Global Currency Reset (SDR's and the New Bretton Woods; by JC Collins)

[TargeT]

Posted by Flash (here)
Has anybody seen this about China and its currency and what it means for the world financial health?

I am not that litterate in finance, so some help in genuine laymen terms would be welcome

Source: https://youtube.com/watch?v=JtOmnZdVFQM

Since there are now 8 currencies instead of 7 in the IMF lending "basket" all the currencies currently in the basket will have to give up value to make room for the 8th (the US is expected to loose 2-3% value,, the EU will take the worst hit); all currencies in the IMF basket except for china's will suffer.

The SDR bonds represent a very very rare monetary tool, which has not been used in over 30 years; it's usage now is indicative of moves to dethrone the USD and replace it with the SDR as world reserve currency (this will hurt the US).

It's basically ushering in the "non-county specific" currency as the "world reserve currency" which is basically step 1 to global control (gotta have a global currency first!, then comes global government!).

the SDR will be the "solution" portion of the Hegelian dialect events which will occur in the future.

[Yetti]

What is very scary is the fact that WE ,as a country ,are on the verge of a serious financial disaster, FED RES printing money out of thin air, to cover mistakes over mistakes, for DECADES>>>> hey, in one point we will fail economically in the global spectrum. By the other side Asia, ( mostly China) is well prepared for a crisis, they have the money ( gold) and the resources, and the infraestructure to go on.. in the same moment WE have 85% of our industrial capacity overseas NOT in US soil, and basically broken. If you can do simple matematics on a kitchen table, you'll be scare too. Don't believe me? Ok so go to the nearest HOME DEPOT and see with your own eyes how many tools and good are made in usa.............. and repeat the homework at Wallmart.... . Then think : just 25 years ago if you conduct the same task you will see about 70 to 80% of the articles made here in us, . So our workforce was beaten badly by wrong cartel like policy's, driving the people ( us ) on the survival mode for long time.
An yes, a global economic resess is coming , the big question here is: are the promoters of this the same guys with different names? BITCOIN , AMERO, you name it. Who is going to control it?

[Flash]

Thanks TArget for your answer, i thought I had catch what you explained, but truly was not sure of it. Thanks

Yetti, to confirm your point, when I need appliances or even dishes set, I go in thrift stores to look for old stuff, manufactures in Canada or USA, because they still work fine and won't brake, versus Chinese scrap.

Posted by Yetti (here)
What is very scary is the fact that WE ,as a country ,are on the verge of a serious financial disaster, FED RES printing money out of thin air, to cover mistakes over mistakes, for DECADES>>>> hey, in one point we will fail economically in the global spectrum. By the other side Asia, ( mostly China) is well prepared for a crisis, they have the money ( gold) and the resources, and the infraestructure to go on.. in the same moment WE have 85% of our industrial capacity overseas NOT in US soil, and basically broken. If you can do simple matematics on a kitchen table, you'll be scare too. Don't believe me? Ok so go to the nearest HOME DEPOT and see with your own eyes how many tools and good are made in usa.............. and repeat the homework at Wallmart.... . Then think : just 25 years ago if you conduct the same task you will see about 70 to 80% of the articles made here in us, . So our workforce was beaten badly by wrong cartel like policy's, driving the people ( us ) on the survival mode for long time.
An yes, a global economic resess is coming , the big question here is: are the promoters of this the same guys with different names? BITCOIN , AMERO, you name it. Who is going to control it?

[TargeT]

Posted by Flash (here)
when I need appliances or even dishes set, I go in thrift stores to look for old stuff, manufactures in Canada or USA, because they still work fine and won't brake, versus Chinese scrap.

This is the saddest statement (and completely true). We both (canada and the us) have (modernly) sold ourselves out for profit and in return received vastly inferior products. I watch a lot of independent Youtube creators (I specifically look for the ones that do not accept corporate money, yet do reviews on what is currently "sold" to us) and what I have seen being sold to both countries (the reviewer I mostly watch is canadian) is so F'n sad, consumers are being taken advantage of on a scale that is almost unbelievable yet.... yet completely understandable from my point of view.

NO ONE is willing to do their own research and due negligence anymore, all that has to be done is branding, get the branding right and people will be fooled into buying what you sell.

Our psychology i so well understood by the systems we live in it's insane, we are (en mass) almost literally corporate puppets.

