THE DOLLAR FIGURES TO GET CRUSHED IN THE NEXT 12 MONTHS
Posted on February 9, 2017 Standard Reply
Which means the Chinese who are the biggest holders of dollars figure to take a large hair-cut on their U.S. treasury holdings. Is the Fed prepared to defend the dollar? Ha ha ha. Not on your life. They instead just held rates steady though the labor market appears to be picking up steam with the latest jobs report of over 200,000 positions created.
If the Chinese do not dump their treasuries soon they are going to lose a lot of money. And believe it or not, losing money pisses off just about any investor, the People’s Bank of China being no exception. Just recall what drew FDR into World War II? It was Germany reneging on its loans extended by American investors during the interwar period.
Well, if the Chinese do dump, interest rates will rise in response and put a damper on the real estate market–among many other things. For myself, I would advise buying precious metals because it should catch a bid at the end of the year.
Other than that Trump’s fiscal stimulus for the replacement of the country’s infrastructure is inflationary and will place downward pressure upon the dollar. Something has to give. And if history is prologue to the Trump revolution, the following is likely to happen: WAR. The WAR being the perfect foil to be blamed for the coming hyperinflation already in the system, always remembering that according to Milton Friedman inflation is a monetary phenomenon, of too much money chasing too few goods.
War is the perfect scapegoat to get the Khazarian Mafia banksters off the hook. I would even bet a restart of universal conscription to fight a major war as a slowing economy because of rising interest rates creates a renewed reserve army of the unemployed. Nothing, as Ron Paul has noted, has changed.
Meaning that civil liberties are likely to take a hit in favor of national security, just as in World War II when the country locked up Japanese Americans. People think it can’t happen again, but they’re wrong. The nation because of mountains of debt piled on by the Obama administration means the country will be fighting for its survival.
The Donald, a bankruptcy expert, has been sent by the powers that be to extricate the country from this crisis of debt. To do it, he appears willing to sacrifice the dollar to repay the unpayable with debased dollars.
The ball is now in the Chinese court. Recall as well under Rudolf von Havenstein, that Weimar Germany also chose the inflationary route to repay unpayable debts and war reparations–WHICH IS TO SAY THEY HAD A DE FACTO DEFAULT. Next stop folks? World War III. And guess what? Many of the 6 million Jews or so in the United States will skedaddle to Israel and solve one of Israel’s most vexing problems–demographics. What a surprise! Almost as good as bankrolling Hitler to get Jews to move from Germany to Palestine known as the Haavara Agreement. Donald you’re an absolute sweetheart. XXXXXX. In truth, as Veterans Today notes, the Transfer Agreement or Haavara makes Hitler the Father of Israel.