• IP addresses are NOT logged in this forum so there's no point asking. Please note that this forum is full of homophobes, racists, lunatics, schizophrenics & absolute nut jobs with a smattering of geniuses, Chinese chauvinists, Moderate Muslims and last but not least a couple of "know-it-alls" constantly sprouting their dubious wisdom. If you believe that content generated by unsavory characters might cause you offense PLEASE LEAVE NOW! Sammyboy Admin and Staff are not responsible for your hurt feelings should you choose to read any of the content here.

    The OTHER forum is HERE so please stop asking.

In Uncertain Times, only Idiots buy USD$

woolsworth

Alfrescian
Loyal
In Uncertain Times, only Idiots buy USD$

Dump the dollar , go for Gold . It'll hit $2000 by next fall.

Guess who's one of the world largest reserve of gold now ?
Guess what happens when the Chinese Yuan is backed by Gold ?????



--------------------
20 May 2010, 0018 hrs ,EU Bureau



Three Strikes and the Dollar’s Out
China is the largest holder of dollar denominated investments and reserves in the world. And they’re losing money on it all. How much? Charles Dumas, chief economist and director at Lombard Street Research — economic consultants to some of the world’s largest banks for nearly 20 years — sums it up…

“China makes 1–2 percent on its (largely) dollar reserves. It then loses up to 10 percent on the exchange rate and suffers a Chinese inflation of 6 percent for a total return in renminbi of about minus 15 percent. That is a loss of $270 billion a year, or a stunning 7–8 percent of gross domestic product.”

The bottom line is, China is losing big on its dollar investments. And they’re looking to get out of this losing trade. First by reducing reliance on the dollar.

Over the last six months, China has entered into currency swap agreements with several Asian neighbors including Malaysia, South Korea, Hong Kong and Indonesia. Currency swap lines are essentially currency accounts with the others currency so they can trade with each other directly. Without having to swap for dollars first.

Ordinarily you might say “so what” to agreements like these between Asian nations. But now China has arranged swaps with Brazil ,Argentina & Venezuela. These commodity-rich, Latin American countries who are just as happy to take the dollar out of the trade loop as well.

Fact: China kicks dollars out of
their trade loop.
STRIKE ONE

But that’s only the beginning.

China’s down payment on the future
Since they’re not using as many dollars for international trade, they’re putting them to another use.

The Wall Street Journal reports… “Chinese government banks are willing to extend huge foreign loans to further China’s long-term energy-security goals: ensuring diverse global supplies and winning entree into competitive regions for its oil companies.”

This buys them a lot of good will and favorable trade terms from countries around the world.

They recently extended $100 billion in loans to Brazil’s national oil company, Petrobras.

They’ve also injected more of their reserve dollars into other resource rich countries like Russia, Kazakhstan, Canada and regions of Africa. Lending money these countries wouldn’t have access to otherwise, but also buying goodwill of some of the most resource rich countries in the world.

Fact: China is investing their dollar
reserves outside the U.S. to ensure their
future economic security
STRIKE TWO



Being the world’s reserve currency is a big deal. It means the U.S. can buy commodities like food and oil cheaper than the rest of the world, because we don’t have to buy another currency first. It also means that we can borrow money to fund our deficits cheaper because other countries who hold large stores of dollars will lend them back to us (by buying our treasury bonds) more readily.

Without that edge, it would lead to skyrocketing prices everywhere, from the supermarket to the gas pump. On top of that, we’d see soaring interest rates — including the all the rates that affect you… From your mortgage to your credit cards…




Three strikes and it’s time to arm yourself against
the long term fallout of their actions
Finally there are “experts” who claim the Chinese would never do anything to hurt the dollar. They say the Chinese simply have too much exposure to dollar based investments. It would be like committing financial suicide.