That's exactly why these bold currency moves are being done DIRECTLY under our noses.

[ThePythonicCow]

On reading the following article today on ZeroHedge, it seems to me that Jim Willie (and others, including myself at times <grin>) are wrong in expecting the New World Monetary System to manifest in its full glory anytime soon (2016 or 2017, say.)

Rather before one can rebuild the world's monetary system, from its current foundations (US Treasury and other AAA debt denominated in US Dollars or closely related currencies, at present) on up, one must first destroy the existing system. China, Japan, Europe, and the U.S. ... all must and will be devastated, economically and monetarilly. SDR or Yuan or whatever denominated debt cannot be built up to the level needed to fund a new world monetary system, until first the existing system is laid to waste.

(Keep in mind here that debt-paper is the great asset of a debt-money system. Yes, someone owes that debt, but someone else expects to collect on that debt and holds their monetary wealth in various forms dependent on that debt paper.)

Even within China, which operates on an apparently separate, national, monetary system, all the major current capital, both the physical infrastructure, cities, factories and mines, and the monetary reserves and currency, are deeply entangled with existing export trade with Europe and the U.S. and deeply entangled with US Dollar denominated assets. The Chinese Yuan has been and remains closely tied to the U.S. Dollar. The primary reserves held by Chinese banks are denominated in Dollars and Euros, and include still a large stash of U.S. Treasury debt.

China is converting as rapidly as it can its monetary capital into physical and political capital, which will be of great value in the next world monetary, political and economic system. They are setting forth on new "Silk Roads" to build Euro-Asian infrastructure and good will with other nations.

China has far more control over its own internal financial and monetary demolition and reconstruction than say the European Union does, or for that matter than even the U.S. itself does. So they will emerge as the dominate world power in the next "new world order". China could declare some form of debt jubilee, wiping out vast swaths of wealth, and endebtedness, where the EU or the US cannot do similarly (so will do so anyway, the hard way.)

First we will witness a controlled demolition that will make the events of 9/11 (2001) look like a child knocking over his sibling's tower (twin towers?) of blocks. If the existing political regime in China gets in the way of this controlled demolition, they too will be wiped out or co-opted. The Elite Bastards behind the throne(s) will (or at least intend to) perservere, and will do so, unless even greater powers, manifest perhaps through the awareness and actions of billions of "ordinary" humans, realizing that they aren't so "ordinary" afterall, prevail instead.

Here's the article from ZeroHedge, laying forth China's internal problems. China had a "Cultural Revolution" a half century ago. Now they will have an "Economic and Monetary" revolution. Many yuan denominated assets (real estate, bonds, deposits, incomes, cash flows, ...) will go to their graves, before all is done.

Chinese Banks Will Need $1.7 Trillion To Cover Bad Debt Deluge, S&P Calculates (ZeroHedge)

The mammals did not replace the dinosaurs some 60 million years ago, until first some great cataclysm from the skies wiped out the dinosaurs. But the mammals were present, small in size and few in number, in the underbrush, before the cataclysm, awaiting their turn. Similarly the seeds of the New World Monetary System must be sown, before the Old World Monetary System (the US Dollar hegemony) is blown up.

[ThePythonicCow]

Posted by Paul (here)
(Keep in mind here that debt-paper is the great asset of a debt-money system. Yes, someone owes that debt, but someone else expects to collect on that debt and holds their monetary wealth in various forms dependent on that debt paper.)

It's worse than that, actually.

They get you coming and going and then penalize you with austerity for your failings.

When a bank lends money into existence, they get:

1. repayment, with interest of course,
2. foreclosure or repossession of the collateral when the economic/financial collapse (that they caused by retracting lending) makes repayment impossible, and
3. the benefits of imposing austerity conditions ("privatization" of a nations resources, production and revenue streams) as penalty for the collapse (that they caused.)

This wonderful article spells it out better than I recall seen anywhere else: Don’t Worry About The ‘National Debt’.

The article concludes:

Moral decay, economic crisis, and all wars are created with bank credit. Needless to say, the hour is late, but not too late if only we are willing. The truth can be known.

Our huge national debt is a measure (an incomplete one at that) of how much money they've already stolen from us. The more they steal, the worse the penalty that they will claim they are justified in imposing on us.

