Ray McGovern Gives His Insight into The Coming Israel/Iran Conflict!

Euro Crisis, The Hidden Agenda! Competitive Currency Devaluation, A Race To The Bottom!

• All fiat currencies are heading to the bottom of the trash heap. The USD appears strong not because it is a sound currency. It is a fatally flawed currency. It is just that the Wall Street banksters have chosen to attack the Euro and are continuing to destabilize the Eurozone. So the USD appears relatively strong. If you measure all fiat currencies against gold, the ultimate currency, it is clear. All fiat currencies are being bashed by gold. No currency has been able to hold its own against the gold wrecking ball for the past 8 years! Sol Palha gives his perspective:
    
  While everyone is focusing on the so called obvious factors, they have missed the most important factor; the real reason behind the crisis. The crisis started in Greece and the top EU members knew they were going to bail out Greece and potentially any other member that needed help, but they pretended that they would not.  One of the obvious reasons for the bailout was not to protect Greece, but to save the bond holders; most of the bond holders are foreigners.  That’s the same reason the banks were bailed out in the US, to protect the large shareholders; it’s all a game of smoke and mirrors.  
   
  Our hypothesis is that the main reason that the Euro crisis was allowed to evolve was to deflate the Euro. Note that we have stated many times in the past that we have now entered into the competitive currency devaluation era, where the theme is or will soon be “devalue or die”.  Or maybe we should add “devalue or die trying to”, for nations are going to do whatever it takes to keep their products competitive in the global market. We recently spoke of this phenomenon in two separate articles   Currency-devaluation-a-race-to-the-bottom and the devalue or die era is picking up steam
   
  Germany was knocked out of the top place and replaced by China as the world’s largest exporter and that must have hurt. Thus by allowing the crisis to progress, the EU could, in fact, devalue the Euro without actually issuing new currency. And then when things started to look really bad, they could pretend to help by approving a huge package, but this package would now devalue the euro even more. Thus with one stone they killed two birds in the sense that it produced double the effect. If they had approved a bailout package immediately, the euro would not have shed as much as it did.  In a matter of months the Euro dropped almost 24%; in the currency markets, this is considered to be a very large move.  
   
  Another factor to consider is that no government wants to pay its debt in a stronger currency; governments borrow money so that they can pay it back with cheap currency.   
   
  Thus while one currency might appear to be appreciating against another; the truth is that they are all falling down, some faster than others.   Take a look at some long term commodity charts, and you will notice that most of them are in up trends, regardless of which currency they are priced. For example, a 3 year chart of gold priced in any currency shows that it’s in an uptrend.   The race to the bottom has picked up in intensity. We would not be surprised now if some sort of crisis hits Asia; this would complete the circle perfectly.  A position in precious metals is recommended. View this as a hedge/insurance against another potential crisis; if you have no position wait for strong pull backs before deploying new money.

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Russia Wants ’100% Proof’ N.Korea Sunk Ship!

• Both Russia and China are highly skeptical about the conclusions given by the west. Of course, the western MSM will attempt to sell the idea that both Russia and China are supportive of the report. It is an ongoing endless propaganda war. The Chinese and Russians are not stupid. Any attempt by Kim Jong Il to torpedo a South Korean warship will lead to all out war. North Korea will be bombed out of existence. Defeat and annihilation for Kim Jong Il is a certainty. So why would he do such a thing? He may be a narcissistic megalomaniac but self-preservation instinct is usually pretty strong in such people.
    
  Russia will not support efforts to punish North Korea for sinking a South Korean warship until it is fully convinced Pyongyang was behind the incident, a foreign ministry spokesman said Thursday. “We need to receive 100 percent proof of North Korea’s role in the sinking of the corvette,” the spokesman, Igor Lyakin-Frolov, was quoted as saying by the Interfax news agency.
   
  “Our specialists are currently studying the materials of the investigation. We need to draw our own conclusions about what happened. Everything will depend on the situation and the body of evidence.” The comments came a day after Russia announced that it was sending a team of experts to South Korea to assess the evidence about North Korea’s involvement in the sinking of the warship, which left 46 sailors dead.
   
  In a separate report, a senior source in Russia’s navy suggested that Moscow was unhappy about being excluded from the lengthy multinational investigation into the sinking of the Cheonan, a 1,200-tonne corvette.
   
  The investigation — which included experts from South Korea, the United States, Australia, Britain and Sweden — concluded last week that there was overwhelming evidence that the ship had been sunk by a North Korean torpedo.
   
  “With the participation of Russian specialists, the results of the investigation into the incident might have been more complete and objective,” the Russian navy source told Interfax.
   
