Blog

Daily Digest - March 24

Tuesday, March 24, 2009, 12:00 PM
  • China calls for new reserve currency
  • Uncle Jay Explains The News (Bailouts & History Repeats)
  • Risk capital is gone
  • Fed Rescue Programs: No Exit?
  • Glenn Beck 1,000,000,000,000.00 Quantitative Easing (H/T Glenn Beck)
  • Part I: Geithner's Plan "Extremely Dangerous," Economist Galbraith Says (H/T Woodman Video)
  • Geithner Video
  • Geithner Money Laundering Fact Sheet (PDF)
  • Geithner Money Laundering White Paper (PDF)
  • Last Weeks Treasury Rally that Wasn't Abroad (Chart)
  • Existing Home Sales (Chart Inventory as % of Owner OCCUPIEDS)
  • Distressed properties accounted for 45% of all sales
  • A Deflationary Depression (Video)
  • Ron Paul: Believer in small government predicts 15-year depression
  • How to grow your own fresh air: Kamal Meattle on TED.com 

Economy 

China calls for new reserve currency 

China's central bank on Monday proposed replacing the US dollar as the international reserve currency with a new global system controlled by the International Monetary Fund. 

In an essay posted on the People's Bank of China's website, Zhou Xiaochuan, the central bank's governor, said the goal would be to create a reserve currency "that is disconnected from individual nations and is able to remain stable in the long run, thus removing the inherent deficiencies caused by using credit-based national currencies".

Analysts said the proposal was an indication of Beijing's fears that actions being taken to save the domestic US economy would have a negative impact on China.

"This is a clear sign that China, as the largest holder of US dollar financial assets, is concerned about the potential inflationary risk of the US Federal Reserve printing money," said Qu Hongbin, chief China economist for HSBC.

Although Mr Zhou did not mention the US dollar, the essay gave a pointed critique of the current dollar-dominated monetary system.

"The outbreak of the [current] crisis and its spillover to the entire world reflected the inherent vulnerabilities and systemic risks in the existing international monetary system," Mr Zhou wrote.

China has little choice but to hold the bulk of its $2,000bn of foreign exchange reserves in US dollars, and this is unlikely to change in the near future.

To replace the current system, Mr Zhou suggested expanding the role of special drawing rights, which were introduced by the IMF in 1969 to support the Bretton Woods fixed exchange rate regime but became less relevant once that collapsed in the 1970s.

Today, the value of SDRs is based on a basket of four currencies - the US dollar, yen, euro and sterling - and they are used largely as a unit of account by the IMF and some other international organisations.

China's proposal would expand the basket of currencies forming the basis of SDR valuation to all major economies and set up a settlement system between SDRs and other currencies so they could be used in international trade and financial transactions.

Countries would entrust a portion of their SDR reserves to the IMF to manage collectively on their behalf and SDRs would gradually replace existing reserve currencies.

Mr Zhou said the proposal would require "extraordinary political vision and courage" and acknowledged a debt to John Maynard Keynes, who made a similar suggestion in the 1940s.

Uncle Jay Explains The News (Bailouts & History Repeats)

Risk capital is gone 

Yves Smith reads a Gillian Tett piece in the Financial Times harshly, but her essential point is right -- the status quo ante is dead and will not be coming back. A lot of people, including the United States government, are still in denial of this basic fact and the resulting misperceptions are dangerously misleading. 

Important observations relayed by Tett:

... [S]ome recent anecdotes are chilling. Last week, for example, a group of senior hedge fund players and chief investment officers gathered in Dublin - and collectively guessed that about 80 per cent of the risk capital that was sitting in the European system a year ago has disappeared....

What is even more dramatic - but less visible - is the disappearance of banks' proprietary trading desks... traders in London say there is really only one bank in Europe which is even pretending to run an active prop desk now - namely Goldman Sachs. As a result, billions of dollars of risk-taking capital is believed to have quietly vanished.

That has had all manner of extraordinary consequences. Two years ago, a host of hedge funds and prop desks in London were building up their distressed debt-trading teams to take advantage of a future turn in the credit cycle. Logic might suggest such funds should be wildly busy right now, swooping in to buy distressed companies, or securities. Nothing could be further from the truth. As banks have slashed their risk-taking operations, they have also cut their distressed prop desks, and most have stopped making markets in distressed products. Hedge funds dealing with distressed assets have also folded, unable to raise funds.