But here’s the truth. China controls nearly $700 billion in U.S. debt. And they certainly want to appear as if they’re still willing to support U.S. debt. But in reality, they’ve been quietly adjusting their holdings to shorter terms, underlining their loss of faith in the U.S. In fact, Reuters reported China…

“…has turned its back on long-term U.S. debt in favor of
shorter maturities.

Between August 2008 and March 2010, China bought $171.3 billion of bills, debt that carries a maturity of up to a year, compared with just $22.9 billion of longer-term notes and bonds with a maturity of two years or more. It also sold $23.5 billion of long-term agency debt.”

Now this isn’t happening by accident. And the shift isn’t going to play out in one day. It’s a complex undertaking — like a game of chess. When you play chess, you try to maneuver your opponent into the most defensive position possible taking his pieces one by one.

That is exactly what China is doing. And when they’re finished…

Fact: China won’t care what happens to the US dollar.
STRIKE THREE

Because these steps are so subtle and the complex, you need to take steps to protect your savings — right now. Because in a year from now, or maybe even less, when China’s actions are felt widespread, it will be too late. You must act while your dollars still have value left.
 

Watchman

Alfrescian
Loyal
You sometimes wonder why GIC and Temasek buy up some of the US properties, funds and treasury bonds .

At a time couldn't be worst .

Even though they should know the implications .



Temasek Holdings has sold off half its ill-timed investment in Merrill Lynch - or about 87m shares, according to a mutual funds report on institutional trades on US stocks.
The online report, MFFAIRS (Mutual Fund Facts About Individual Stocks), reported it sold off 86,949,594 shares (50%), leaving a current holdings of 86,949,594 shares (50%), according to the filings made public.

The report gave no exact date or price of the sale.

Neither has there been any confirmation from Temasek, which had paid US$48 a share last year. http://www.mffais.com/newsarticles/2008-07-22/2473637-211738.html

Last week Merrill Lynch was traded at $31.

At that price Temasek would have suffered a loss of $17 a share - or a total loss of about US$1.48b for the 87mil shares.
 

GoFlyKiteNow

Alfrescian
Loyal
In Uncertain Times, only Idiots buy USD$

Dump the dollar , go for Gold . It'll hit $2000 by next fall.

Guess who's one of the world largest reserve of gold now ?
Guess what happens when the Chinese Yuan is backed by Gold ?????

.

Are you sure you know what you are talking about?

Look at the apparent contradictions you make.

" Dump the dollar , go for Gold . It'll hit $2000 by next fall. "

So gold gonna be 2000 dollars ?
IN WHICH DOLLAR.?
Zimbabwean dollar ?

Got the drift.?..no matter what, it all comes back to USD linkage.

Still difficult to comprehend? - Without the USD, at the moment there is no way to value any thing including gold. Cannot escape that inevitable linkage.

Oh..btw.".three strikes and the dollar is out ?"
Go where ? - Go to remimbi.?..LOL
To gold?..and priced in what currency?
 

woolsworth

Alfrescian
Loyal
Got the drift.?..no matter what, it all comes back to USD linkage.

Still difficult to comprehend? - Without the USD, at the moment there is no way to value any thing including gold. Cannot escape that inevitable linkage.

Oh..btw.".three strikes and the dollar is out ?"
Go where ? - Go to remimbi.?..LOL
To gold?..and priced in what currency?

The USD linkage is just that , a term of description , just like cm, metres, kg etc . Surely you're not a twit to comprehend that ??
It is too emphasis what a shit currency the USD is .


When the dollar is out , go Long on the Indian Rupee . It is the choice of a new generation.

Indian Rupee is a great currency !
 

kulgai

Alfrescian
Loyal
So gold gonna be 2000 dollars ? IN WHICH DOLLAR.? Zimbabwean dollar ? Got the drift.?..no matter what said:
Usually when gold goes up, USD goes down and vice versa. Having said that, I must qualify that it's not written in stone .
 
U

UpYoz_olo

Guest
The USD linkage is just that , a term of description , just like cm, metres, kg etc . Surely you're not a twit to comprehend that ??
It is too emphasis what a shit currency the USD is .