[norman]

Nomi Prins Explains The Central Bankers' Game of Thrones

Source: https://youtube.com/watch?v=VJ-5ybxBBKE

Published on Nov 22, 2016
SHOW NOTES AND MP3: https://www.corbettreport.com/?p=20523

Today James talks to Nomi Prins, author of books like All The Presidents Bankers, about her recent article "The Central Bank Power Shift from West to East, Game of Thrones Style." We talk about the changing economic and monetary landscape and how the locus of central bank power is shifting to the East, with players like the People's Bank of China gaining in prominence and former US/EU lapdogs like the IMF becoming brokers for these new power players in the new world financial order.

[Satori]

If I've done this right the link that follows is to a YouTube video dated 2006 done to the music of Every Breath You Take by Police. It is a comment on the Fed and Bernanke. Slightly dated, but appropo and very well done. Well worth about 4 minutes of your life, I think.

https://m.youtube.com/watch?v=ipJTqCbETog

[Cara]

I couldn't find a thread specifically looking at digital currency and blockchain for this article. This thread seems most suitable....

//
Another Nation Has Developed a National Currency That’s Entirely Digital

In Brief

• Senegal has become the second country in the world to introduce a blockchain-based digital currency called the eCFA.
• After Senegal, WAEMU will introduce the eCFA in Cote d’Ivoire, Benin, Burkina Faso, Mali, Niger, Togo and Guinea-Bissau.

Going digital
The country of Senegal has announced it will be issuing its own national digital currency based on blockchain technology, the same technology powering Bitcoin. Senegal’s new eCFA digital money will have legal tender status alongside the CFA paper money it currently uses.

Blockchain allows financial transactions to be transparent and more secure. But unlike Bitcoin, using digital money backed by blockchain still allows governments and central banks to control the flow of currency, and dictate how much is in circulation.

The eCFA was made possible by a collaboration between Banque Régionale de Marchés (BRM) and Dublin-based blockchain startup eCurrency Mint Limited. The currency will be distributed solely by the Central bank, and has passed e-money regulations set by the Central Bank of the West African Economic and Monetary Union (WAEMU).

Transparency and Security
Senegal is actually the second country to introduce a blockchain-based digital currency. Tunisia replaced its original self-made digital currency eDinar, and developed an eDinar version that uses blockchain technology. Both of these show Africa’s promise to be the testbed of new fintech.

So, what’s all the fuss with blockchain? Basically, Blockchain is the tech that powered Bitcoin. It provides a secure digital ledger of transactions, distributed and decentralized so there is no opportunity for tampering.

Source: https://youtube.com/watch?v=r43LhSUUGTQ

The system has been adapted by several industries. Singapore, China, Sweden, and many other countries are considering their own blockchain-based digital currencies. Banks are using blockchain to record and handle transactions. Essentially, any and every industry that could do with more transparency and security is looking at adapting blockchain tech.

In fact, after debuting in Senegal, the eCFA will also be introduced by the WAEMU to the other countries that use the West African CFA franc: Cote d’Ivoire, Benin, Burkina Faso, Mali, Niger, Togo and Guinea-Bissau.
//

From: https://futurism.com/another-nation-...irely-digital/

[norman]

We Are Now Heading Into The Economic Reset, Everything Is About To Change:London Paul

Source: https://youtube.com/watch?v=dOaa5PQPNLY

X22Report Spotlight
Published on 13 Jan 2018



Today's Guest: London Paul

London Paul runs an independent news website with the purpose of giving an alternative perspective on mainstream news regarding recent developments that are shaping a new political, economic and social paradigm Websites: The Sirius Report

[Gemma13]

Haven’t listened to entirety of the vid linked above by Norman but find it excellent commentary – the first 10mins gives a brief summary analysis on Trump and political global strategies.

Last 17 mins (@1:00:00) talks about the unlikely event of a successful WW3 ignited by the cabal; the importance of gold back currency and how solid Russia and China are which eventually the US will join at some point. Claims Russia and China don’t want to destroy the US they just want to destroy the Cabal.