As a result, there is a dire shortage of capital to organise - or fund - even "simple" restructurings of companies, distressed investment entities or anything else. Hence the gridlock on dealing with toxic assets.

But not just credit assets are being hit. As asset managers hunt for places to put their cash away from the carnage of the credit or property world, some have been tempted by the world of small-cap equities. But trading in small caps can only take place with market makers - and right now, banks are not just cutting prop desks but market making activity too. As a result, fund managers are sitting on their hands. "We would love to buy small caps but we just cannot tolerate the liquidity risk," explains one large asset manager. "Almost any sector which needs marketmakers is half-dead." Logic would suggest that eventually this pattern should change. After all, oodles of cash remain in the system. That cannot all stay in government bonds for ever, least of all in a world where the Fed is busy intervening in such a dramatic fashion to suppress yields.

In fact it can stay hidden and likely will. Sidelined risk capital is a myth -- it has been destroyed in the great unwind. Much of what is hiding in t-bills is not risk capital, and a lot of it won't be coming out of t-bills.

Fed Rescue Programs: No Exit?

The Wall Street Journal tonight, in "As It Starts Programs, Fed Weighs How to Stop Them," broaches the touchy subject of how Federal Reserve unwinds all the "support lending" initiatives it has underway and is on the verge of launching.

In general, this piece is more wary of party line than the typical WSJ offering, but it does miss a couple of very big issues, which we will get to in due course.

While the Journal does not tease this out, the Fed's readiness on this issue is a worrisome echo of Timothy Geither: the Fed plans to have a plan:

Fed Chairman Ben Bernanke told community bankers in Phoenix Friday..."We are very much aware that we don't want to be in the credit markets forever," he said. "We need to help them now, but we want to have an exit strategy, and allow those markets to recover and become again fully private sector."

Wanting to have an exit strategy and actually having an exit strategy are two different states of affairs. Back to the article:

Part of the Fed's exit should take care of itself by design. More than $1 trillion of the central bank's loans are for three months or less, such as liquidity programs and currency swaps with other central banks. The Fed also established rates for many programs that wouldn't be attractive to markets in normal times, forcing the programs to unwind on their own. When markets pull back from the programs, that would be a signal for the Fed to shrink other elements of its balance sheet, before turning to raising interest rates from their current level near zero.

This is all a bit misleading, or more accurately, wishful. The part that is 100% correct is that the currency swap lines are seeing much less usage, although that could reverse if Eastern Europe were to slip into crisis. Some of the facilities, such as the Primary Dealer Credit Facility, have seen a great variation in use of available support over time.

But even looking at the original emergency bank backstop, the Term Auction Facility, whose size per twice-monthly auction has increased from $20 billion to $150 billion, still has bids not that much lower than the levels seen last November, which was considered a crisis month (although the Fed did have more frequent auctions then, two of the four had very low take-up).

Glenn Beck 1,000,000,000,000.00 Quantitative Easing (H/T Glenn Beck)

Part I: Geithner's Plan "Extremely Dangerous," Economist Galbraith Says (H/T Woodman Video)

Geithner Video

Geithner Money Launderng Fact Sheet (PDF)

Geithner Money Laundering White Paper (PDF)

Last Weeks Treasury Rally that Wasn't Abroad (Chart) 

Existing Home Sales (Chart Inventory as % of Owner OCCUPIEDS)

Distressed properties accounted for 45% of all sales (Please click on link to see chart) 

Home prices dropped 15% from the same period one year ago; Despite the price drop, sales fell 4.6%. How anyone can try to spin this as a positive is beyond my mathematical comprehension. 

Even the NAR reported that "overall sales activity remains relatively soft," as existing-home sales increased in February (month over month).

This was another weak housing report. Do not be fooled by the monthly gains, as we have been saying for 4 years now, as they are meaningless (see chart at bottom):

-Single-family home sales rose 4.4% to a seasonally adjusted annual rate of 4.23 million in February. They fell 4.6% from the 4.95 million-unit level of February 2008;

-Distressed properties accounted for 45% of all sales;

-Home foreclosures were up 30% in February from a year earlier;

-The national median existing-home price for all housing types was $165,400 in February, down 15.5 percent from a year ago.

-The median existing single-family home price was $164,600 in February, down 15% from a year ago

-Total housing inventory at the end of February rose 5.2% to 3.80 million existing homes available for sale, a 9.7-month supply at the current sales pace.

-The absolute number of homes for sale rose to 3.8 million from 3.6 million

-The West continued to see the biggest drops in prices due to foreclosures.