When the dollar is out , go Long on the Indian Rupee . It is the choice of a new generation.

Indian Rupee is a great currency !

You must be a chow keling, the lowest of low. Lan jiao kelings have no future one lah. Between middle earth and land of the black, I bet my last penny on the former anytime. At least middle earth can bomb the shit out of the land of the black. What can chow keling country do???? Even the cows rule over them. Pathetic chow kelings.....


:oIo::oIo::oIo::oIo::oIo::oIo:
 

Sperminator

Alfrescian
Loyal
In Uncertain Times, only Idiots buy USD$

Dump the dollar , go for Gold . It'll hit $2000 by next fall.

Guess who's one of the world largest reserve of gold now ?
Guess what happens when the Chinese Yuan is backed by Gold ?????

Thanks for your genius analysis...

GO FOR GOLD... because it'll hit USD 2,000 by next fall.

Some economic forecasters like Gerald Celente, and Peter Schiff, predicted that it'll be USD 10,000 this year.

I find this rather funny and amusing. DUMP the DOLLAR, GO FOR GOLD...

For your information, GOLD is just a hedge on value, a representation of Purchasing Power, which was used to be the standard for USD, until the Genius President Nixon, unpeg it in the 1970s.

Why? Reason is simple, no more GOLD in Fort Knox, unable to pay debts in GOLD, as back then, France and Germany were asking for GOLD for their T-Bills purchased from USA... conveniently, the ruling was done, and wallah, USD not peg to anything, Feds can print as much funny money as they like.

But it's not that simple.

Politically, USA was much stronger in terms of Economics, and Military Might, nobody dares to fuck around with them.

It was the USA which cut a deal with the Arab nations in the 70s and they worked out a perfectly sound plan, the Petro-Dollars Recycling Scheme.

How this scheme works?

"REQUEST" all OPEC, to quote OIL in DOLLARS.

Demand of OIL is rising exponentially, due to population increase exponentially, and urbanization, as the demand of energy increases.

80% of the world's oil is being used only be 20% of the world's population, and conveniently, 20% of the world' population happens to stay in Cities.

Thus, the need of DOLLARS is perpetually there. Having a massive demand.

In fact, the world's successful product is USD, because its demand for International Trade today is 70% of the WORLD MARKETS.

In order to sweeten the deal, OPEC just have to limit their productions, and prices will soar sky high. 73 OIL CRISIS, 80s, 90s OIL CRISIS. I really believe that the WORLD MARKET is highly manipulated by the 7 sisters of OIL Production (Exxon, Mobil, Texaco, Chevron, Gulf, BP, Shell).

So, since the OPEC have tasted the sweetness of fast money, why not join in the game...

Another thing is that GOLD is just a representation of value, it's always a perceived value. You cannot really consume gold (try eating it), although you can use it to make microprocessors, but it'll truly be a waste, as there are always alternative metals like Silver.

Truly, in times of entire market collaspe, its not GOLD that is valueable, it's actually food and energy. These are truly the basic requirements of living. One might argue that when they have GOLD, they can buy food... the problem is, when the entire market collaspe, there would no longer be anyone in the distribution channels selling food... it'll be mass chaos.

When food's demand is high enough, EVEN GOLD's value can be inflated! It's all about DEMAND and SUPPLY, willing buyer, willing seller.

It's really a paradox.

If you go long on GOLD, it's value, say in USD increases to USD 10,000.00 that would mean that USD itself have seriously hyper-inflated.

The rest of the world's currency will just correspond accordingly.

Say now GOLD is trading at USD 1191

gold_3d_b_o_USD.png


and if GOLD trades at USD 10,000.00 the rest of the world's currency must re-adjust to correspond according to it's change.

