International dollar trend
POSTED BY: SIGNYM
UPDATED: Wednesday, August 26, 2026 00:49
VIEWED: 4395
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Wow, it's a good thing I never ate their ice cream!
That's one thing that libertarians don't take into account. They think "the market" is the solution to everything, and that if people only behaved in a "free market" fashion, they would be informed consumers and workers and would never put up with that kind of shit. That's a little like saying that you, as an individual, can negotiate effectively with the Mafia.
But you said something I'd never heard before- that producing too quickly can harm a well. I'm something of a geek .... since we have a lot of re-worked oilfields here, I wound up looking up oil wells ... how they're revived/ stimulated, how little grains eventually clog up the slots in the producing part of the well, about concrete casings and such (It helped me understand the Deepwater Horizon BP gas/oil breach). But I've never heard about that, so if you have more details, I'd be very interested!
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You can't build a nation with bombs. You can't create a society with guns.
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Much is made of China's hugely increased debt-to-GDP ratio. But according to this picture, I see that many nations (including the USA) are pretty much in the same category ...
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You can't build a nation with bombs. You can't create a society with guns.
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This rather long article is by Pepe Escobar. He's kind of wordy, and sometimes his hypotheses don't pan out, but he's very knowledgeable and always worth reading.
Synposis: Russia is considering defaulting on its debts to the west, not because they can't pay, but in response to the economic warfare unleashed by the west. The economic war itself has unleashed a reorientation of Russia's and China's economies and militaries, which will focus on missiles.
Quote:
Let’s start with some classic Russian politics. Finance Minister Anton Siluanov is drawing up Russia's economic strategy for 2016, including the government budget. Siluanov – essentially a liberal, in favor of foreign investment - will present his proposals to the Kremlin by the end of this month.
So far, nothing spectacular. But then, a few days ago, Kommersant leaked that Russia's Security Council asked presidential aide Sergei Glazyev to come up with a separate economic strategy, to be presented to the council this week. This is not exactly a novelty, as the Russian Security Council in the past has asked small strategy groups for their economic assessment.
The Security Council is led by Nikolai Patrushev, the former head of the Federal Security Service. He and Siluanov are not exactly on the same wavelength. And here’s where the plot thickens. Glazyev, a brilliant economist, is a Russian nationalist – sanctioned personally by the US.
Glazyev is arguably going no holds barred. He is in favor of barring Russian companies from using foreign currency (which makes sense); taxing the conversion of rubles to foreign currencies (same); banning foreign loans to Russian firms (depending if they are not in US dollars or euro); and – the smoking gun - requiring Russian companies that have Western loans to default.
Predictably, some sectors of US ‘Think Tankland’ went bonkers, stating with utmost certainty that “the Russian energy sector would not be able to find much financing without connections to the West.” Nonsense. Russian firms would easily find financing from Chinese, Japanese or South Korean sources.
Whatever measure of attention Glazyev will get inside the Kremlin, the whole episode already means that Moscow harbors no illusions in the near future regarding the exceptionalists (one just has to look at the presidential candidates, from ‘El Trumpissimo’ to ‘The Hillarator’); as Russian Deputy Foreign Minister Sergei Ryabkov recently put it, ”[we] should expect toughening of the sanctions pressure.”
Once thing though is absolutely certain; Moscow won’t bend over backwards to “pacify” Washington.
Neo-Tsarism, anyone?
One might be tempted to see Glazyev drawing up plans to return to some sort of Tsarist self-sufficiency while cutting off ties with the West. Assuming some version of that would be approved by the Kremlin, what’s certain is that it may turn into a huge blow the EU might not recover from.
Imagine Russia defaulting on all its foreign debt - over $700 billion – on which Western sanctions have raised extra, punitive costs in terms of repayment.
The default would be payback for the twin Western manipulation of oil prices and the ruble. The manipulation involved unleashing on the oil market over five million barrels a day of excess reserve production that were held back by a few usual suspects, plus derivative manipulation at the NYMEX, crashing the price.
Then, the derivative manipulation of the ruble crashed the currency. Almost all imports to Russia were virtually blocked – as oil and natural gas exports remained constant. In the long run though, this should create a significant balance of trade surplus for Russia; a very positive factor for long-term growth of Russia’s domestic industry.
Vladimir Yakunin, the former head of Russian Railways, now out due to a reshuffle, recently told AP in no uncertain terms how the aim of US sanctions was to cut off Russia economically from Europe.
Sanctions, coupled with speculation on oil and the ruble, pushed the Russian economy into recession inNOTIFY: Y | REPLY | REPLY WITH QUOTE | PERMALINK | TOP | HOME
Quote:Russia's foreign debt – over $700 billion – is not so big when you know that US banks have $2.5 trillion (!) of excess reserves.
Originally posted by SIGNYM:
Neo-Tsarism, anyone?
