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Injin

Future Of The Dollar

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hmmm....

Do you agree with that assessment, Injin, that the G20 have already agreed to go with the SDR and devalue the dollar?

Don't know.

I think likely, but the problem will be how to allocate drawing rights. Does everyone get equal theft opportunities or are they split per region?

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Don't know.

I think likely, but the problem will be how to allocate drawing rights. Does everyone get equal theft opportunities or are they split per region?

I just don't see the logic behind this; and I think that China, Japan, etc wouldn't like the plan to devalue the dollar.

These are very bold statements and supported by very little fact; I mean, did this guy attend the G20 meeting? I just don't think that they've agreed on anything...

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I just don't see the logic behind this; and I think that China, Japan, etc wouldn't like the plan to devalue the dollar.

These are very bold statements and supported by very little fact; I mean, did this guy attend the G20 meeting? I just don't think that they've agreed on anything...

Agreed might be the wrong term. Tolerating ight be better - perhaps experimenting....

Question is - are they doing the SDR thing or not?

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http://www.financialsense.com/fsu/editoria.../2009/0925.html

“The sun is setting on the US dollar as the ultra-loose monetary policy of the US Federal Reserve forces China and the vibrant economies of the emerging world to forge a new global currency order, according to a new report by HSBC.â€

HSBC bids farewell to dollar supremacy

Ambrose Evans-Pritchard, 20 Sep 2009

http://www.telegraph.co.uk/finance/comment...-supremacy.html

Indeed, the official and Agency Data Manipulation serves to conceal painful Economic and Financial Realities from the public. One Reality that is still partially concealed is the consequences of the U.S. Dollar Destruction for the public.

The ongoing destruction of the U.S. Dollar is a de facto confiscation of retirees and Investors lifetimes (and indeed in some cases Generations) of wealth-building.

and what they say you have to do to try to survive.

1. Get the Real Data. As many Investors suspect, Crucial Official Government and Agency Economic and Financial Data are of highly questionable validity. The Data set forth above from shadowstats.com is a good starting point.

2. Take Account of both Overt and Covert Cartel Intervention.

3. Recognize that the Buy and Hold strategy rarely succeeds anymore.

4. Track the Covert Interventionals as well as the Technicals and Fundamentals and Overt Interventionals.

5. Perhaps most important, be prepared to go both long and short Major Market Sectors.

6. Be aware of and Active in the overall Geopolitical Landscape.

7. Finally, Hard Assets Partisans have the opportunity to become involved in Political Action to diminish the power of The Cartel.

After all that then there will probably be some time left over to work for a living and to try to save to buy a property.

Truly the casino economy for the average person.

Edited by billybong

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Agreed might be the wrong term. Tolerating ight be better - perhaps experimenting....

Question is - are they doing the SDR thing or not?

This is the worrying part; and the implication that the IMF will take a much larger role. There is some evidence to support this speculation in that the representation within the IMF is likely to grow from the 8 to the 20. But this is a big step and will require an almost global governance structure. Maybe this is the price that the US has to pay to keep CB's buying Treasuries. This has implications for the WTO too as I understand that it's governance is the 8 as well; this would also have to be expanded. Might take a long time to proceed; although I noticed the Brown assigned a senior Whitehall staffer to the G20 full time last week.

This is going to crush the UN's ambitions....their only funding hope now is an 'environmental' tax.

I think that the IMF is most likely Gordon Brown's next destination....

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I think that the IMF is most likely Gordon Brown's next destination....

Depends whether he has to stand for election.

He has no prior experience of the democratic process.

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I have a (probably stupid) question...

As an example.. Say the dollar does plummet (against the pound) and the gold price says the same, would the value of gold held in GBPs go down?

(confused!)

Edited for spelling

Edited by stew

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Frightening...

A global central bank which can issue debt from thin air, which would debase all currencies in the IMF basket? Who could be trusted to do such a thing? If they can't even manage to run a central bank within the boundaries of a country, what hope do we have on a global scale? At a few key strokes, by an unelected few, we could all be poorer... :blink:

New World Order? :ph34r:

Nope, I don't like this one bit... :unsure:

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Frightening...

A global central bank which can issue debt from thin air, which would debase all currencies in the IMF basket? Who could be trusted to do such a thing? If they can't even manage to run a central bank within the boundaries of a country, what hope do we have on a global scale? At a few key strokes, by an unelected few, we could all be poorer... :blink:

New World Order? :ph34r:

Nope, I don't like this one bit... :unsure:

I do.

It's almost over.

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"All of this talk about the sun setting on the US dollar is really a massive red herring. The US Dollar's value is based on its purchasing power no matter what other currencies may be traded in its place. For example, if the US remains a viable and productive economy which seems more likely than not, it matters not one jot if China or any other country for that matter, switches to the Thai Bat. As the market always self-corrects any artificial dumping of one currency in favour of another will unwind eventually causing the natural levels to re-emerge. What I am basically saying is this, the US dollar cannot be determined by outside forces in the long term. I stress the "long term" because artificial manipulation of a currency may take months or even a few years to fully unwind. If the US dollar was used less as an international currency it does not affect its essential value or purchasing power if, internally, the US remains a viable economy. What we have now is a dominant US dollar because the US economy is dominant, at least in terms of GDP. For the foreseebale future, I do not see that reality changing very much."

I agree.

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"All of this talk about the sun setting on the US dollar is really a massive red herring. The US Dollar's value is based on its purchasing power no matter what other currencies may be traded in its place. For example, if the US remains a viable and productive economy which seems more likely than not, it matters not one jot if China or any other country for that matter, switches to the Thai Bat. As the market always self-corrects any artificial dumping of one currency in favour of another will unwind eventually causing the natural levels to re-emerge. What I am basically saying is this, the US dollar cannot be determined by outside forces in the long term. I stress the "long term" because artificial manipulation of a currency may take months or even a few years to fully unwind. If the US dollar was used less as an international currency it does not affect its essential value or purchasing power if, internally, the US remains a viable economy. What we have now is a dominant US dollar because the US economy is dominant, at least in terms of GDP. For the foreseebale future, I do not see that reality changing very much."

I agree.

Everyone else doesn't.

Shame, eh?

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The monetary system? State failure? Share your thoughts! :lol:

They are going to keep printing - it's all the know.

But a transnational printing episode with no regulation, over sight or history is going to implode like a glass coffin.

Edited by Injin

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I have a (probably stupid) question...

As an example.. Say the dollar does plummet (against the pound) and the gold price says the same, would the value of gold held in GBPs go down?

(confused!)

Yes, since gold is priced in dollars.

However, that would mean the pound getting genuinely stronger against the dollar, as opposed to the dollar weakening and other currencies rising against it. If the rise in the pound was due to a weakening dollar, that would tend to cause gold's price to rise to counteract it.

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Everyone? ;)

Yep.

No force = no dollars

Force = no one wants it

Day is over, day is done. Time to go and get real jobs for the bankers and their placemen. All the lies in the world won't stop gravity doing it's thing.

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It's a nice thought Injin. But SDRs will probably give fiat another 50 years at a guess.

If everyone who has bought gold "on paper" these past few years placed a call for the real stuff we might dioscover that the gold market is as much a ponzi as property was. The "fiat" or declaration as to the value of gold may, in large measure, be based on demand and sales on paper. Some have even suggested that gold has been "oversold" hundreds of times over given the amount in existance and being mined.

Could this slowly dawning fear that gold may be the victim of yet another Ponzi cause a rush to sell?

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