Or else, it'll create too much of an imbalance in the FOREX MARKETS, and even in a day, it can cause NATIONS TO CRUMBLE if other nations are sleeping. (Argentina & Brazil were seriously affected in 1 day, back in 2001)

Say I hold 1 TRILLION Oz of GOLD, when the value goes to USD 10,000.00, I'll use my 1 TRILLION Oz of GOLD and Change to USD, and then Change to a CURRENCY OF CHOICE, say RMB. I'll have about 10 times the amount!

This CANNOT HAPPEN, there are market watchers to prevent such arbitrage.

USD cannot hyper inflate, if it does, it'll cause the whole world to go down with it... 70% of International Trade depends on USD...

In uncertain times, the best is, make sure you have enough food, have a shelter, enough entertainments, enough books for education, and go do something constructive.

In my own view, even if the entire market crash, there is nothing we can do about it, unless you are like Obama, Hu Jintao, President of Brazil, President of Russia, President of India, Israel Prime Minister...

Just look back to history... after WWI, follows the GREAT DEPRESSION, what comes after a GREAT DEPRESSION, WWII...

I pray that we do not have a GREATEST DEPRESSION... because this means that it'll lead to WWIII... and I surely don't want to go to war... because of some Financial Institution Fuck Up... I always believed that the world's resources is there for us, and it's humans that put a value to everything... think about it... before mankind, earth's resources were already there... We are all living in the craziest period of MANKIND...
 
Last edited:

Sperminator

Alfrescian
Loyal
You sometimes wonder why GIC and Temasek buy up some of the US properties, funds and treasury bonds .

At a time couldn't be worst .

Even though they should know the implications .

I don't know... but something tells me that they have no choice but to buy US properties, funds and treasury bonds.

Singapore's OIL dependency is crucial, if the supply cuts off, SGP is fucked for good.

Only 7 major Oglilarch exists... If they don't buy, supply cuts, SGP gone for good.

And in retrospect, selling off the UBS shares earlier this year is truly a good decision. The fund managers are cutting losses.

Afterall, Singapore is not entirely energy resources independent... that is probably why NUCLEAR energy is part of Singapore's direction.

And why SGP is buying so much sand? to Build the Nuclear Energy Plant offshore...

With Nuclear Energy Plant, Singapore can be considered Energy Independent for decades, and if they could use the burning of SPENT FUEL CELLS, SGP could probably be ENERGY INDEPENDENT for centuries, and WATER INDEPENDENT as well, because the consumption of ENERGY is so great at the DESALINATION PLANTS of SGP.
 

longbow

Alfrescian
Loyal
"In fact, the world's successful product is USD, because its demand for International Trade today is 70% of the WORLD MARKETS"

True during early 70s but fast forward to today and you have the fast growing BRIC that have increasingly large GDP.

US reserve currency status is because US was world's largest consumer and industrial producer by far - in the 1970s. There was also that Cold War angle.

Saudi is willing to accept US$ because they can in return use that same currecny to buy US cars, armaments, desalination plants. Saudi can also use this US$ to buy timber from Indonesia because Indonesian can use the US$ to buy more Caterpillar tractors to log the wood. In the 1970s the Japs were not that competitive - Komatsu, Toyota, Honda were all at infancy.

Fast forward to today and picture has changed.

In 2009, China's GDP is 35% that of US. And it is growing at 8 to 10% per year. There is a good chance that it will match US GDP in 15 years.

In 2009, the 2, 3, 4th largest GDP (Japan, China Germany) together matches US GDP.


In 1970, Japan's GDP is 20% that of USA. The 2 to 10 largest GDP combined is less that US GDP then.

So you can see that US reserve currency made sense in 1970 since the US makes and consumes so much. However it is losing the support that makes it a reserve currency.

China is having these currency arrangement with many of these countries because people want Yuan. 1) it is under valued 2) Yuan can be used to buy goods from China. Heck, we have lots of things to buy from China - from cell phones, computers, routers, garments, toys, shoes, computer chips, LCD, farm equipment, cheap motorcycle ....... and the list goes on. So Brazil is willing to take Yuan as payment for its commodities because it can readily turn around and use that Yuan to buy Chinese made goods.