One might be tempted to see Glazyev drawing up plans to return to some sort of Tsarist self-sufficiency while cutting off ties with the West. Assuming some version of that would be approved by the Kremlin, what’s certain is that it may turn into a huge blow the EU might not recover from.
Imagine Russia defaulting on all its foreign debt - over $700 billion – on which Western sanctions have raised extra, punitive costs in terms of repayment.
The default would be payback for the twin Western manipulation of oil prices and the ruble. The manipulation involved unleashing on the oil market over five million barrels a day of excess reserve production that were held back by a few usual suspects, plus derivative manipulation at the NYMEX, crashing the price.
https://research.stlouisfed.org/fred2/graph/?id=EXCSRESNS
Somebody will get hurt by that $700 billion loss: the fools that loaned money to Russia. Too bad, but those fools deserve to be bankrupted.
What Putin will really hurt is Russian imports from the West if he does this. He is under the delusion that numbers in a bank account can destroy the West. Not everything is about accounts balancing. So, my advice to Putin is go right ahead and place the gun in your mouth and pull the trigger until you have killed Russia. Make my day, Putin, because ruining Russia will be wonderful for Texas oil and gas.
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The China Debt Fizzle; Oct 8, 2015 10:01 am
http://krugman.blogs.nytimes.com/2015/10/08/the-china-debt-fizzle/
My opinion is the most important sentence in the article is the last one: “And of course those who got this completely wrong have learned nothing from the experience.”
Quote:In the article Did The Fed Save The World? there is another reminder that we are ruled by leaders who can't learn.
Remember the dire threat posed by our financial dependence on China? A few years ago it was all over the media, generally stated not as a hypothesis but as a fact. Obviously, terrible things would happen if China stopped buying our debt, or worse yet, started to sell off its holdings. Interest rates would soar and the U.S economy would plunge, right? Indeed, that great monetary expert Admiral Mullen was widely quoted as declaring that debt was our biggest security threat. Anyone who suggested that we didn’t actually need to worry about a China sell off was considered weird and irresponsible.
Well, don’t tell anyone, but the much-feared event is happening now. As China tries to prop up the yuan in the face of capital flight, it’s selling lots of U.S. debt; so are other emerging markets. And the effect on U.S. interest rates so far has been … nothing.
Who could have predicted such a thing? Well, me. And not just me: anyone who seriously thought through the economics of the situation, with the world awash in excess saving and the U.S. in a liquidity trap, quickly realized that the whole China-debt scare story was nonsense. But as I said, this wasn’t even reported as a debate; the threat of Chinese debt holdings was reported as fact.
And of course those who got this completely wrong have learned nothing from the experience.
http://krugman.blogs.nytimes.com/2015/10/07/did-the-fed-save-the-world/
My opinion is the most important paragraph in the article is the last one: “Oh, and since 2010 officials everywhere, but especially in Europe, have been doing all they can to undo the favorable effects of automatic stabilizers. And the result is that in Europe economic performance is at this point considerably worse than it was at this point in the 1930s.”
Changing direction means tacitly admitting to mistakes. Admitting to making mistakes is politically difficult, so why do it?
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So, been watching this for a while, and I see a pattern. While Russia has been distracting the USA with its military activities, China has been busy in the background creating alternatives to western-dominated exchanges and to the petrodollar:
INTERBANK EXCHANGE
Most international transactions take place using the SWIFT.
Quote:It is both hardware and software communication standards linking 9000 institutions around the world. However, SWIFT has been threatened as a political tool against Russia; China is developing a SWIFT alternative which was due to come online sometime in December.
SWIFT is a cooperative society under Belgian law owned by its member financial institutions with offices around the world. SWIFT headquarters, designed by Ricardo Bofill Taller de Arquitectura are in La Hulpe, Belgium, near Brussels. The chairman of SWIFT is Yawar Shah originally from Pakistan, and its CEO is Gottfried Leibbrandt, originally from the Netherlands.SWIFT hosts an annual conference every year, called SIBOS, specifically aimed at the financial services industry
https://www.rt.com/business/239189-china-payment-system-ready/
PETROLEUM EXCHANGE
Quote:This exchange does not appear to be active yet. Maybe it's been waiting on ...
SINGAPORE, Sept 2 China may launch a global crude oil futures contract as early as October to compete with the existing London Brent and the U.S. WTI benchmarks, three sources said, as it pushes ahead with reforms to open up its oil markets. The long-awaited crude contract would better reflect China's growing importance in setting crude prices, as well as boost the use of the yuan in which it will be traded, although volatile global trading conditions and China's recent interference in stock markets have raised some concerns. The Shanghai International Energy Exchange, also known as INE, circulated a draft of the futures contract to market participants last month, saying the launch could happen as early as October, the sources who saw the draft, told Reuters.