Paul and financial minded members could you please comment (in as much non-financial minded speak as possible for the likes of me ) on what BASEL IV [could/does] mean to our global banking institutions and subsequently governments and citizens. Thank you. (I found a brief reference to Basel IV via TWH in reference to global financial reset piquing my interest.)

https://en.wikipedia.org/wiki/Basel_IV

Basel IV is a contested term used to describe the changes agreed in 2016 and 2017 to the international banking standards known as the Basel Accords; regulators argue that these changes are simply completing the Basel III reforms, agreed in principle in 2010-11, although most of the Basel III reforms were agreed in detail at that time. Critics of the reform, in particular those from the banking industry, argue that Basel IV require a significant increase in capital and should be treated as a distinct round of reforms.

https://www.mckinsey.com/business-fu...european-banks

A new report finds that European banks will need more capital under the so-called Basel IV reforms. While rule making continues, banks can take no-regret measures now.
The changes proposed by the Basel Committee on Banking Supervision (BCBS), currently a mix of consultation papers and finalized standards, would rework the approach to risk-weighted assets and possibly internal ratings, as well as set regulatory capital floors. According to our analysis, if European banks do nothing to mitigate their impact, these rules will require about €120 billion in additional capital, while reducing the banking sector’s return on equity by 0.6 percentage points. This impact is much greater than initially anticipated and will be a game changer for the European banking industry.

Our new report, Basel “IV”: What’s next for banks? (PDF–1,996KB), provides a comprehensive perspective on the capital and profitability implications, with recommendations on how banks should react. It not only examines the latest status of BCBS changes (as of March 2017) but also considers efforts by the BCBS to harmonize capital calculations under Pillar 1. Our results consider the effects on a sample of 130 European banks drawn from the latest European Banking Authority transparency exercise, in 2016.

The repercussions will vary, depending on banks’ geography and business model and will require actions tailored to the individual bank’s circumstances. Banks will likely have to take some unconventional measures to comply. Potential phase-in arrangements are still under discussion and may not take full effect until 2025. While policy makers deliberate, banks should create transparency based on the expected rules, define mitigating actions, and start implementing no-regret measures, while also managing appropriately the expectations of rating agencies and investors.

Download the full report on which this article is based, Basel “IV”: What’s next for banks? (PDF–1,996KB).

https://www.mckinsey.com/~/media/mck...for-banks.ashx

BASAL IV - WHAT'S NEXT FOR BANKS?

EXTRACT: First, banks need to create transparency on divisional contributions to scarce regulatory resources (capital, funding, and liquidity) and their consumption. This is a complex task that should not be underestimated. Some of the required metrics are typically not found in existing IT systems in a consistent, ready-to-be-used state. To fully understand the balance sheet at a group level, banks need to be able to quantify the aggregated impact of divisional and product characteristics – only then can they figure out how to adjust the balance sheet to optimize performance.

Several leading banks have started to use advanced modeling and optimization approaches to understand the evolving regulatory requirements. This process is typically interactive, in that strategic direction and business mix define the parameters of the modeling, and the model can help quantify feasibility and implications of a chosen strategic direction. Once the review is complete, the businesses that remain in the portfolio must adjust their business models to the new capital realities. Some businesses may require only small adjustments, while others will be fundamentally changed.
Banks should also undertake these strategic reviews:

[Foxie Loxie]

BASAL IV?

[Cara]

Well, I don’t know if this might be part of a “currency reset”, but it certainly seems as though it might.

A Gold-linked dollar bill has just been presented in the USA Congress – H.R. 5404 - by Representative Alexander X. Mooney of West Virginia
https://www.congress.gov/bill/115th-...04/actions?r=4

[TargeT]

Well, we knew this was coming, and it will be Yuge!

Source: https://youtube.com/watch?v=QQxncGeGT68

The first step anyway... Dollars will still be used for the actual purchase, but the futures will be denominated in Yaun; which is clearly just priming the system for selling directly with Yaun and an get others to do the same (rumors are china will switch this year to pure yaun payments).

Link to the Article mentioned in the video.

This seems to be a potential pivot point for the world economy, if it is allowed to continue (not sure how it will stop).

[ThePythonicCow]

JC Collins (the one named in this thread's title) has a new article out, further describing how he expects the global monetary reset to unfold, and the role of China, their renmimbi currency (denominated in yuan), and the role of cryptocurrency, especially Ripple (XRP) in that reset and future monetary system.

JC Collins only posted a couple of opening paragraphs of this article on his own website: https://philosophyofmetrics.com/the-...establishment/, leaving the rest for paying subscribers.