2009 top 10 largest GDP

1 United States 14,256,275
2 Japan 5,068,059
3 People's Republic of China 4,908,982
4 Germany 3,352,742
5 France 2,675,951
6 United Kingdom 2,183,607
7 Italy 2,118,264
8 Brazil 1,574,039
9 Spain 1,464,040
10 Canada 1,336,427


1970 top 10 largest GDP


# 1 United States: $1,025.50
# 2 Japan: $206.80
# 3 Germany: $203.70
# 4 France: $147.00
# 5 United Kingdom: $123.60
# 6 Italy: $107.70
# 7 Canada: $85.10
# 8 Australia: $42.90
# 9 Mexico: $39.60
# 10 Spain: $39.00
 

Sperminator

Alfrescian
Loyal
Great Analysis Longbow.

I appreciate it.

My thoughts is that, it is indeed true that China is forming up SWAP Currencies.

I have observed that China have been extremely active since 2008 to now, via visiting the entire world...

Hu Jintao's visitation to Brasilia for the BRIC + South Africa Meeting.

China's SWAP AGREEMENTS with ASEAN Countries, Japan, Korea, Taiwan.

China's visitations to AFRICA

China's visitations to CENTRAL ASIA

It appears that CHINA is TRYING to position itself as a de facto currency since right now CHINA is having the Manufacturing Power for the WORLD. In fact, it is true to say that China's factories capacities are not operating at a 100% efficiency level!

With the low cost labour, abundance of resources via (importation using USD, which China is holding an estimate of USD 700 Billion T-Bills), and coupled with the highest PPP (Purchase Power Parity) of the YUAN.

[Reference The Economist BURGERNOMICS, using Big Mac as a benchmark]

It appears that, CHINA is TRYING to position itself as a GLOBAL de facto currency.

However, this is rather difficult, as OPEC still quote USD for OIL.

Being a major producer of commodities, and services, importation of ENERGY resources is still being bought by USD.

China do not want to see the USD hyper-inflate. Because, this would devalue it's holdings of USD T-BILLS, and the rest of the world holds dollars as a foreign reserve.

Put it simply, lets say, I hold SGD 10,000 in a bank account of Singapore, with simple interest rate of 2.5% per year in Fix Deposit (equivalent to a BOND FUND), and on assumption that SGP's MAS decides to print more SGD and flood the market with more SGD, and even offer a lower interest rate for monetary policy, this will cause an inflation. My value of SGD 10,000 depreciates, and it's PPP reduces... what used to cost SGD 2.50 for a bowl of mee pok tah, cost SGD 3.50, now that's inflation.

Now lets say MAS decides to issue more SGD, and flood the market with SGD 1 Trillion (hypothetical case), my SGD 10,000 in the bank would be fiat money... and now, a bowl of mee pok tah may cost SGD 100, or more... like the Zimbabwe's Hyper Inflation.

CHINA hold perhaps more than USD 700 Billion T-BILLS, and to hyper-inflate USD will no doubt reduce the value of USD's PPP, thus, reducing the debt obligation of USA to CHINA.

CHINA will not allow this to happen...

If hyper inflation truly happens, CHINA will become an aggressor to USA demanding GOLD, or any other valueable items, may it be goods, services, technology, in compensation of the hyper-inflation. [Something like 欠钱不还, China will put PIG HEADS at USA's DOOR]

I doubt USA wants CHINA to be it's enemy. In fact, this hyper-inflation of USD will create so much hatred from nations with USD foreign reserve.

What I can see is that, if the world agrees, and sell Carbon Credits, Tax, Capping Rulings using USD as the de facto measurement, this newly created industry may give USD a room for value expansion. [As good as creating value out of thin air again, but it is worth a try]

Therefore, this is one of the reasons, why Obama is pushing for GREEN ENERGY... notice that since Obama have become president, he has been pushing for GREEN ENERGY, and RENEWABLE Energy?

