Posted on 08/07/2011 9:08:35 AM PDT by barmag25
The man who leads one of China’s top rating agencies says the greenback’s status as the world’s reserve currency is set to wane as the world’s most powerful policy makers convene to examine the implication of S&P’s decision to strip the United States of its triple “A” rating.
In comments emailed to CNBC, Guan Jianzhong, chairman of Dagong Global Credit Rating, said the currency is “gradually discarded by the world,” and the “process will be irreversible.”
Dagong made headlines last week when it became the first rating agency to cut its U.S. credit rating from “A+” to “A” after policymakers in Washington failed to act in a timely manner to lift its debt celing.
However, the announcement failed to register in the markets as investors have yet to decide whether to take the Beijing-based company seriously.
(Excerpt) Read more at cnbc.com ...
I would not wage on that.
Cavuto showed that the US is now with Belgium on terms of credit.
They've had several different SYSTEMS, not just governments, in the same time period, plus vast upheavals where the winners and the losers both lost and ended up under foreign domination and even occupation.
You get to have a world reserve currency by being around for a couple of centuries. The Chinese experience is entirely too short for anyone to trust the Yuan.
Obama has given away the prosperity of our nation. We had quite a reserve that no one talked about and that ass-hat gave it away.
If the $US is no longer the reserve currency, then the dollar will collapse and the US government will default. Runaway inflation...banks will shut down. The government will collect all the currency and destroy it and issue a new currency. Probably the amero. We will live with a much lower standard of living. energy, oil, and food prices will be high forever and wages will be low. we will go back to one car(a tiny one) per family, no cell phones, and no cable TV and dial up internet. People will not go out to eat regularly. We will again see 3 generations living under one roof and the vast majority of people will not own a house.
Obama is only the most recent.
“Free traders” have given away the prosperity of America.
And our factories, our jobs, and our technology. The time has come, to take them back.
Now.
Back at the time, our grandparents said there was lots of concern about the Dollar being the currency after the last world war, there was great concern what would happen if this day ever came.
Many people around the world store their savings in dollar valued assets. The dollars Russians have stuffed in their mattresses alone would unleash such a sudden inflation that people would be literally unable to cash them in for commodities.
Everyone wondered where all the inflation was from them printing all this money over the last 30 years, it has been reduced by people socking away money. When they realize their money is loosing value even under the mattress, it will unleash Armageddon on the US Currency.
>>>The Chinese experience is entirely too short for anyone to trust the Yuan.
yes.
francis fukuyama says one extended family controls china; we know we can’t trust them.
Coming from a country whose economy is built on a “house of cards”.
Indeed it does. Wait until the clueless see what gas prices got to after this happens and as the libtards inflate our currency.
And then...
Beijing has every right “to demand the United States to address its structural debt problems and ensure the safety of China's dollar assets.”
So the process is irreversible and yet they want it reversed? The reason the market doesn't pay attention to this agency is that it's not a market actor, it's a government agency
Ah Obama’s plan, a one world currency!
Thanks for providing everybody with a hint of what is coming.
Read my tag. The greatest financial shock this country has ever known, bar none, is coming. It will change our world for the worse forever.
I never thought about that.
But the only way the russian mattress hoards of US currency can do harm to us here in america is if all those dollars find their way back to US soil. I’m not so sure that will happen. besides, the total value of those mattress hoards are insignificant compared to the digital dollars given away to banks and others here in america.
I saw a map on TV of the dollar as the savings currency about 3 years ago, it dwarfed all of this because it has been going on since WWII, It is trillions upon trillions of dollars.
Not only that, lots of it is counterfeits mixed in with legit bills with dates going all the way back to 1958.
The location of U.S. currency: how much is abroad? - survey methods indicate 55% to 70% of all dollars located outside country - includes related articles
http://findarticles.com/p/articles/mi_m4126/is_n10_v82/ai_18786211/
Chart of US Money Supply, everyone focuses on the last few years, but most of this money was tied up to a certain degree in the banks,
Now look prior than the last few years, yes, we had inflation but no way near what we should have in the Carter Years, much of this was socked away behind the iron curtain and all around the world for their savings.
If the dollar starts to crash, all these dollars will come home to roost.
http://www.chartingstocks.net/2009/03/chart-of-the-us-money-supply-1917-2009/
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