by Dave Eriqat
June 23, 2009
from
ErstwhileUrbanWanderer Website
For a long time I’ve recognized that the death
of the U.S. dollar is inevitable. It is so thoroughly debauched that it
should be worthless right now, but it’s also such a vital instrument that
nobody can afford to let it die, at least not yet.
Moreover, as I’ve learned over the years, while
it’s easy to predict what is going to happen – that’s usually just a matter
of logical deduction – it’s nearly impossible to predict when it’s going to
happen. I have to admit that I’ve been awed by the acumen of the
powers-that-be to keep levitated the corrupt system we have today.
I guess when you own the world’s reserve
currency, the world’s most powerful military and have a media empire in your
back pocket you can do pretty amazing things, for a while anyway.
Nevertheless, the other day I ran across an article titled,
Bank Holiday Coming? Prepare?,
that contained a quotation that left me sort of shaken.
The quotation,
attributed to Bob Chapman over at
The International Forecaster,
read,
Some US embassies worldwide are being
advised to purchase massive amounts of local currencies; enough to last
them a year. Some embassies are being sent enormous amounts of US cash
to purchase currencies from those govts, quietly. But not £’s (british
pounds).
Inside
the State Dept there is a sense of sadness & foreboding that ‘something’
is about to happen, unknown re a date—just that within 180 days, but
could be 120-150 days.
As I said, for a long time I’ve accepted as
inevitable the death of the U.S. dollar, and I have also anticipated an
eventual nationwide “bank holiday,” so stories along those lines don’t work
me up into a lather anymore.
The above quotation, however, is something
completely new.
The only reason U.S. embassies would be
instructed to purchase massive amounts of other countries’ currencies is if
someone was anticipating that the U.S.’s own currency was going to become
worthless, and as indicated in the above quotation, soon. I contacted Mr.
Chapman, for whom I have great respect and trust, and he confirmed that the
quotation cited above is his own and that he stands behind it, even a month
after writing it.
I read hundreds of articles a week, particularly about international
financial matters, and I’ve been developing a growing gut feeling (not just
a growing gut) that Fall, 2009 is shaping up to be a momentous period. Fall,
2007 was a turning point, when the housing bubble audibly popped. Fall, 2008
was when the banking crises became manifest and the U.S. stock markets
peaked.
It’s increasingly looking as though Fall, 2009
may yield the biggest blow up of all, the acknowledged bankruptcy of the
U.S. Government itself and the destruction of its currency.
Among the myriad tiny clues pointing to Fall, 2009, a few specific,
intriguing ones are noteworthy.
The first is from a guy named
Benjamin Fulford, who, while not exactly inspiring trust and confidence, claims to be
in contact with some of the elites running the world, and much of what he
says sounds credible.
In one of
his recent posts he wrote,
The US financial system may not collapse until September 30th of this year,
according to our latest intelligence. A new, precious-metals backed system
is in place but a split at the highest levels of the US secret government in
preventing its implementation.
Note the date he cites: September 30.
Bob Chapman’s quote –
I don’t
believe Bob and Benjamin travel in the same circles, making their
statements independent – was from his May 20 newsletter.
One-hundred-twenty days from Bob’s May 20 newsletter is roughly
September 20.
At the outside, one-hundred-eighty days from May 20 is
roughly November 20. In addition,
I have long speculated that a
gold-backed currency might be introduced to replace the U.S. dollar, so
Benjamin’s inclusion of that tidbit concurs with my own speculation,
giving it more credibility in my opinion.
Then there is a group named
LEAP/E2020,
independent from both Bob Chapman and
Benjamin Fulford, which
cites
September/October, 2009 as the date of inception of “major upheaval”:
On the contrary, because the origins of the
crisis remain unaddressed, we estimate that the summer 2009 will be
marked by the converging of three very destructive « rogue waves » (2),
illustrating the aggravation of the crisis and
entailing major upheaval
by September/October 2009.
Specifically, they anticipate debt defaults by
the U.S. and U.K. governments and a “Wave of terminal crisis for the US
Dollar, US T-Bond and GBP.” (Recall from Bob’s quote above that the U.S.
embassies are not to buy British pounds.)
Since the U.S. Government must borrow one half
of its annual budget today, amounting to $1.8 trillion of borrowing in a
single year, what will happen if it is unable to raise that sum? The U.S.
Government currently spends approximately half a trillion dollars annually
on debt service. If it cannot borrow the money to service that debt, then a
default will occur. If it resorts to printing money to service the debt,
then that’s simply a disguised form of default which would hasten the U.S.
dollar’s demise.
The formerly inconceivable notion of a U.S.
Government debt default is no longer inconceivable.
Then there is this article, titled The Hammer Drops (below insert),
by Douglas McIntosh, who also cites Fall, 2009 as an ominous date.
Referring to a coming wave of state and local government fiscal crises
beginning after July 1, 2009, he writes,
The Feds will follow them starting on
October 1st, the beginning of the new Federal fiscal year 2010.
|
The Hammer Drops
by Douglas
McIntosh
June 17, 2009
from
SteveQualey Website
If I had to describe myself in this moment of economic chaos, I
would say I am the grizzled sergeant, war weary, caught in the zone
of instinctive awareness that combat veterans have.