That's because USA is already well positioned for Solar, Wind, Fuel Cells, Alternative Energy, thereby their CO2 emissions is already in check, likewise Europe is supportive, due to the same reason.

And it's CHINA that have the most factories in the world, and vehicles have been increasing in quantities in an exponential level. So the CO2 emissions is naturally high, thus, the purchase of Carbon (offset credits), and Taxes is naturally high...

The future Dollars may be pegged with Carbon Credits (offset), Tax, Capping Rulings... as Oil will run dry one day.
 

theDoors

Alfrescian
Loyal
Birth of a new currency call Amero

http://www.marketwatch.com/story/do-we-need-a-north-american-currency

By Todd Harrison

"World, hold on. Instead of messing with our future, open up inside." -- Bob Sinclair

NEW YORK (MarketWatch) -- Thomas Jefferson once said: "When you reach the end of your rope, tie a knot in it and hang on." As the global financial system pushes on a string, investors are desperately trying to hold tight.

The New World Order is upon us, full of hope, promise and a fair amount of fear. In our recent discussion regarding the direction of our country, we noted the risks of catering to conventional wisdom and the implications for the U.S. dollar. See MarketWatch column on New World Order.

The Minyanville mantra is to provide financial news you need to know before you know you need it. That's a fine line to walk, as foresight often flies in the face of mainstream acceptance.

In 2006, it seemed counterintuitive to forecast a "prolonged socioeconomic malaise entirely more depressing than a recession." See Minyanville column.

For years, the notion of an "invisible hand" was conspiracy theory until we learned that the Working Group on Financial Markets was a central policy tool. See Minyanville column.

And now, as we gaze across our historically significant horizon, we must open our minds to thoughts and ideas that may seem foreign to folks conditioned by the past and stunned by the present.
Currency crossroads

As governments take on more risk -- as they price assets on behalf of the market and transfer debt from private to public -- the common denominator, or release valve, becomes the currency.

If our economic condition is allowed to take medicine in the form of debt destruction, the greenback will appreciate, and asset classes as a whole will deflate. If we continue to inject drugs that mask symptoms rather than address the disease, the likelihood of a seismic readjustment increases in kind.

The deflationary forces in the marketplace are pervasive, and the "other side" of our current equation, hyperinflation, may be years away. Given the magnitude, breadth and pace of the global financial epidemic, however, we must explore each side of the twisted ride.

Years ago, the Federal Reserve wrote a "solution paper" regarding the need to combat zero-bound interest rates. The concern was the flight of capital from the U.S. and an option discussed was a two-tiered currency, one for U.S citizens and one for foreigners.

Canadian economist Herbert Grubel first introduced a potential manifestation of this concept in 1999. The North American Currency -- called the "Amero" in select circles -- would effectively comingle the Canadian dollar, U.S. dollar and Mexican peso.

On its face, while difficult to imagine, it makes intuitive sense. The ability to combine Canadian natural resources, American ingenuity and cheap Mexican labor would allow North America to compete better on a global stage.

Experience has taught us, however, that perceived solutions introduced by policy makers and politicians don't always have the desired effect.
Unintended consequences

I've long contended that, much like the Internet prophecy proved true -- but not before the tech crash -- so too would globalization, albeit not without painful-yet-necessary debt destruction.

To get through this, we need to go through this. If we're not allowed to go through it, foreigners will seek alternative avenues. Remember, for holders of dollar-denominated assets, seeds of discontent have been sowing under the surface for years, with the greenback off 30% since 2002.

More likely than not, global leaders will watch how our new administration attempts to tackle the financial crisis before taking drastic steps. They understand that co-dependent risk exists as a function of the derivatives that interweave our financial infrastructure. If they could disassociate from our economic ecosystem without inflicting massive damage on themselves, they would have done so long ago.

