"The U.S Dollar is quickly losing its status as the world reserve currency. Five of the top ten economies in the world, plus a few others, no longer use the dollar as an intermediary currency for trade. This trend poses a huge risk to the dollar and the United States along with it.

ZeroHedge points out today that Australia, the world's 12th-ranked economy, has now joined a growing list of nations that have agreed to bypass the dollar in bilateral trade with China. China, ranked 2nd behind the U.S., also has similar agreements with Japan (3rd), Brazil (6th), India (9th), and Russia (10th).

Although unilateral agreements have been in place for some time between China and the countries listed above, last week the BRICS (Brazil, Russia, India, China and South Africa) agreed to set up a development bank to compete with the IMF, indicating it's gearing up to compete in a post-dollar world.

Additionally, Brazil, who agreed in principle to drop the dollar with bilateral trade with China some time ago, just made it official with $30 billion in annual currency swaps which will facilitate around 50% of all trade between them.



Besides those agreements with China, some of these nations have made other similar agreements with each other. India and Japan began swapping $15 billion in each other's currency in 2011 to handle their bilateral trade. And the sanctions against Iran haven't stopped them from trading oil with China, Russia, and India in anything but the dollar."                Wont be too much longer the dollar will be worthless here and we'll find out what the 1.6 billion bullets are for.

Can't wait.


--Steve

IMF & World Bank,, both evil. Look at the countries that have "Needed to be liberated from their ( often democratically elected) leaders" since the 80's. Diary of, or tales of, I cant remember,, something about "Economic Hit Man",, tells how IMF & World Bank try to get national leaders to take "Loans" & put the nations natural resources & infrastructure up for collateral., ALL The While, the real agreement is to NOT repay the loan, but by defaulting, the country gets effectively taken over by the Globalists behind the IMF & W.B... Notice what happens when someone Wont play ball?

Hussein, Gaddafi,, & some of the guys in south america who got clobbered in the 70's & 80's.

&, when the dollars that are "Out there" are no longer needed for international trade, the holders will eventually send them home. Thats gonna be double pain, as we will have inflation coupled with a decreasing demand for our dollars. As the value of those dollars starts to decline, major holders, like China, are gonna have a big decision to make, Dump their holdings & take the loss or try to prop up the value of the dollar to protect their investment,,My crystal ball doesnt see what they do, but I wouldnt be shocked to see them over here buying the last of the big manufacturers, Hoover Dam, Major utilities, etc, dropping plane loads of bills into our pool of currency, inflating our $$$ supply far beyond the demand for the dollar, & then we will see wheelbarrows of cash to buy a loaf of bread,

I sadly have to concur. It is unfortunate the either that congress either fails to note this or are blindly following the advice of those that do not have the nations interest at heart.

I had not thought of China as spending their dollars on US resources, good catch. Something to watch for as a marker. I do know that China has made some large land purchases in the last year, supposedly with deals that they can run the extraction of resources without honoring US labor laws... though EPA law was not mentioned. I didn't put much stock into it at the time.

The best I can do is to keep my debt as low as possible, and I bought just a tad of metals... nothing that would last long if I had to spend it.

Of course my investment in ammo... has done very well! If I had a mind to I could double or triple my money.

Silly how 17 pounds of "free" wheel weights has gone up in value.

bill67 wrote on 04/02/13 at 15:57:01:


I am soo glad I got here before this little gem mysteriously disappears. Ok, wiping tears away...ok so you are blaming Richard Nixon for the sorry state the union is in because he opened diplomatic relations with China in 1972. 41 years ago Nixon began to ease the relationship between China and the West and that is why Obama is printing reams of dollars and increasing our debt by the trillions???

Is the "Blame Bush" mantra running out of steam now? I'm pretty sure you could cover for Obamas failures by blaming something on every Republican president since 1900 but please expect to be mocked and ridiculed for these statements. I will refrain from the brutal sarcasm to which I could have written here as a gesture of respect for your views, more respect that I have received from liberals for mine.

Dane Allen wrote on 04/02/13 at 16:59:26:

If it wasn't for Nixon Wal Mart wouldn't have anything to sell.

Nixon must have made some money,He took a early retirement from the White House.

bill67 wrote on 04/03/13 at 03:50:15:


Ok, that is pretty funny