Bye, bye Miss American Pie ... the day the dollar died

[Paul]

This thread's title is taken from Don McLean's classic "American Pie".

**The day the music dollar died**
So

[Chorus]
Bye, bye Miss American Pie
Drove my Chevy to the levee but the levee was dry
Them good ole boys were drinking whiskey in Rye
Singin' this'll be the day that [it] dies
This'll be the day that [it] dies.

~~~~~~~~~~

I think I see in a little more detail just what they're hiding from us with all the B.S. they're throwing at the alternative media these days. The U.S. Dollar is dying. Jim Willie, CB, Editor of the “HAT TRICK LETTER” and proprietor of the Golden Jackass website, is spelling out another piece of the puzzle in his latest reports.

Jim Willie describes the interest rate swaps (the most common form of derivatives) that will prove to be the king pin, which when pulled will devastate the U.S. Dollar, JPMorgan and some other major New York banks, the Federal Reserve, and the U.S. Treasury, and finally get the attention of the average American.

Odds are, from what I can figure, it blows sky high this year, or soon thereafter. Some fireworks in Europe will open up the show. The bastards in power fear some major discontent in the American people, when they realize that their Dollar and their nation is no longer King of the Hill, and they can no longer afford food or gas, much less cars, clothing and electronic toys, or anything else for sale at Wal*Mart.

Jim Willie's article "U.S. Treasury Bond Teetering Tower Of Babel, Fed Stuck At 0% Forever":

The recent losses from JPMorgan have proved to be much more based upon suspending gravity with 0% official rates in the Delta-Hedging complex game tied to the vast over-burdened Interest Rate Swap contracts, rather than the European sovereign bonds as first claimed. The Jackass is on record on May 11th, aided by the indefatigable forensic analyst Rob Kirby, in pointing to Interest Rate Swap stresses from the sudden March and April movement in the 10-year USTreasurys within the strained bloated USGovt sovereign bond market. The IRSwap setbacks were the underlying cause of the JPM losses. The giant bank does not want attention give to this derivative tool which controls the bond market in a devious artificial manner. As far as debt is concerned, the United States is Greece times 100. It is Italy times 20. It receives a pass from the bond market, precisely because the nation prints the money and controls the vast Interest Rate Swap support mechanism. But the tower is finally exposed.

The IRSwaps act like giant buttresses to support the evergrowing USTreasury Tower of Babel that stretches to the sky. Every year, the expansive tower grows another $1.5 trillion higher. Every year, the challenge grows exponentially for the JPMorgan master financial engineers to apply their control panel magic to achieve equilibrium. Every year, the degree of difficulty becomes more arduous. Every year, the tower must withstand the high winds from Europe, where the bond market is doing more than undergoing stress. It is crumbling before our eyes. In a way, Europe helps to conceal the great strains from the broken USTreasury Bond market, held together by interest derivatives.

More at http://www.marketoracle.co.uk/Article34819.html .

Bonus thought (mine, not Jim's) -- all that German, Japanese and Chinese gold that us Americans stole after the Second World War -- I'm wondering if perhaps the depressed price of gold during the 1990's and into the 2000's was that gold being sold -- with the biggest bidder being China. Maybe all the stories I was reading in my "gold bug" articles about illegal gold price suppression by naked short selling gold was a cover story, as also perhaps were the stories about the Bush's and Clinton's and others stealing all that gold. Maybe we'll wake up one morning to find that China is sitting on one major pile of gold. Just a suspicion.

Anyway, if you don't mind a bit of cussing, take a look at Jim Willie's article. I have just resubscribed to his newsletter, which I had dropped a couple of years ago. When the brown stuff is hitting the fans hard, he's one of the best ones around ... he thinks outside the box and has some good insights. I subscribed to him through the 2008 crisis, and it's time to get onboard with him again. In more boring times, his shtick gets rather tedious.

[Calz]

[MorningSong]

I just happen to have read somthing about Chinese gold holdings the other day...can't seem to locate it right now, but here is another article RE: same:

China building its gold reserves faster than we think?

From its latest Gold Demand Trends data the World Gold Council now apparently believes that China is likely buying gold for its official purchases - and in quantity.
Author: Lawrence Williams
Posted: Friday , 17 Feb 2012

LONDON (Mineweb) -

We have long expressed the viewpoint on Mineweb that China has been surreptitiously raising the amount of gold it holds, but doing so in an account which is not reported as part of its Central Bank holding until it is considered expedient to do so. Thus it is encouraging that the World Gold Council's Marcus Grubb, in interviews with Mineweb's Geoff Candy (see - Gold's year of two halves -Marcus Grubb) and with London's Financial Times, suggests that a part of the big increase in Chinese gold imports in the final quarter of last year is probably due to Central Bank buying. World Bank statisticians have perceived what they think is about a 36 tonne discrepancy between reported imports via Hong Kong - the main import route for gold into China and local demand for gold jewellery, bars and coins with the implication that this has been purchased by government sources buying on dips in the price.

