Socio-Economics History Blog

Socio-Economics & History Commentary

Dollar Reaches Breaking Point as Banks Shift Reserves!

  • It is getting closer! I seriously doubt it will take 3-5 years for the USD to collapse. It will be rejected as the world reserve currency and international trade settlement currency in less than a year. It will only be accepted internally in America soon. Bloomberg reports:
      
    Central banks flush with record reserves are increasingly snubbing dollars in favor of euros and yen, further pressuring the greenback after its biggest two- quarter rout in almost two decades.
     
    Policy makers boosted foreign currency holdings by $413 billion last quarter, the most since at least 2003, to $7.3 trillion, according to data compiled by Bloomberg. Nations reporting currency breakdowns put 63 percent of the new cash into euros and yen in April, May and June, the latest Barclays Capital data show. That’s the highest percentage in any quarter with more than an $80 billion increase.
     
    World leaders are acting on threats to dump the dollar while the Obama administration shows a willingness to tolerate a weaker currency in an effort to boost
    exports and the economy as long as it doesn’t drive away the nation’s creditors. The diversification signals that the currency won’t rebound anytime soon after losing 10.3 percent on a trade-weighted basis the past six months, the biggest drop since 1991.
     
    “Global central banks are getting more serious about diversification, whereas in the past they used to just talk about it,” said
    Steven Englander, a former Federal Reserve researcher who is now the chief U.S. currency strategist at Barclays in New York. “It looks like they are really backing away from the dollar.”
     
    Sliding Share
    The dollar’s 37 percent share of new reserves fell from about a 63 percent average since 1999. Englander concluded in a report that the trend “
    accelerated” in the third quarter. He said in an interview that “for the next couple of months, the forces are still in place” for continued diversification.
     
    America’s currency has been under siege as the Treasury sells a record amount of debt to finance a budget deficit that totaled $1.4 trillion in fiscal 2009 ended Sept. 30.
     
    Intercontinental Exchange Inc.’s
    Dollar Index, which tracks the currency’s performance against the euro, yen, pound, Canadian dollar, Swiss franc and Swedish krona, fell to 75.77 last week, the lowest level since August 2008 and down from the high this year of 89.624 on March 4. The index, at 76.431 today, is within six points of its record low reached in March 2008.
     
    Foreign companies and officials are starting to say their economies are getting hurt because of the dollar’s weakness.
          …..
    Dollar’s Weighting
    Developing countries have likely sold about $30 billion for euros, yen and other currencies each month since March, according to strategists at Bank of America-Merrill Lynch.
     
    That helped reduce the dollar’s
    weight at central banks that report currency holdings to 62.8 percent as of June 30, the lowest on record, the latest International Monetary Fund data show. The quarter’s 2.2 percentage point decline was the biggest since falling 2.5 percentage points to 69.1 percent in the period ended June 30, 2002.
     
    “The diversification out of the dollar will accelerate,” said
    Fabrizio Fiorini, a money manager who helps oversee $12 billion at Aletti Gestielle SGR SpA in Milan. “People are buying the euro not because they want that currency, but because they want to get rid of the dollar. In the long run, the U.S. will not be the same powerful country that it once was.”
     
    Central banks’ moves away from the dollar are a temporary trend that will reverse once the Fed starts raising interest rates from near zero, according to
    Christoph Kind, who helps manage $20 billion as head of asset allocation at Frankfurt Trust in Germany.
     
    ‘Flush’ With Dollars
    “The world is currently flush with the U.S. dollar, which is available at no cost,” Kind said. “If there’s a turnaround in U.S. monetary policy, there will be a change of perception about the dollar as a reserve currency. The diversification has more to do with reduction of concentration risks rather than a dim view of the U.S. or its currency.”
       …….
    “The world is changing, and the dollar is losing its status,” said Aletti Gestielle’s Fiorini. “If you have a 5- year or 10-year view about the dollar, it should be for a weaker currency.”

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October 12, 2009 Posted by | Economics | , , , , , , | Comments Off on Dollar Reaches Breaking Point as Banks Shift Reserves!

Jewish Rabbi: Zionists are Godless Criminal Thugs!

  • What this rabbi says is true! I have come to the uncomfortable conclusion that Zionism’s real agenda is to genocide the Jewish people. The usual methodology of disguising evil as light/good is being used to deceive the masses. What better way to kill all Jews than by gathering them to the holy land and causing them to worship the Anti-Christ and Satan, and finally to kill them. Of course, those who choose the side of Satan will be spared. But thanks be to God, He will no doubt preserve His people. Unfortunately, as the bible indicates, many will be massacred in the time of Jacob’s trouble. Pray indeed that Jews will wake up to the calling of their Messiah: Jesus Christ. (See also: Zionism: A Conspiracy Against Jews!)
     