If forward policy attempts to induce more debt rather than allowing savings and obligations to align, we must respect the potential for a system shock. We may need to let a two-tier currency gain traction if the dollar meaningfully debases from current levels.

If this dynamic plays out -- and I've got no insight that it will -- the global balance of powers would fragment into four primary regions: North America, Europe, Asia and the Middle East. In such a scenario, ramifications would manifest through social unrest and geopolitical conflict.

This particular path isn't something one would wish for, but the cumulative imbalances that steadily built in our finance-based economy must be resolved one way or another. Therein lies the critical crossroads we together face as our wary world attempts to find its way.

Scary? Yes. Probable? Not so much, at least for the time being. Possible? Certainly, although I'll again offer that it could take years before the pieces of this prickly puzzle fall into place.

Effective money management dictates weighing the entire probability spectrum of potential outcomes and factoring them into our decision making process. While the notion of a seismic currency shift may seem obscure, we must respect the possibility long before it becomes front-page news.

For if we've learned anything through the last few years, proactive thought provocation is a necessary precursor to effective preparedness.
 

theDoors

Alfrescian
Loyal
Why PetroEuro must fail:

http://www.cfr.org/publication/14988/considering_the_petroeuro.html

Considering the PetroEuro
December 7, 2007
Author:
Lee Hudson Teslik

Considering the PetroEuro

Falling dollars has prompted questions whether oil should be priced in euros. (AP Images/Charlie Riedel)

Easily missed amid the rising outcry over oil prices is the fact that they have only been skyrocketing in dollar terms. Priced in euros—or yen, or pounds sterling—the cost of a barrel of oil has risen much less over the past decade. At recent meetings of OPEC, the Organization of the Petroleum Exporting Countries, ministers disputed whether oil should be sold in euros instead of dollars (WashPost), in light of the dollar’s recent decline. Officials from Venezuela, Iran, and Algeria called for a switch. But Saudi Arabia and Kuwait, both of which hold huge dollar reserves, urged caution, and the bloc concluded the meetings saying it would further study (FT) the impact of the falling dollar on its member states
 

theDoors

Alfrescian
Loyal
Excerpts from
Laurence H. Shoup and William Minter, The Imperial Brain Trust: The Council on Foreign Relations & United States Foreign Policy
From the Introduction, pages 3-7.
11 September, 1995
http://www.hartford-hwp.com/archives/45/060.html

Too often, discussions of the Council on Foreign Relations (CFR) and its plans for a New World Order are seen as "right-wing" or "Bircher" paranoia. However, if "paranoia" is defined as disconnection from reality, it is those who fail to recognize the power of the ruling class/conspiracy as exercised through the CFR who are the real "paranoids"!

What follows is an excerpt from a "Marxist", left-wing analysis of the power and influence of the CFR.

Over fifty years ago, in the wake of the First World War, a group of wealthy and influential Americans decided to form an organization. The Council on Foreign Relations, as it was subsequently named, was designed to equip the United States of America for an imperial role on the world scene. Great Britain had dominated world politics during the nineteenth century, not only through its colonial empire, but also through an even wider informal sphere of influence. In a similar fashion, so felt these American leaders, would the United States play a dominant role in the years following the war.

But in 1919 the United States was not yet adequately prepared for world leadership, as was well illustrated by the conclusion surrounding the issue of United States membership in the League of Nations. Even the leaders of opinion had been unable to arrive at a common understanding of the part the United States should take in world affairs. The Council on Foreign Relations would help remedy this defect. By keeping "its members in touch with the international situa- ton"{l} and devoting itself to a continuous study of the "in- ternational aspects of America s political, economic and financial problems,"{2} it would develop a "reasoned American foreign policy."{3} As one early statement of aims ambitiously noted, the Council on Foreign Relations "plans to co-operate with the Government and all existing international agencies, and to bring all of them into constructive accord."{4}

