Friday, June 18, 2010

The Bell Tolls For The U.S. Dollar

Check this out - no commentary needed - you all can interpret these golden nuggets as you see fit.  I know what I think is happening....The first two are from Bloomberg:

Medvedev Talks Up Ruble as World Reserve Currency of the Future:  Move Aside Uncle Buck
Russia to Buy Canadian, Aussie Dollars for First Time:  Not So Loonie

Here's someone else who has figured out that China is buying a lot more gold than disclosed.  What this commentary did not mention is that it is suspected that China is buying a lot through its sovereign wealth funds, which do not report reserve positions to the BIS:  The Anti-Dollar Trade


  1. dollar calling again D.

    That means a rally is due. I'm on the buy.

    Thanks for the heads-up Chico.

  2. I called a top at 84. We will be well below that level before June 2011. In fact, it will shit the bed when the Fed is forced by the economy and debt requirements of Obama to roll out QE2, which will be QE1 x 3, at least.

    but hey, since my top call in the dollar, my gold/silver positions have ballooned up in value nicely.

  3. World Reserve Currency of the future? We don't need no steenkin' World Reserve Currency.

  4. Yes Dave and think about what Gold/Silver will do when the USD does fall off the table. We have an ominous Astro outlook beginning around mid-July and this is when I expect the markets to shoot craps.

    Joe M.

  5. Said by a man who considers Sorcha Faal to be a creditable source...

  6. A bit early to call a top in the dollar. It'll be a refuge for another year or two and probably hit 100 when the Euro disintegrates.

    Russia is a joke--trade the corrupt banksters in NY for the mobsters in Moscow. No way Russia will ever be considered for a world currency.

    OTOH, watch out for China in 3-5 years. They're a sly lot.

  7. More Stimulus may be needed, Obama

    Where on earth did you get the idea there may be QE 2.0? Or should it be called 1.2, since all that made things appear better is a liquidity injection of trillions...with nothing actually mended or repaired?

  8. Dave,
    I love your site!! I've commented before but mostly I just read and enjoy what people have to say. It's not relevant to this post but I'd like to comment on the "trillion $$ mineral finds in Afghanistan". I'm a geologist by trade and have worked gold, silver, uranium, and base metal plays.
    The info is absolute horse puckies. There is no such thing as fly over geophysics that can identify mineral deposits! Even the best geophysics can barely pick out the difference between graphitic (ie Carbon) rocks and metallics let alone identify deposits. If they have something like that somebody in the business would have long ago invented it-- many geophysicists have invented their own unique systems and NOBODY has anything like that or I would be out of a job!
    As you well know from being in the investment business developing a deposit to the point where it is proven to be a) there and mineable and b) economic takes years and millions. Not a chance in hell a few government geologists (if they are anything like Canadian government geos they couldn't find a deposit if they were looking at it) and some Pentagon dudes could identify (let alone prove) a trillion $ worth of ore in 20 years of looking!!
    I read the NY Times article about it and the part that shocked me were the blogs/ comments about it. The sheeple are talking about how hard they will be to exploit and the political difficulties/ training Afghans to handle it themselves, etc. I can't help wondering when the sheeple will wake up and realize they are being lied to so much about so many things. Canadians are a little more politically aware (maybe) but it boggles my mind. The "transparency in government" is looking pretty damn opaque to me!!
    Cheers to you for putting so much time and energy into this site to try and educate people-- sadly I suspect only the already aware follow you!

    Justin in Canada

  9. Justin, thanks for your feedback and support. That's great color on that Afghanistan mineral b.s.

  10. Dave, I have a feeling everyone is making a huge supposition that the fed will play along with the puke eating game of financing the government's fiscal deficits. It takes two to tango and if the fed stops the treasury stealth buying then interest rates are going to sky rocket, which is what bubblespan is warning about... Things are about to get interesting.

  11. Fed has two choices: print or let the system perish.

  12. or print and the system will perish anyway

    I like to call it a reset or reboot.

    USA v2.01 a radical change

  13. I'm surprised this article hasn't gotten any air play from the gold sites I visit.

    California on 'verge of system failure’

  14. Dave

    Thanks so much for the info you provide. For those of us without a background in economic matters, trying to understand it all is at times overwhelming and you make some of it easier to comprehend. For that, I am extremely grateful.