    “Zionism was willing to sacrifice the whole of European Jewry for a Zionist State. Everything was done to create a state of Israel and that was only possible through a world war. Wall Street and Jewish large bankers aided the war effort on both sides. Zionists are also to blame for provoking the growing hatred for Jews in 1988.” (Joseph Burg, The Toronto Star, March 31, 1988).”
     
    Genesis 49:1,16-18
    1 And Jacob called his sons and said, “Gather together, that I may tell you what shall befall you in the last days:
      …..
    16 “Dan shall judge his people
          As one of the tribes of Israel. 
     17 Dan shall be a serpent by the way,
          A viper by the path,
          That bites the horse’s heels
          So that its rider shall fall backward.
     
     18 I have waited for your salvation, O LORD!

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October 12, 2009 Posted by | EndTimes, GeoPolitics, History | , , , , | 13 Comments

The Real Reason Why USA & Israel Will Attack Iran!

October 12, 2009 Posted by | Economics, GeoPolitics | , , , | 6 Comments

Goldstone Commission: UN Fact Finding Mission on the Gaza Conflict

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October 12, 2009 Posted by | GeoPolitics | , , , | Comments Off on Goldstone Commission: UN Fact Finding Mission on the Gaza Conflict

What Happened in New York on 9/11/2009? You Won’t See This Reported in the MSM!

October 12, 2009 Posted by | GeoPolitics, History | , , | 1 Comment

America and Israel: More Lies, More Deception on Iran!

  • The western MSM is promoting a load of lies, deception and propaganda to start the attack on Iran. This is very much like what happened before the Iraq invasion of 2003. Paul Craig Roberts opines:
     
    The US government’s complaints about Iran have reached a new level of shrillness. On September 25 Obama declared: “Iran is breaking rules that all nations must follow.” The heads of America’s British, French, and German puppet states added their two cents worth, giving the government of Iran three months to meet the “international community’s demands” to give up its rights as a signatory to the non-proliferation treaty to nuclear energy. In case you don’t know, the term “international community” is shorthand for the US, Israel, and Europe, a handful of arrogant and rich countries that oppress the rest of the world. Who is breaking the rules? Iran or the United States?
     
    Iran is insisting that the US government abide by the non-proliferation treaty that the US originated and pushed and that Iran signed. But the US government, which is currently engaged in three wars of aggression and has occupying troops in a number of other countries, insists that Iran, which is invading and occupying no country, cannot be trusted with nuclear energy capability, because the capability might in the future lead to nuclear weapon capability, like Israel’s, India’s, and Pakistan’s–all non-signatories to the nuclear proliferation treaty, countries that, unlike Iran, have never submitted to IAEA inspections. Indeed, at this very moment the Israeli government is screaming and yelling “anti-semite” to the suggestion that Israel submit to IAEA inspections. Iran has submitted to the IAEA inspections for years.
     
    In keeping with its obligations under the treaty, on September 21 Iran disclosed to the International Atomic Energy Agency that it is constructing another nuclear facility. The British prime minister Gordon Brown confused Iran’s disclosure with “serial deception,” and declared, “We will not let this matter rest.” 
     
    What matter? Why does Gordon Brown think that Iran’s disclosure to the IAEA is a deception. Does the moronic UK prime minister mean that Iran is claiming to be constructing a plant but is not, and thus by claiming one is deceiving the world?
     
    Not to be outdone in idiocy, out of Obama’s mouth jumped Orwellian doublespeak: “The Iranian government must now demonstrate through deeds its peaceful intentions or be held accountable to international standards and international law.” 
     
    The incongruity blows the mind. Here is Obama, with troops engaged in wars in Iraq, Afghanistan, and Pakistan demanding that a peaceful nation at war with no one demonstrate “its peaceful intentions or be held accountable to international standards and international law.”
     
    It is the US government and its NATO puppet states, and militarist Israel, of course, that need to be held accountable to international law. Under international law the US, its NATO puppets, and Israel are war criminal governments. There is no doubt about it. The record is totally clear. The US, Israel, and the NATO puppet states have committed military aggression exactly as did Germany’s Third Reich, and they have murdered large numbers of civilians. Following the Fuhrer’s script, “the great democratic republics” have justified these acts of lawlessness with lies and deceptions.
     