The Council on Foreign Relations still exists today, more than half a century later. Yet it is hardly a household word. Even many of those Americans who are relatively well informed about foreign policy recognize it, if at all, only as the organization which publishes Foreign Affairs magazine. The Council is rarely mentioned in the press or on television. The number of articles, scholarly or otherwise, devoted to its activities is minuscule, even if one adds together the output of over fifty years. The lack of public attention might suggest that the Council's importance does not match its original ambitious goals. One might conclude that it had become simply another discussion group, or a specialized research organization, of little interest except to its own members, and not particularly important to the overall picture of United States foreign policy formation.
 

besotted

Alfrescian
Loyal
It's a scary world

The US is quite capable of monstrosity to serve their purpose

It will create lots of problems for China directly and by proxy

In this game of chess, one wrong move by the Chinese will leave them extremely vulnerable

The Chinese are extremely kind and the US will exploit that
 

longbow

Alfrescian
Loyal
My view is not that China wants Yuan to be reserve currency. It just wants less reliance on US$ as currency of intl trade. In fact it keeps talking about a global reserve currency backed by currency of major GDP countries.

I am in fact alarmed by the speed at China's progress. If you look at BRIC countries, Brazil is still happily exporting its commodities, Russia its energy and India - exporting its talent. The Chinese are the only ones gunnning for first world status and have a well thought out plan to boot. By connecting their country with a high speed rail (much less pollution and energy efficient than flying) just imagine how productive it will be. Then you have the road systems that will bring industrialization to the interior. Each time I visit the country I see great improvement and wonder how Singapore kids are going to compete.

They have a good education system, decent health system which mean many smart kids will be able to attain their full capability. Was really sad when I read about Indian kids eating m&d due to lack of food or Gates coming to India to help eradicate polio. That Indian dalit (untouchable) kid could very well be the next Issac Einstein but because of no food and edu opportunity nothing will come of him. For those that manage to make it to university their future is in the US where they will settle down for good.

So you have the Chinese throwing $$$ into schooling, infra (kids could live 200km away and use high speed rail to attend top university in Beijing and be back in time for dinner). Pretty scary.

You are right about China trying to diversify away from US holdings. It has been investing billions buying commodity future output. Read a recent article about China offering to help build electric high speed rail in the US using Chinese technology licensed to GE. As you know China is now world's leading producer of high speed rail. They even offered to throw in the financing :-). In times of high deficits over in the US, financing sounds good (for the Chinese it is just swapping US treasuries for High Speed Rail Bonds + plus profit for building the railway.
 

soikee

Alfrescian
Loyal
In Uncertain Times, only Idiots buy USD$

Dump the dollar , go for Gold . It'll hit $2000 by next fall.

Guess who's one of the world largest reserve of gold now ?
Guess what happens when the Chinese Yuan is backed by Gold ?????

Financial markets are in turmoil and you know fuck-all!
 

Watchman

Alfrescian
Loyal
I don't know... but something tells me that they have no choice but to buy US properties, funds and treasury bonds.

Singapore's OIL dependency is crucial, if the supply cuts off, SGP is fucked for good.

Only 7 major Oglilarch exists... If they don't buy, supply cuts, SGP gone for good.

And in retrospect, selling off the UBS shares earlier this year is truly a good decision. The fund managers are cutting losses.

Afterall, Singapore is not entirely energy resources independent... that is probably why NUCLEAR energy is part of Singapore's direction.

And why SGP is buying so much sand? to Build the Nuclear Energy Plant offshore...

With Nuclear Energy Plant, Singapore can be considered Energy Independent for decades, and if they could use the burning of SPENT FUEL CELLS, SGP could probably be ENERGY INDEPENDENT for centuries, and WATER INDEPENDENT as well, because the consumption of ENERGY is so great at the DESALINATION PLANTS of SGP.

Maybe it's text book reasoning or scenario .
Or some cult believe to take up more as inverse collateral .
 
Top