While there was a healthy increase in sales from January, a look at the non-seasonal data might be instructive: As expected, the gins are primarily seasonal in nature, with January the worst sales month of the year, and February the start of modest seasonal improvements. 

A Deflationary Depression (Video)

Ron Paul: Believer in small government predicts 15-year depression 

Almost weeks ago, CNN reported South Carolina Governor Mark Sanford's admonishment that "the United States faces a Zimbabwe-style economic collapse if it keeps 'spending a bunch of money we don't have.'" 

Yesterday, New Hampshire Sen. Judd Gregg, the top Republican on the Senate Budget Committee, said that "President Barack Obama's massive budget proposal will bankrupt the country," according to the Associated Press.

And today, the Financial Times details the equally dire warnings of another well-known public figure, in a story entitled "Ron Paul: Believer in Small Government Predicts 15-Year Depression."

Pension trustees and insurance company portfolio managers look away now. Your increased commitment to government bond holdings in recent times is about to blow up spectacularly.

At least, that is the view of Ron Paul, the US congressman who ran against John McCain in last year's Republican Party presidential nomination.

Gold pushes above $900 in buying spree - Jan-26His is a minority view. Yields on government bonds worldwide have been falling fast over the past few months and in the UK, the commencement of "quantitative easing" this month sent bond prices soaring.

But the credibility of both western governments and their currencies is waning, and has been ever since the gold standard was abandoned in 1971, says Mr Paul. And that means even "safe" investments are far from safe, he claims.

"People will start to abandon the dollar as current and past economic policies create a steep rise in interest rates," Mr Paul says.

"If you are in Treasuries, you will need to be watchful and nimble to time your escape."

Unfortunately, cashing out will not protect the value of investments, he insists, because "fiat" currencies will all decline over the coming years as measures to try to haul the world economy out of recession fail. "The current stimulus measures are making things a lot worse," says Mr Paul.

"The US government just won't allow the correction the economy needs." He cites the mini-depression of 1921, which lasted just a year largely because insolvent companies were allowed to fail. "No one remembers that one. They'll remember this one, because it will last 15 years."

At some stage - Mr Paul estimates it will be between one and four years - the dollar will implode. "The dollar as a reserve standard is done," he says. He sees little hope for other currencies where central banks have also created too much liquidity dating right back to the early 1970s.

"Europe and the US will both have to fundamentally change their money systems," he adds.

And don't even mention shares to Mr Paul: "The last place you want to be is in the stock market," he says. "It may not bottom out for 10 years - just look at Japan."

Of course, everyone has a view on the credit crisis, its causes and putative solutions. What differentiates Mr Paul is that he has been warning of the dangers to the world economy for nearly 40 years. "The breakdown of Bretton Woods was my motivation for running for Congress. I have been talking about the dangers ever since and warning that the control by central banks over the money supply would create an enormous bubble."

A deep recession had only been avoided up until now because of the efforts of successive governments to reflate the economy. But there are no more policy levers left, says Mr Paul. "This is the big one."

Unsurprisingly, Mr Paul has been viewed as a crank in Washington, dismissed as a doomsayer and a party-pooper. His bill early this year to abolish the Federal Reserve was largely ignored. And his adherence to the Austrian School of economics, which predicted that fiat currencies would destabilise the world economy, has won him few friends.

"People don't like the Austrians because they are against big government, against armies and against the welfare state. To accept Austrian economics, you have to accept limitations of credit expansion and that is what has kept the government and financial firms in business for so long."

However, his views are, for the first time, being taken seriously in Washington. Like another politician who recently aimed for high office, Al Gore, Mr Paul's uncomfortable truths are starting to be deliberated at elevated political levels. "Before last summer, in meetings nobody really knew I was there. Now they often defer to me on economic matters. But you won't catch any of them admitting that publicly - not yet at least."

He believes that markets will fall much further and inflation rise much higher before his fellow politicians recognise that the system has failed. "We are likely to see an inflation depression," Mr Paul says.

"In the 1970s, we had stagflation, but not depression. Inflation depression is what you see in Zimbabwe."

Even Nouriel Roubini, the renegade economist whose once "extreme" views are now mainstream, fights shy of this analysis. The investment options arising from the analysis are no more palatable. In fact, according to Mr Paul, there is only one: gold.

Such an unproductive asset (unless you are a jeweller) appears unattractive even with the gold price having risen three-fold during the Bush administration. But Mr Paul argues that the current price of about $900/ounce could look cheap in a few years.