But he also posted his article in its entirety on the XRPChat.com website, at: https://www.xrpchat.com/topic/23075-...establishment/

Rather than yet another national currency serving as the dominant Reserve Currency, as happened in past centuries with the currencies of Holland, Spain, France, Britain and now the US, JC Collins expects that a broad variety of currencies and payment systems (such as Visa, PayPal, the Federal Reserve, Western Union, MoneyGram, Standard Chartered, JP Morgan, the Bank of England, or SBI ... as listed in an earlier 12 March 2018 article of his) will be linked together using Ripple's Interledger protocol, with separate liquidity providers for the cross between Ripple XRP and each of these currencies and systems.

JC Collins is clear that China does not want their Renmimbi currency to follow in the steps of the Dollar, Pound, Franc, and earlier reserve currencies. That eventually does great damage to the finances of the nation providing the reserve currency, due to the conflicting tensions placed on the currency to be both a nation's currency and a dominant reserve currency.

His article begins with these words:

THE EMERGING CRYPTO ESTABLISHMENT

New American-Sino Monetary and Geopolitical Relations

By JC Collins

The empty streets, homes, and commercial spaces of China’s ghost cities are starting to come alive. The vast building of empty cities by Chinese civil and cultural planners over an almost two decade span was considered by most in the West to be an example of overbuilding in a closed economy, an economy which was decades away from functional levels of maturation. Few considered the possibility that China was engineering one of the greatest socioeconomic plans in human history.

It ends with:

The blockchain services offered by Ripple and the adoption of its XRP crypto asset are much more developed than is widely known or acknowledged. America, as the world’s largest debtor nation, and China as the worlds largest creditor nation, both maintaining the largest trade deficit and trade surplus respectively, will have to agree on the structural framework for a new monetary architecture, or ecosystem. With Ripple providing that decentralized and frictionless service, both nations are on the verge of transforming the world’s monetary and financial realities.

The social credit blockchain grid is descending on China’s ghost cities as the test run for the societies of tomorrow. Transforming 300 million rural pheasants into a vibrant middle class is no small feat. But with worldwide liquidity about to expand on top of the crypto ecosystems, and the seamless movement of value around the world, with no mind to borders, while nations maintain their own unique sovereignty, we can begin to glimpse the first signs of a much bigger future than any of us could have imagined.

It's well worth a read: THE EMERGING CRYPTO ESTABLISHMENT -- New American-Sino Monetary and Geopolitical Relations

[TargeT]

a friend of mine that's an investment nerd made about 22% of his crypto portfolio by shorting Xrp....

But maybe that was just a head fake and the future will be bright, my friend said this:

Posted by cyrptonerd
It's a corporate controlled coin, centralized. It's also premined

so it makes sense why china would want it...


He also said this:

Posted by cryptonerd
XRP coins in an exchange XRP wallet could be remotely disabled. They can also be tracked down to every breaker transaction.

It's the anti-freedom crypto currency.

[Ba-ba-Ra]

Source: https://youtube.com/watch?v=BUauXDb0crg

[ThePythonicCow]

Posted by Paul (here)
As Brandon Smith wrote today: The Noose Is Tightening Quickly On The Global Economy.

I posted the above mention of Brandon Smith two and a half years ago, in Oct 2016.

Brandon Smith is still at it, and still providing some of the best analysis that I know of, regarding the sunset of the US Dollar as the world's "reserve currency", and the likely rise of a more blatantly world monetary system, controlled by the likes of the BIS, IMF, World Bank and UN.

In his latest piece, Brandon observes that the Globalists Are Bringing Their One World Currency Plans Out Into The Open.

Just as the British Pound Sterling went from being the world's most traded and respected currency in the 1800's, to being just another national currency, so will the US Dollar ... and now that the Globalists are being more open about their plans, this suggests that the Globalists are nearing the point of making this obvious to all, and that they figure they are past the point of anyone being able to stop them.

===

My personal forecast (warning: my forecasts are almost always wrong) is that the world financial, monetary, and economic system won't seriously blow up, at least not in the U.S., for another year and a half, holding together long enough for President Trump to be re-elected in November of next year, 2020. Trump is playing ball with the globalists (not including Clinton's and associates) and is doing so reliably, on many fronts. Red State (aka Republican), fly-over (not on the east or west coast), 2nd amendment (gun owning) America trusts Trump, and this is a group you don't want getting too rebellious on you. So I expect that Trump is re-elected, and then the Monetary Reset comes to America, big time.