• See also:
   
  Beijing Suspects False Flag Attack on South Korean Corvette!
  The Sinking of The Cheonan: Another Gulf of Tonkin Incident?!
  Questions Raised Following Cheonan Announcement!
  The Sinking of the Cheonan: We Are Being Lied To!
  Probe Concludes German Made Torpedo Sank South Korea Ship!  
   

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Beijing Suspects False Flag Attack on South Korean Corvette!

• Yes, it was very likely a false flag attack. The words and reports that came out just after the incident clearly contradicts what the South Koreans are saying now. Hopefully, this is just a ploy to push the Hatoyama government away from removing the bases in Okinawa. But I still think one of the main purpose is the positioning of military forces for the coming World War 3. Russia and China are being encircled by US forces. Wayne Madsen reports:
    
  WMR’s intelligence sources in Asia suspect that the March attack on the South Korean Navy anti-submarine warfare (ASW) corvette, the Cheonan, was a false flag attack designed to appear as coming from North Korea.
   
  One of the main purposes for increasing tensions on the Korean peninsula was to apply pressure on Japanese Prime Minister Yukio Hatoyama to reverse course on moving the U.S. Marine Corps base off Okinawa. Hatoyama has admitted that the tensions over the sinking of the Cheonan played a large part in his decision to allow the U.S. Marines to remain on Okinawa. Hatoyama’s decision has resulted in a split in the ruling center-left coalition government, a development welcome in Washington, with Mizuho Fukushima, the Social Democratic Party leader threatening to bolt the coalition over the Okinawa reversal.
   
  The Cheonan was sunk near Baengnyeong Island, a westernmost spot that is far from the South Korean coast, but opposite the North Korean coast. The island is heavily militarized and within artillery fire range of North Korean coastal defenses, which lie across a narrow channel.
   
  The Cheonan, an ASW corvette, was decked out with state-of-the-art sonar, plus it was operating in waters with extensive hydrophone sonar arrays and acoustic underwater sensors. There is no South Korean sonar or audio evidence of a torpedo, submarine or mini-sub in the area. Since there is next to no shipping in the channel, the sea was silent at the time of the sinking.
   
  However, Baengnyeong Island hosts a joint US-South Korea military intelligence base and the US Navy SEALS operate out of the base. In addition, four U.S. Navy ships were in the area, part of the joint U.S-South Korean Exercise Foal Eagle, during the sinking of the Cheonan. An investigation of the suspect torpedo’s metallic and chemical fingerprints show it to be of German manufacture. There are suspicions that the US Navy SEALS maintains a sampling of European torpedoes for sake of plausible deniability for false flag attacks. Also, Berlin does not sell torpedoes to North Korea, however, Germany does maintain a close joint submarine and submarine weapons development program with Israel.
   
  The presence of the USNS Salvor, one of the participants in Foal Eagle, so close to Baengnyeong Island during the sinking of the South Korean corvette also raises questions. The Salvor, a civilian Navy salvage ship, which participated in mine laying activities for the Thai Marines in the Gulf of Thailand in 2006, was present near the time of the blast with a complement of 12 deep sea divers.
   
  Beijing, satisfied with North Korea’s Kim Jong Il’s claim of innocence after a hurried train trip from Pyongyang to Beijing, suspects the U.S. Navy’s role in the Cheonan’s sinking, with particular suspicion on the role of the Salvor. The suspicions are as follows:
   
  1. The Salvor engaged in a seabed mine-installation operation, in other words, attaching horizontally fired anti-submarine mines on the sea floor in the channel.
   
  2. The Salvor was doing routine inspection and maintenance on seabed mines, and put them into an electronic active mode (hair trigger release) as part of the inspection program.
   
  3. A SEALS diver attached a magnetic mine to the Cheonan, as part of a covert program aimed at influencing public opinion in South Korea, Japan and China.
   
  The Korean peninsula tensions have conveniently overshadowed all other agenda items on Secretary of State Hillary Clinton’s visits to Beijing and Seoul.
   
• See also:
   
  The Sinking of The Cheonan: Another Gulf of Tonkin Incident?!
  Questions Raised Following Cheonan Announcement!
  The Sinking of the Cheonan: We Are Being Lied To!
  Probe Concludes German Made Torpedo Sank South Korea Ship!  

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Gold at $36,000 Not as Ridiculous as It Sounds? Will Gold Replace Currencies?

• Ben Davis :
   
  ‘Gold should be viewed not as a commodity, but as a cash supplement, ….. There’s been such proliferation of currency,…. As a consequence, gold is very undervalued. …. I could be really obtuse and say $36, 000, ….. But actually it’s not as ridiculous as it might sound. …..  If all the reported Fort Knox gold was re-valued at $36,000 per ounce, it would pay off all the debt in the US…’

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Hugh Hendry on Eurozone Crisis: ‘I Would Recommend You Panic!’