"It is not so much that gold will go up but that fiat currencies will go down," he says. He even advocates a return to the gold standard, which he says is not as difficult as it sounds to achieve.

Mr Paul, it should be noted, first invested in gold nearly 40 years ago when it was worth $35/ounce and holds a part of his wealth in the metal. But he is not alone: gold exchange traded commodities have seen record inflows in the past six months, most wealth managers now recommend a core holding and central banks are loath to sell their quotas. Indeed, Russia has even announced it is buying gold.

Nevertheless, most large institutions, including pension funds, have little or no gold holdings. Mr Paul argues this is a mistake and decries the widely held view that gold is an anachronism.

"Gold is natural money and has been for 6,000 years," he says.

"You just can't repeal those laws. A scrap of paper, which the government can just add a nought to, will not do." He does not, though, expect the mainstream investment industry and its advisers to rush to the bullion vaults.

Given the name of this blog and my last book, I'm assuming that readers know where I stand on the matter. 

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19 Comments

Davos's picture
Davos
Status: Diamond Member (Offline)
Joined: Sep 17 2008
Posts: 3620
Re: Daily Digest - March 24

Today's news was pretty much Timmy's money laundering plan, toxic debt and tax payers dollars.

China is making noise about a new world reserve currency, I would consider that would amount to nuclear economics for the U.S.

I listened to the part one of the Financial Sense News Hour in the car today. They had a good piece on AIG, Oil, Qualitative Easing, Inflation and if I could drive and write notes I could offer more other than to say I'd catch that and the third hour for sure, and I'll review hour 2 soon.

Take care.

nkdroth's picture
nkdroth
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Re: Daily Digest - March 24

I agree with Ron Paul...."gold is natural money"...nk:)

Alex Szczech's picture
Alex Szczech
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Re: Daily Digest - March 24
Davos wrote:

China is making noise about a new world reserve currency, I would consider that would amount to nuclear economics for the U.S.

Could you (or anyone) provide some scenarios as to what the economic landscape would look like were this to occur?

jamesdvetter's picture
jamesdvetter
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Posts: 51
Re: Daily Digest - March 24

Hi Alex...I think Ron Paul says it all in his quote.  The dollar is done as a reserve currency, meaning dollars wil be be dumped on the world market, adding to the glut domestically via QE.  And voila...inflationary depression will become a household term!

 

"At some stage - Mr Paul estimates it will be between one and four years - the dollar will implode. "The dollar as a reserve standard is done," he says. He sees little hope for other currencies where central banks have also created too much liquidity dating right back to the early 1970s."

Jarhett's picture
Jarhett
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Posts: 132
Re: Daily Digest - March 24

Alex-

I guess if the U.S. dollar was not the reserve currency, then the U.S. could not run these monster trade deficits anymore.  Right now all of the excess dollars that other countries have in reserve due to our trade deficits is recycled back into the U.S. market.  This started back when Reagan took office in the 1980's and he began to run budget deficits.  Since then all of these countries have about $500 billion dollars that they need to recycle back into the country each year, this can explain the rise of the dow from 800 to 14,000, and the huge derivatives markets.  If the U.S. is not the reserve currency anymore, then these dollars would be traded on the forex and the true value of the U.S. dollar and all the other currencies would be apparent.  If this would occur, the value of the U.S. dollar would plummet and the value of all the other currencies would go up.  This would make China's goods more expensive which would kill their economy, and it would make their holding of U.S. debt worthless.  On the other-hand this would make U.S. product cheaper to the rest of the world and should improve our weak exports.  Since the world relies on exporting their goods to the U.S, a new reserve currency seems to be economic Armageddon for current status quo of economics.

FireJack's picture
FireJack
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Posts: 156
Re: Daily Digest - March 24

"Could you (or anyone) provide some scenarios as to what the economic landscape would look like were this to occur?"

 

I think the words "hope for the best prepare for the worst" come in here. Worst case scenario (that you can prepare for anyway) is one where food, fresh water, and medical help are no longer availible. Have lots of food and water and well get that tooth fixed I guess. I guess you could prepare for nuclear too but I'm not going that far. 

 

I would also be aware that crime will likely skyrocket so imagine that your a thief targeting your house what would you do. Having an unlocked shed with items you might need inside may not be a good idea. 