    Rudy Giuliani, the former US Attorney who framed high profile victims in order to gain name recognition for a political career, keynoted a rally against Iran in New York on September 25. According to Richard Silverstein at AlterNet, the rally was sponsored by an Israeli lobby group and an organization with connections to an Iranian terror organization (probably financed by the US government) that calls for the violent overthrow of the Iranian government.
     
    The efforts to build pressure for acts of war against Iran continue despite the repeated declaration from the IAEA that there is no sign of an Iranian nuclear weapons program, and despite the reaffirmation by US intelligence agencies that Iran abandoned its nuclear weapons program years ago.
     
    Meanwhile, the US and Israeli governments, who are so solicitous of international law and holding accountable countries that violate it, have moved to prevent the report of Judge Richard Goldstone from reaching the UN Security Council. Why?
     
    Judge Goldstone’s report found Israel guilty of war crimes in its massive military assault against civilians and civilian infrastructure in Gaza.
     
    The continuous efforts of the world’s two militarist-aggressor states–the United States and Israel–to demonize Iran was addressed by Ahmadinejad in his speech to the UN General Assembly (September 23). Ahmadinejad spoke of the assault on human dignity and spiritual values by the selfish material interests of the US and its puppet states. Seeking hegemony “under the mantle of freedom,” the US and its puppets use “the ugliest methods of intimidation and deceit” to disguise that they are “the first who violate” the fundamental principles that they espouse and apply to others.
     
    Why, Ahmadinejad asked the UN General Assembly, do the countries of the world sit there while Israel murders and dispossesses the Palestinian people? Why, asked Ahmadinejad, do the countries of the world sit there while the US, from thousands of miles away, sends troops to the Middle East, “spreading war, bloodshed, aggression, terror and intimidation in the whole region,” while blaming the countries that are suffering the West’s naked aggression?
     
    Ahmadinejad told the General Assembly what most of the UN representatives already know, that “selfishness and insatiable greed have taken the place of such humanitarian concepts as love, sacrifice, dignity, and justice. . . . Lies have taken the place of honesty; hypocrisy has replaced integrity, and selfishness has taken the place of sacrifice. Deception in foreign affairs is called foresight and statesmanship, looting the wealth of other nations is called development efforts; occupation is said to be a gift that promotes freedom and democracy; and defenseless nations are subjected to repression in the name of defending human rights.”
     
    It could not be put any clearer. However, if Ahmadinejad’s speech is reported by the US print and TV media, statements will be taken out of context and used to enrage the conservatives and Christian Zionists in order to unify them behind the Obama/Israeli assault on Iran.
     
    America will not be satisfied until, like Rome, she has more enemies and more wars than she can survive.
     
    Paul Craig Roberts, a former Assistant Secretary of the US Treasury and former associate editor of the Wall Street Journal, has held numerous academic appointments.
      
  • See also :
     
    An Attack on Iran By America and Israel: Gold’s Blast-off?
    Israeli, US Army Chiefs Hold Secret Talks on Iran!
    Key Facts to Keep in Mind While Opposing War Against Iran!
    Former UN Weapons Inspector: United States, Israel Creating Iran Crisis ‘Out of Nothing’.
    Iran NOT After Nuclear Weapons, says IAEA Chief!
    Ray McGovern: IRAN is IRAQ Part 2 !
    Iran vs Israel: What The Media Wants You To Forget !
    Iran, IAEA, Another War in the Works !
    Iran’s Nuclear Program: Iran Truthful, in Treaty Compliance; US/Israel Lying, in Treaty Violation! False Flag, Lies and Nuclear Bombs!
    Liberals and Democrats Will Support the Coming Mass Murder Campaign Against Iran !
    Turkish President Erdogan: Focus on Israeli Nukes, not Iran Nuclear Energy Program !
    Iran’s Nuclear Facilities: The Facts! Who is Really Destabilizing the Middle East? 

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October 12, 2009 Posted by | GeoPolitics | , , , , , | 6 Comments

WebBot Forecast: The Israeli ‘Mistake’, Dollar Demise…..25 Oct to 4 Nov 2009 Major Crisis!

The 30,000-pound MOP is designed to knock out fortified sites buried deep underground.

The 30,000-pound MOP is designed to knock out fortified sites buried deep underground.

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October 12, 2009 Posted by | Economics, GeoPolitics | , , , , , , , , , | Comments Off on WebBot Forecast: The Israeli ‘Mistake’, Dollar Demise…..25 Oct to 4 Nov 2009 Major Crisis!

Webster Tarpley: Demise of the Dollar and the IMF Takeover!

October 12, 2009 Posted by | Economics | , , , , , , , , , , , | Comments Off on Webster Tarpley: Demise of the Dollar and the IMF Takeover!