Russia’s foreign exchange reserves are worth $398 billion, and the US dollar accounts for about $162.45 billion. The country’s economic growth has slowed amid a standoff with Western countries over the Ukrainian conflict. After the country’s financial sector faced EU and US sanctions it became hard for Russian businesses to raise finance in the West. Chinese authorities are particularly interested in currency swap lines with developing countries, (more…)
Dec 302014
 
Our growing national debt is like being a passenger on the Titanic, and trying to change directions to do spending reform is almost impossible. We are going to crash. The citizen taxpayers of today and tomorrow are stuck with the bill and with ever increasing crushing debt obligations. We seem able only to watch helplessly as political leadership in Washington DC continues expanding government obligations — borrowing what they can and simply printing what they cannot. Each day more Americans understand the money bubble will burst, its coming. Our government is increasingly insolvent. The “global reserve dollar” is becoming less used for trade and “the Petrodollar” to be preferred less, and it may not survive at all. The Federal Reserve problem is delusional, they live in the world of dishonest money. FED officials are free to print as many dollars as they wish, the more they print the less purchasing power the dollar has. End the end, the purchasing power you had yesterday is not here today, that loss comes directly from your savings. Real money in the form of “metal-in-hand”, that is, physical precious metals, gold and sliver is a solution. Gold and sliver coins, bars, and rounds represent value that cannot be inflated away. In the long run, no other asset offers the same track record — particularly during turbulent times. Families who save using private, portable, and enduring gold and sliver have been passing wealth from one generation to the next for literally thousands of years. History shows, investments in precious metals do more than simply hold value; they produced real profits. We are likely living in the next of these periods now. Inflation is a worldwide phenomenon forcing entire populations to look for alternatives to the paper in their wallets. “What’s in your wallet”. As more and more people turn to real money, gold and silver, personal purchasing power will rise – it will be amazing — as people bid more aggressively for available stocks. Now is a particularly opportune time for wise people to invest in themselves and buy physical gold and silver coins and bars — both for protection and profit. In every instance of fiat currency collapse, throughout history, gold and silver immediately became “the money”. Why, for the time being, you can exchange your paper currency for real money, gold and silver, by making a simple and direct purchase. A person with (more…)
Dec 292014
 
Published on Dec 28, 2014 Gerald Celente, Publisher of the Trends Journal, says, “All it takes is a shock wave to end the game. You don’t know where it’s going to come from, but the stage is being set for a shock wave. . . . On one end, they can keep the interest rates low. On another end, they can even invent another quantitative easing (money printing) scheme. But on the bigger end, you have volatility in the world commodity markets and geopolitics that could end this scam in a second. . . . All the pieces keep adding up into a very serious economic and geopolitical game changer for 2015.” On war, Celente says, “It’s getting so easy to take the people to war. . . . Hatred is very easy to build between and among nations. So, I believe as these economic house of cards continue to collapse, they will get the people’s mind off it in a snap by getting us into more war. As I say, when all else fails, they take you to war because you can see the path. Go back to the crash of 1929, recession: depression, currency war, trade war then world war. Sound familiar? Join Greg Hunter as he goes One-on-One with top trends forecaster, Gerald Celente, as he gives his 2015 forecast. http://usawatchdog.com/2015-forecast-… Share this:FacebookLinkedInTwitterGoogleTumblrPinterestReddit (more…)