[ThePythonicCow]

Posted by Paul (here)
My personal forecast (warning: my forecasts are almost always wrong) is that the world financial, monetary, and economic system won't seriously blow up, at least not in the U.S., for another year and a half, holding together long enough for President Trump to be re-elected in November of next year, 2020. Trump is playing ball with the globalists (not including Clinton's and associates) and is doing so reliably, on many fronts. Red State (aka Republican), fly-over (not on the east or west coast), 2nd amendment (gun owning) America trusts Trump, and this is a group you don't want getting too rebellious on you. So I expect that Trump is re-elected, and then the Monetary Reset comes to America, big time.

Here's a deceptively perceptive analysis of the world's US Dollar based monetary system from Santiago Capital CEO Brent Johnson, originally filmed on May 29, 2018 in San Francisco.

Brent Johnson anticipates that the US Dollar will continue to rise, against other currencies, until sometime in 2020 or 2021. This will be increasingly painful to nations, companies and individuals outside the U.S. who owe money denominated in U.S. Dollars.

The "petro-Dollar" is becoming "dollar denominated debt currency" ... increasingly needed by those outside the U.S. to make payments on existing U.S. Dollar denominated debt.

For decades, the best way to get Dollars to make debt payments was to sell stuff into the world's largest market - the U.S. At the same time, the primary source of U.S. Dollars into the global financial markets were the U.S. Fed and Treasury.

But now, with collapsing economies world-wide, starting with the weaker, more indebted nations first, with collapsing world trade (thanks, MAGA Trump), and with the major repatriation of the U.S. Dollars held by global corporations back into the U.S. (thanks to the "Trump tax cut"), the U.S. is exporting fewer Dollars and importing more of them.

===

There's an analogy that I have enjoyed using, over the last several years, to explain this.

Imagine a hundred story high skyscraper, that is undergoing controlled demolition (while still occupied). Imagine that this demolition is planned to start at the top of the building, with one story at a time collapsing onto the story below (rather like the WTC twin towers supposedly collapsed on 9/11). Imagine that the underlying ground corresponds to gold, and the first floor (building has no subterranean basements) corresponds to the U.S. Dollar. For a while during the collapse both the surrounding ground (gold) and the first floor (the U.S. Dollar) will have an increased number of people, escaping from the collapsing higher floors. Unless we return back to the stone age or some such, the first floor will be the last to collapse, and the surrounding ground will remain solid.

===

Regarding the timing of the final collapse of the U.S. Dollar, after a global depression has first enveloped the rest of the world, Brent Johnson comes to about the same conclusion I did, for different reasons. I expect that the U.S. Dollar and stock markets will hold until at least after Trump is re-elected next year in November of 2020, whereas Brent Johnson observes that it usually takes 18 to 24 months from when the U.S. Treasury market yield curve inverts to when there is a major U.S. financial and market collapse. Both these indicators lead to a U.S. collapse late 2020 or sometime 2021.

Before the U.S. collapses, many other nations and regions need to collapse (decline dramatically) first.

===

Anyway, here are four presentations by Brent Johnson over the last year of his Dollar Milkshake theory:

https://www.realvision.com/tv/shows/...lkshake-theory

https://soundcloud.com/user-53739333...-brent-johnson

Source: https://youtube.com/watch?v=vDr3lRZ01Zo

Source: https://youtube.com/watch?v=2qTOWuL7Zco

===

I think that Brent Johnson has nailed it, and that he makes an excellent point that the end of the U.S. Dollar as the world's "reserve" (aka, primary unit of debt and trade) currency will NOT be due to Weimar Germany or Zimbabwe style hyperinflation.

The U.S. has an option that Germany or Zimbabwe didn't have. Thanks to the many trillions of dollars (Brent says twenty trillion) of debt owed by nations, companies and individuals outside the U.S., the U.S. can force the value of the Dollar higher in foreign exchange markets, by drying up the supply of Dollars. This the U.S. is doing, and will continue doing, until the dire state of the rest of the world's economies and markets makes that impossible. Only then will the U.S. be forced to abandon it's position atop of the world's monetary system.

[ThePythonicCow]

Posted by Paul (here)
Regarding the timing of the final collapse of the U.S. Dollar, after a global depression has first enveloped the rest of the world, Brent Johnson comes to about the same conclusion I did, for different reasons. I expect that the U.S. Dollar and stock markets will hold until at least after Trump is re-elected next year in November of 2020, whereas Brent Johnson observes that it usually takes 18 to 24 months from when the U.S. Treasury market yield curve inverts to when there is a major U.S. financial and market collapse. Both these indicators lead to a U.S. collapse late 2020 or sometime 2021.