Damnthematrix's picture
Damnthematrix
Status: Diamond Member (Offline)
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Posts: 3998
Re: Daily Digest - March 24

Airlines face losses of $6.7 billion in 2009: IATA


The International Air Transport Association (IATA) has
sharply increased its loss forecast for carriers to $US4.7 billion
($6.7 billion) this year due to a "rapid deterioration of the global
economic conditions."

The new forecast given at the IATA's annual media event marked a
sharp rise from the $US2.5 billion in losses predicted by the
association in December.

The industry group also raised its estimate of total airline losses
for 2008 from $US8 billion to $US8.5 billion, blaming a "very sharp
fall in premium travel and cargo travel."

"The state of the airline industry today is grim," said Giovanni Bisignani, IATA's director general.

"Demand has deteriorated much more rapidly with the economic slowdown than could have been anticipated even a few months ago.

"There is little to indicate an early end to the downturn."

Although the airline industry's prospects may improve towards the
end of the year, "expecting a significant recovery in 2010 would
require more optimism than realism," Mr Bisignani insisted.

Demand is expected to continue to slide, with passenger traffic shrinking by 5.7 per cent over the year.

Asian-Pacific carriers are expected to post the biggest losses this year of $US1.7 billion as demand tumble 6.8 per cent.

European carriers are forecast to post $US1 billion in losses while Middle east carriers are seen losing $US900 million.

Only North American carriers would post a profit of $US100 million,
as they benefit from sound capacity management and lower fuel prices,
according to IATA.

- AFP

mpelchat's picture
mpelchat
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Re: Daily Digest - March 24

FireJack 

Your best information is going to come from 3 places:

1) Argentina around 2000/01

2) Iceland recently

3) Zimbabwe recently

From what I have read about Argentina, this is a possible scenario well worth looking at, there is a thread about this from an Argentina national on the sight called.

Lessons From Argentina's Collapse

 

I certainly hope we do not become Zimbabwe.

castlewp's picture
castlewp
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Posts: 304
Re: Daily Digest - March 24

http://atheonews.blogspot.com/2009/03/us-capex-financing-index-falls-again.html  

March 24, 2009

U.S. capex financing index falls again

Reuters ~ Tue, 24 Mar 2009 14:22 UTC

New York - Financing for capital equipment investment tumbled for the seventh straight month in February, according to a trade group representing lenders who finance half the capex investment in the United States.

The Equipment Leasing and Finance Association told Reuters on Tuesday that its capex financing index fell 37.7 percent last month compared with a year earlier, a sharper decline than the 24 percent drop recorded in January.

The index, which precedes the Commerce Department's durable goods report by a day, measures economic activity for the $650 billion equipment finance sector.

"The first quarter of 2009 continues on a downward trend as businesses pull back from making new investments in plant and equipment," ELFA President Kenneth Bentsen said in a statement.

New business volume fell 26.7 percent between January and February, to $3.3 billion, ELFA said, while capex financing approvals fell by half a percentage point to 64.7 percent, a record low.

It said 47 percent of participating companies reported that fewer transactions were submitted for approval during February due to tightening underwriting standards and lower demand. Chargeoffs and receivables more than 30 days overdue rose, while employment among equipment finance companies was down.

The trade group's members include Wells Fargo Equipment Finance (WFC.N), Bank of America Corp (BAC.N), GE Capital (GE.N) and the in-house finance arms of Caterpillar Inc. (CAT.N) and Deere & Co (DE.N), as well as Dell Financial Services (DELL.O), Siemens Financial Services (SIEGn.DE) and Verizon Capital Corp (VZ.N), among others.

RubberRims's picture
RubberRims
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Posts: 145
Re: Daily Digest - March 24

http://mises.org/story/3194 

markf57's picture
markf57
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Posts: 62
Re: Daily Digest - March 24

Are Uncle Jay and Dave Ramsey releated? I'm just asking.

FireJack's picture
FireJack
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Posts: 156
Re: Daily Digest - March 24

This is in the globe and mail today: Fed to scoop up treasuries

The U.S. Treasury's auctions of $34-billion (U.S.) in five-year notes
Wednesday and $24-billion in seven-year notes Thursday come in the
midst of the strong demand sparked by the U.S. Federal Reserve Board's
decision to buy government bonds.

It's all part of a
sleight-of-hand self-financing scheme that helps the U.S. government
finance its deficit at relatively low interest rates.

...

Beginning Wednesday, the Fed will start to purchase up to $300-billion
of government bonds and it is also committed to buy $750-billion of
mortgage-backed bonds issued by government agencies to unfreeze the
credit markets.