CHINESE YUAN SPECIAL DRAWING RIGHTS (SDR) WITH THE IMF
Quote:
China's yuan takes leap toward joining IMF currency basket
China's yuan moved closer to joining other top global currencies in the International Monetary Fund's benchmark foreign exchange basket on Friday after Fund staff and IMF chief Christine Lagarde gave the move the thumbs up.
The recommendation paves the way for the Fund's executive board, which has the final say, to place the yuan CNY=CFXS CNY= on a par with the U.S. dollar .DXY, Japanese yen JPY=, British pound GBP= and euro EUR= at a meeting scheduled for Nov. 30.
http://www.reuters.com/article/2015/11/14/us-imf-china-yuan-idUSKCN0T2
2OC20151114
CHINA (SHANGHAI) GOLD EXCHANGE
Also recently set up, THIS exchange specializes in yuan-denominated, physically deliverable gold, as opposed to the futures contracts ("paper gold") specialized in by COMEX and London. Too many links to even try citing, here's one.
http://www.silverdoctors.com/two-week-shanghai-gold-exchange-withdrawa
ls-exceed-all-2014-comex-deliveries/
INTERNATIONAL DEVELOPMENT BANKS
China started the AIIB, which attracted quite a few foreign investors despite the USA's attempts to keep them out. Australia, Germany, UK, and other western "partners" eagerly jumped on board for an oppty to invest in Asia development. There is also the BRICS bank, a smaller effort funded by the BRICS nations. Together, these banks could provide an alternative source of loans instead of the IMF and World Bank.
COMPLETE PACKAGE
China is quickly creating a complete alternative to the USA petrodollar and western-dominated banks. Thinking about how dollars are exchanged (SWIFT) and what it is used for (exchange, store of wealth, investment) I can't think of any function that the Chinese have left out.
BUT ...
China has some serious restructuring to do. When demand for their products collapsed in 2008, the Chinese leadership realized that they could not depend on an export-based econo
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If you need more worry: shadow banking in U.S. accounts for 82% of U.S. gross domestic product.
www.marketwatch.com/story/us-is-home-to-40-of-global-shadow-banking-as
sets-2015-11-13
Shadow banking refers to financial institutions that operate outside of regulatory jurisdiction. They are widely viewed as risky as they are unable to rely on regulatory support during times of financial uncertainty. Shadow banks were blamed by the International Monetary Fund for contributing to the global financial crisis in 2008.
http://heroforpain.deviantart.com/art/Grumpy-Cobb-466182779
The Joss Whedon script for Serenity, where Wash lives, is Serenity-190pages.pdf at www.mediafire.com/folder/1uwh75oa407q8/Firefly
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http://www.investinganswers.com/financial-dictionary/businesses-corpor
ations/shadow-banking-system-2190
The shadow banking system (or shadow financial system) is a network of financial institutions comprised of non-depository banks -- e.g., investment banks*, structured investment vehicles (SIVs), conduits, hedge funds, non-bank financial institutions and money market funds.
* however, since the US no longer forbids depository banks from being investment banks as well, it seems to me that many savings banks belong to the shadow banking economy.
SAGAN: We are releasing vast quantities of carbon dioxide, increasing the greenhouse effect. It may not take much to destabilize the Earth's climate, to convert this heaven, our only home in the cosmos, into a kind of hell.
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Quote:"It is worse than you know."
Originally posted by 1kiki:
* however, since the US no longer forbids depository banks from being investment banks as well, it seems to me that many savings banks belong to the shadow banking economy.
Quote:www.financialstabilityboard.org/wp-content/uploads/global-shadow-banki
Based on a new methodology for assessing non-bank financial entities and activities by “economic functions” introduced this year, the narrow measure of global shadow banking that may pose financial stability risks amounted to $36 trillion in 2014 for the 26 participating jurisdictions. This is equivalent to 59% of GDP of participating jurisdictions, and 12% of financial system assets, and has grown moderately over the past several years.
The new classification by economic functions shows that credit intermediation associated with collective investment vehicles with features that make them susceptible to runs (e.g. money market funds (MMFs), hedge funds and other investment funds) represents 60% of the narrow measure of shadow banking. It has grown more than 10% (per year) on average over the past four years. By contrast, the level of securitisation-based credit intermediation – among the key contributors to the financial crisis – has fallen in recent years.
ng-monitoring-report-2015.pdf
"Where are you hiding, little shadow bank?" - The Operative and River
http://fireflyfans.net/bluesun.aspx?bid=6619
The Joss Whedon script for Serenity, where Wash lives, is Serenity-190pages.pdf at www.mediafire.com/folder/1uwh75oa407q8/Firefly
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Forex
https://finviz.com/forex.ashx
Video
its a mainstream media broadcast so I don't think u tube would pull it, if they do censor then hopefully clips are also found on rumble, bitchute or other platforms
Janet Yellen
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