A sharp-eyed FReeper noted the USA and U.K. flags are not in that group. The darn colonialism.
China ties their own currency to a basket which is mostly valued by the dollar. All they have to do is let their currency free and oil would be cheap to them.
Dollar slides inflation hits home bigtime.
Would that be a bug or a feature?
So, bringing in a gold standard?
I wonder how much the average Wal-Mart basket of good would cost, you know..?
Chicoms are feeling the Trump squeeze
This could shape up to be pretty wild. You can bet the Central Bankers are already in on it and planning their moves to come out whole as they unwind over $20 Trillion Dollars of Inflation. There are 2 ways out of the mess created by Central Bankers and Fiat Currency, Complete Collapse or War, usually both.
Fracking Bitchez! You can steal technology from the American Government via lobbyists and politicians, however, private sector is tough.
The Chinese must be at least 5 years away from fracking technology and they know they need to stop the US from totally indulging in this oil tech boom.
Ny State is holding up fracking right now because Cuomonand his son Fredo have a lock on politics and media in Ny.
The Chinese must act now before the US truly explodes and becomes the Saudi’s of the West.
Game on.
Sigh. Just more BS.
Also, Trump is making a move to have the dollar backed by gold (aka not a fiat currency). If the uniparty does not knock Trump out of office or get Trump killed (attempts have occurred and failed, if successful Civ War II follows), this will happen before the end of his first term.
gold ping!
Gold is currently $1340/oz, so that's 72910 pz per supertanker at current prices.
72910 oz is a bit more than 182 of those big 400-oz bars you see in the pictures of the national gold reserves.
A little close examination reveals that the gold bars in that image (of the gold vault at the Bank of England) reveals that the bars are stacked in groups of 36, four high by nine wide. Thus, each shelf in the foreground contains about 72 bars, and the value of one supertanker full of oil at todays prices is a bit more than the gold on two shelves. Each rack of bars could pay for about one and one-half supertankers.
I read once (long ago) that a chains of supertankers stretch between the middle east and their major markets; the chains are in motion 24-7, with the ships spaced at intervals of about 75 miles. By my reckoning, this means that each rack of bars in this pictures pays for about 120 miles worth of supertankers; when you consider that the route between the mid-east and their Asian markets is about 4500 miles, you can see that about 38 of those racks worth of gold is in motion between the mid-East and Asia at any one time.
Then add to that the oil in motion along the other major routes, and you can see that all the gold in that room would just about pay for all the oil in motion at any one moment in time.
That's if all those shelves are full to capacity, which they obviously are not.
This will only spur our resolve to stop trading with China. We are their #1 customer. Without our money, their economy tanks overnight and their crippling debt gets called in.
As usual, China is trying to project their large face to the world during BRICS.
Trump will introduce some reality to them next week.
Value is created and maintained by continuously improving human productivity.
NOT STUFF.
One consequence of this is China and other countries would need a lot smaller dollar reserves and larger gold reserves.
Today when the DOW dropped 1%, gold jumped 1%.
I accept as an axiom that when something really cannot be done, that it therefore WILL NOT be done.
The US cannot by any means other than devaluing the dollar to a nearly worthless piece of paper make ‘good’ on its outstanding obligations.
Trump will NOT rescue the banking system nor the holders of US fiat currency in other lands by stealing nearly everything the middle-class have earned.
Trump is in office to oversee the bankruptcy of the US.. he is perfect for this role.
What I see happening is Trump somehow bringing back to America the vast holdings held overseas by US firms due to the huge tax hit they would take.
After that $ is safely inside the US system then bankruptcy can be started.
First create a new US dollar, backed by something, not just a fiat paper currency.
Immediately limit EXTERNALLY held wealth backed up by the old fiat US dollar by either not allowing it to be swapped at all for the new currency or at a low rate...say 10%
Internally held old US dollars could be swapped 1:1 for the new dollar.
This would be a US bankruptcy, many foreigners would be very angry with us, the creditors in a bankruptcy generally are pissed off.
There is no other way out.... when large debts and obligations cannot be paid they WILL NOT be paid...it’s really very simple.
There will be a LOT of very angry people...quite a few of them US citizens depending on overly generous private and government backed retirement systems that were always insincerely promised ... there is no way to avoid this...the value of much of the funds that could have sustained these was stolen and squandered by thieves.. simply to buy votes to retain power.
A large bankruptcy is always painful for those left holding the bag.
There is no way to save everyone, even deserving ones, from the effects of such a financial catastrophe.
This will all involve great danger, danger to Trump personally, and for the entire world because war may likely follow such a dramatic shakeup of world finances.
The bill always has a way of coming due :-/
It has been nice while it has lasted: Americans printing dollars that we ship to China and elsewhere in exchange for real stuff that the Chinese and others work hard to produce and ship over here.
China is hallucinating.