By buying U.S. Treasuries, the Fed is
effectively reducing borrowing rates on corporate bonds, consumer loans
and mortgages, said Eric Lascelles, chief economist and strategist for
TD Securities Inc. A reduction in yield on risk-free government bonds
effectively pulls down the interest rates on other debt because traders
in those securities tend to buy and sell at prices based on the spread
or difference in yield compared with risk-free government bonds.

 

They way the describe the whole thing it sounds like a good idea. 

Mr. Fri's picture
Mr. Fri
Status: Silver Member (Offline)
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Posts: 220
Re: Daily Digest - March 24
FireJack wrote:

I think the words "hope for the best prepare for the worst" come in here. Worst case scenario (that you can prepare for anyway) is one where food, fresh water, and medical help are no longer available. Have lots of food and water and well get that tooth fixed I guess. I guess you could prepare for nuclear too but I'm not going that far. 

 

I'm putting together my plans in layers.  

1) Mild disruption - Have some cash on hand, get medical items taken care ofnow

2) Serious Recession - still working on these...

3) Very Bad Recession (no work, no food, etc.for years) - Live at my parent's self sufficient ranch

4) Worse case situation - Have my life right with God so I don't have to worry about leaving this world. Wink

affert's picture
affert
Status: Silver Member (Offline)
Joined: Sep 22 2008
Posts: 100
Re: Daily Digest - March 24
FireJack wrote:

*snip* 

They way the describe the whole thing it sounds like a good idea. 

Yeah, they are trying to make it sound like a good idea.  It will probably have the effects they describe: lowering interest rates, increasing borrowing, etc.  Are these things really a good thing?

Well, if the heart of the problem is a lack of borrowing, then yes what they are doing is a great idea.  

However, if the heart of the problem is too much debt, then what they are doing will make things worse, not better.   I tend to think this is a major part of the problem, so I don't think that this will help in the long run.  In fact, I think this policy will inevitiblly lead to inflation destroying the value of the dollar.  Which is never a good thing, unless you owe a bunch of dollars to someone.  

grl's picture
grl
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Posts: 188
Re: Daily Digest - March 24
Jarhett wrote:

I guess if the U.S. dollar was not the reserve currency, then the U.S. could not run these monster trade deficits anymore. 

Jarhett, that is a point those who understand know is implicit and those who don't understand....well, they don't understand. It is only because the dollar is the reserve currency that we are able to get away with what we have done. It is only because the dollar is a reserve currency that we aren't suffering hyperinflation today. It is only because the dollar is the reserve currency that the rest of the world hasn't dumped the dollar already. Yet when I mention this to most people the response is: "What does reserve currency mean?"

Mike Pilat's picture
Mike Pilat
Status: Platinum Member (Offline)
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Posts: 929
Re: Daily Digest - March 24

The video below shows Congresswoman Bachmann questioning (read: grilling) Bernanke and Geithner on their activities thus far and goes so far as to question what the plan is to replace the dollar with. Both Geithner and Bernanke certify that they have no plans to replace the dollar with an international currency...

I don't know if anyone saw this video. I pulled it off of Mish's site from today. Here we are schooled by Geithner that ability matters not, only political will. It seems that Timothy is following in the footsteps of Bernanke (from the 60 min. interview) in desiring stronger political will on the fiscal stimulation measures. Something about this bothers me. I wonder if there isn't a bit of growing opposition amongst the representatives.

 

I hope these are of interest!

Mike

 

 

kelvinator's picture
kelvinator
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Posts: 213
Re: Daily Digest - March 24

Davos,

I found this piece by Henry Blodget a clear and concise overview of where Obama and Timmy Geithner's plans are going astray - could be worth a post for others where appropriate:

http://www.businessinsider.com/henry-blodget-geithners-three-big-misconc...

best,

Kelly

 

 

Davos's picture
Davos
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Posts: 3620
Re: Daily Digest - March 24

Hello Mike and Kelvinator:

Super posts, I put them front and center on the DG of the 25th THANK YOU!

Nime's picture
Nime
Status: Bronze Member (Offline)
Joined: Jan 29 2009
Posts: 88
Re: Daily Digest - March 24

You know what, the more I read on this the more I start to think Alex Jones is not as crazy as I thought before. World currency... and the "global warming" fraud being pushed through mainstream media despite lack of scientific evidence - exactly what was foretold as tools globalist will use.

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