Brandon Smith, whose track record for insightful analysis and prescient forecasts far exceeds the products of my modest abilities, expects that the collapse will probably begin in earnest this year, 2019, rather than in late 2020 or early 2021 as I predicted above.

Here's another most excellent article from Brandon, which I offer for your reading pleasure: Globalists Only Need One More Major Event To Finish Sabotaging The Economy:

=============

Globalists Only Need One More Major Event To Finish Sabotaging The Economy

Wednesday, 29 May 2019 04:35 Brandon Smith

As I predicted in my article 'Trump Trade Wars A Perfect Smokescreen For A Market Crash', published in March of 2018, as well as in my article 'The Trade War Distraction: Huawei And Linchpin Theory', published in December of 2018, the US/China trade dispute has escalated into an all out war with no end in sight. The claims of many analysts and skeptics a year ago that the trade war would be over quickly and that China would fold to US tariffs has been proven incorrect. The reason why these analysts got it so wrong centers primarily on their misunderstanding of the true purpose behind the events.

The goal of this war is NOT to balance the US trade deficit or pursue more fair circumstances for US exports and imports. The intention of the Trump Administration is NOT to fight back against Chinese “exploitation” of US markets, this kind of rhetoric is pure theater. Nor is it Trump's intention to undermine globalist structures or agreements in order to bring back American manufacturing (a carrot that has been flaunted in front of American faces for a long time to lure them into supporting destructive policies such as dollar devaluation). On the contrary, the real purpose of Trump's trade war is to provide a distraction massive enough to cover for the controlled demolition of the US economy and parts of the global economy by globalists and the central banks they control.

The tariff soap opera and most of Trump's other foreign and domestic policies are eerily similar to those of Herbert Hoover just before the advent of the Great Depression. This is not a coincidence. The narrative for an economic collapse rivaling that of the Great Depression has been set, and the root circumstances are very similar.

Since the crash of 2008, the US has been suffering a slow grinding decline in fundamentals (the collapse of an empire often takes time). The response of central banks was to slow the crash using stimulus measures and near zero interest rates, but this strategy was not meant to reverse US economic decline. The purpose of QE was meant to inflate an even larger bubble than before, one that would encompass every aspect of the economy including the dollar; a bubble that when popped would devastate the US specifically and create panic around the world.

Now the stimulus phase of the globalist agenda is over. US M2 money supply growth has been decelerating and is hovering near 10 year lows, while stimulus measures have evaporated in most countries except China. Global dollar liquidity has been dwindling as the Federal Reserve continues to cut its balance sheet unabated.

This would explain why US equities are struggling to stay afloat despite the fact that corporate buybacks of stocks have increased to historic highs in 2019. Central banks, most importantly the Fed, are no longer propping up the system; the life support has been pulled and the parts of the economy that have been dependent are taking their last breaths.

The trade war situation as it is now is not enough of a distraction in my view, however. At least one more major event with global ramifications (or perceived global ramifications) is needed by the elites before they can implode the 'Everything Bubble' without taking the blame for the consequences.

Trade War Shock And Awe

There are several powderkegs that exist today that would serve the purpose of occupying the minds of the masses while the globalists finalize the crash. As noted, I continue to predict the trade war as it stands will accelerate unabated until the plunge in fundamentals and equities is complete. We haven't seen anything yet as far as trade war chaos.

The US/China conflict has the potential to become an economic world war, with multiple countries beginning to take sides. Japan and the UK have opted to support US interests, which is not surprising since China and Japan have hated each other for generations and the US is the UK's strongest economic partner in the wake of the Brexit. Already some people are declaring this to mean that the US will gain the majority of global support and crush China.

But keep in mind, as I outlined and evidenced in my recent article 'America Will Lose The Trade War Because That Is What Globalists Want To Happen', the trade war itself is a farce on both sides of the Pacific, as both China and the US are controlled by the same financial power centers (such as the Bank for International Settlements). The fact that some people are jumping on the patriot bandwagon to cheer for expanded confrontation with China as if a globalist engineered war is a war we can "win" is disturbing and sad to witness. My suspicion is that there is a concerted disinformation campaign in play on the internet to drum up the false impression of consensus support for the trade war while the activities of the real villains (the international banks) are ignored.