With China estimated to have produced about 100 tonnes of gold domestically in the quarter as well, and the fact that it does not allow exports of gold, the perception is that China may effectively have taken some 130 tonnes of gold, or perhaps even more, into its reserves in the quarter. If this is indicative of the policy being followed since the country last reported its gold holdings as being 1,054 tonnes back in 2009, then China's gold reserves could be being built up faster than most observers have estimated.

The whole trouble here is a lack of transparency as regards China's gold imports, production and Central Bank holdings so all this is speculation, even as far the kind of detailed analysis conducted by Thomson Reuters GFMS on behalf of the World Gold Council is concerned. Effectively analysts are working in the dark. As we pointed out here a couple of weeks ago in an article entitled China's gold output and demand could be far greater than ‘official' data suggest, both China's gold production and import figures could actually be substantially understated with official figures apparently not taking into account imports through other channels than Hong Kong, byproduct output from the country's big custom smelting sector and production from small mines outside the aegis of the China Gold Association.

With all Chinese gold output having to be sold through official channels, and if indeed China is also buying on the open market too and not trading at all, then it could be building reserves at around 500 tonnes a year, which would put annual total Chinese gold intake (government and individual) at well over 1,000 tonnes making it already well ahead of India as the world's biggest consumer if one takes assumed official purchases into account......

http://www.mineweb.com/mineweb/view/...Detail&pid=504

[Alekahn]

"...some fireworks in Europe will open up the show."

The incendiary show seems to have begun in earnest in Greece.

[Kindred]

I've written this before, and I'll repeat... All this monetary nonsense is to keep us in Fear, and to Distract Humanity from what is Truly Important.

Our Spiritual Unity/Fraternity. Working Together for a better Future... (Without Money)

Here's a story, with that concept in mind;
http://projectavalon.net/forum4/show...-Of...-A-Story

In Unity, Peace and LOVE

[GlassSteagallfan]

The LaRouchepac.com website is saying the financial collapse has begun due to Spanish developments over the past 48 hours.

Here's the video - 6:25 -
http://larouchepac.com/node/22843

And their press release:

Press Release: LaRouche - The Glass-Steagall Moment is Upon Us

and here:

THE WORLD’S BREAKDOWN-CRISIS IS NOW

[Paul]

Posted by Paul (here)
Maybe we'll wake up one morning to find that China is sitting on one major pile of gold. Just a suspicion.

Posted by MorningSong (here)
The whole trouble here is a lack of transparency as regards China's gold imports, production and Central Bank holdings

Hmmm ... I also note that we have had a lack of transparency in the gold holdings of the U.S. and/or the Federal Reserve for several decades now (since World War II more likely.)

Aha I think ... that may be a key aspect of the current US Dollar based monetary system, and quite possibly of the next monetary system that I anticipate will arrive soon, based on some other monetary unit defined behind closed doors. The gold is kept off the table ... the bulk of the gold is not only out of circulation, but held secretly, by parties and in places kept secret.

The top dog (I presume) holds the bulk of the gold, not for its direct monetary power, but to deprive anyone else of such power. The coins and bars that us ordinary folks buy and sell and hoard are usually a mere pittance of the total gold stash on this planet, and anyone getting too large, obvious, and independent in their gold transactions is snuffed out (Muammar Gaddafi, Saddam Hussein, ...). The bastards in power may be more worried about Iran's gold than their uranium .

[Kimberley]

***********************************

Benjamin Fulford: Insiders Predict a 5-Day Bank Holiday in Europe Before Euro Ends, Renminbi May Replace US Dollar in September

May 28, 2012 | Benjamin Fulford

The final showdown in the ongoing financial war is appearing imminent. The 140 nation BRICS alliance is preparing to offer to buy up all cash US dollars and replace them with a new currency backed by a basket of commodities, including precious metals, according to multiple sources.

After that move, any money printed by the US Federal Reserve Board crime syndicate would not be accepted as currency by the 140 nation group. This would force an end game for the criminal cabal that illegally seized power in the United States.

Before that move, though, there will be a 5-day bank holiday in Europe followed by the end of the Euro and the re-introduction of old national currencies like the Deutschemark and the Drachma, Rothschild family sources say.

The situation, however, remains highly volatile and there are signs of dangerous end-game maneuvers by the cabal.

The rest of today's post is at this link...

http://activistawake.com/2012/05/28/...-in-september/

[Paul]

A quote from Jim Willie's Hat Trick letter to which I am now subscribed:

"The situation is far worse than a struggle between any two factions within the US. It is an anticipated nationwide emergency event centered on the nation's currency. What the Dept of Homeland Security is expecting, and again, this is according to my sources, what they are expecting is the unsustainability of the American Dollar. And we know for a fact that we can no longer service our debt. There is going to be a period of hyper-inflation. The dollar will be worthless. The economic collapse will be so severe, that people will not be ready." ~ Doug Hagmann (private investigator with deep DHS source)