As this Kabuki theater moves forward, I think many analysts will find themselves shocked as more and more nations start taking China's side in the conflict.

The most powerful option China has at its disposal is the dumping of US Treasuries and the dollar as the world reserve mechanism, but it is likely to use this tactic only when the US economy is at its most unstable. China is the number one exporter/importer in the world and the US consumer is ready to tap out as retail numbers stumble and household debt skyrockets. The US market is only 18% of Chinese exports, a sizable piece of the pie, but hardly a devastating blow to the Chinese economy should it be denied to them.

The bottom line is that China will ultimately dictate global trade terms as they possess the largest manufacturing base, they decide what currency they will accept, and whose debt they will prop up. China has also established very close economic ties with key nations over the past decade, including Russia, Germany, India, Australia, and even Saudi Arabia. Do not be surprised if most if not all of these nations eventually support China in the trade war, dropping the dollar as the reserve currency and following China's lead.

Skeptics of this outcome are pretty much the same people that originally claimed the trade war would be over by now and that Trump would be victorious. They will cry foul today at the idea that the globalists have rigged the game and that the US is being set up to fail, but when they are shown to be wrong once again they will state proudly that they "saw it coming all along".

China has yet to fully retaliate against the latest increase in US tariffs. When it does, the attack will be far larger than cutting off purchases of US agricultural goods. The next escalation could be the trigger than sends the crash into overdrive.

Iran War Looming

War with Iran at this time makes no sense whatsoever unless you look at it from a globalist perspective. The globalists are the only group that stands to gain from such catastrophe, as war with Iran would seal the fate of the US economy. The most immediate threat would be the potential shutdown of the Straight of Hormuz by Iran, which would take nothing more than sinking a few large cargo vessels along the narrow and more shallow portions of the straight, placing mine fields, or staging anti-ship missiles within striking range. The subsequent explosion in oil prices would be devastating to the global economy and the US economy would struggle under high energy prices even with expanded domestic oil drilling.

In the longer term complete destabilization of the Middle East would result, well beyond what we have already seen, and the costs to taxpayers as well as the cost in American lives would be high. Beyond this, the distraction would be epic and very effective. This event coupled with the trade war would fulfill the globalist narrative that the Trump Administration and the conservatives that support him are a “menace” to global stability. Any financial crash at that point would undoubtedly be blamed on Trump as well as his supporters.

Currently, the mainstream media is very quiet on the Iran situation despite the sudden shift of US military resources to the region, which leads me to believe that a conflict is being planned in the near term.

Brexit Finalized

This event may not be concluded until the end of this year, but I still maintain as I always have that the Brexit and the growth of populism in Europe is a distraction that has actually been encouraged by globalists through the use of forced mass immigration measures to terrify the citizenry. I successfully predicted the outcome of the Brexit vote in 2016 based on this theory, and it still holds true so far today.

The “rise of the populists” in Europe and the US at the exact same time that central banks are withdrawing liquidity and at the exact same time that fundamentals are plummeting is yet another unlikely coincidence.

The only event that was needed to fulfill the populist takeover narrative was a major win by a nationalist party on the European mainland. Thanks to French president Macron being the worst leader in recent French history, that event has occurred. Marine Le Pen's National Rally Party has overtaken Macron's LREM party in the EU parliamentary elections. The populists have gained ground in Italy and Germany as well; not enough to retain any real influence, but enough to get blamed for the financial disaster that is about to happen.

The final plot twist the elites need in the EU, I believe, is a no-deal Brexit. I predict the Brexit will conclude and that the UK will indeed break with the EU. The latest announcement of Theresa May's resignation seems to indicate that this will be the case, and that a no-deal scenario is the most probable scenario. The EU has publicly stated that there will be NO renegotiations of the Brexit deal after May leaves. Sovereignty activists will cheer the Brexit outcome, and then things will start to go horribly wrong. European markets will tank and certain major banks (Deutsche Bank and Italian majors?) will announce insolvency. The panic felt in 2008 will return and hit the EU and the UK hard, and the Brexit movement will get the blame while central banks escape any culpability.

Only one of these events is needed to initiate the next stage of economic collapse, but it is possible we will see all three occur in due course. While the current crash started at the end of 2018, the year of 2019 will probably be the one that is most remembered in history books as the beginning of Great Depression 2.0.

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