In order to survive you become a
detached, cynical professional. In the sense of college degrees I am
a rank amateur. However, over the last decade I have called the
economic sphere pretty well. Perhaps the timing has been off, but I
have nailed the trends perfectly. It takes a while for a two inch
garden hose to fill a swimming pool, but it will fill it.
Likewise, the endless debt, credit and
bubbles of the last 25 years are finally reaching critical mass. It
is no longer a matter of whether we have an economic collapse. No it
is a matter of the scope, the intensity and the social chaos that
economic collapse causes. My moniker over at Tree of Liberty is
Doomer Doug, so I know what I am talking about. In a phrase, it is
not coming: it is here.
Way back when Hurricane Andrew hit Florida, nobody took it seriously
until Television stations starting showing the satellite pictures of
a storm that stretched from North Carolina to the Bahamas. Only then
did the so called Sheeple start to prepare. That is just the way
things are in modern America. Since Shillovision is telling us
fantasies about green shoots, economic recovery etc. etc. etc. the
Sheeple, as evidenced by the rising consumer confidence numbers, are
buying into the delusional euphoria stage. We are seeing green
shoots all right, but they are the first plant tendrils from "Little
Shop of Horrors."
Here is what I see coming in the economic sphere over the next few
weeks and months. The first thing to understand that this debt
soaked edifice, this leaning tower of endless debt is finished. One
of the things I have hammered home repeatedly in my writings is the
capacity to issue debt, by government at all levels; the capacity to
borrow debt, by consumers, corporations et al, is kaput.
We are on a cash and carry basis now.
Have been for at least a year now. For an economy that is based upon
endless credit and debt, regardless of the capacity to service that
debt, or pay it back in plainer terms, this is fatal. It is not a
shotgun blast to head, a quick, bloody death; instead, it is a
shotgun blast to the stomach, a slow, painful bleeding out.
The difference between slashing your
Carotid artery in your neck and slashing your wrists. The result is
the same, although the time frame is not. Bluntly put, we are now at
that point in time when the fundamental economic reality, the
fundamental government, corporate and consumer model no longer
works.
Recent headlines tell us that credit card problems are on the rise.
Recent headlines tell us that one in nine Americans are now on food
stamps. Recent headlines tell us that record numbers are on
unemployment insurance. Recent headlines tell us that government, at
all levels, are being bled dry by declining tax revenues. Revenues
that many states, counties and cities are trying to replace with a
massive wave of tax increases.
Up here in Oregon the legislature just
passed a $1 Billion dollar tax increase, including a massive tax
increase on hospitals to pay for low income health care. Well, all I
can say is beating a dying horse only makes it die quicker. The
taxpayer turnip is bled dry. There is no more money to be extorted
from the long suffering American taxpayer. All that lies in the
future on that front is a rapid governmental spending collapse.
California, it is said, leads the nation. In that case, the economic
collapse I have long predicted is imminent. The Austrian weight
trainer Arnold, married into the Kennedy/Shriver clan so he could
presumably run for President someday, has now opened the lid on the
economic version of Pandora's Box.
I'm afraid once it is opened it will
not be closed. Arnold may be playing a game of chicken with our
other foreigner, Obama the Great, in order to get Federal bailout
money to spray perfume on the rotting corpse called the California
economy. Or Arnold may have decided to get tough with the liberal
extremists masquerading as Democrats in California's legislature.
At this point it really doesn't matter
who intends what, or why they intend it, or even how they intend it.
The simple economic reality is the money isn't there. While this
seems clear to average people, this simple fact seems to bounce off
politicians like tennis balls off an aircraft carrier.
What is going to happen, rapidly, very rapidly after July 1st,
the beginning of fiscal year 2010, is the government is going to
implode at state, city and county level. Not reduce. Not cut back.
Not make "tough decisions." Not "tighten the belt." No, what is
going to happen is the social net is going to look like a piece of
paper after it has gone through a shredder.
And when that happens, as it must, the
level of social chaos will skyrocket. Does anyone think people will
tolerate spending $106 Billion to keep the wars in Iraq and
Afghanistan going when California ends welfare? Is anyone that
naive? Is anyone that detached from the daily struggle of the urban
mob to pay rent, utilities, buy food and the like. Because if they
are, then they are going to be seriously surprised when East Los
Angeles starts to resemble Beirut or Baghdad.
It is clear to me as the local government implodes the pressure on
the Federal government to do something will be overwhelming.
Absolutely overwhelming. Which will mean the Federales will seize
even more control than they have already. The current headlines
about wanting to give the Federal Reserve, that corrupt, venal
banking oligarchy, even more powers come to mind.
Give more powers to the very banks
that have looted and pillaged with impunity the American Republic.
This is not giving the fox control of the hen house, it is giving a
pedophile control of an orphanage. At any rate, as the Feds attempt
to stall the local collapse they will only hasten their own. Much as
a drowning person pulls under their rescuer. Despite the unlimited
use of the printing press by Braying Bernie, the foreigners smell a
rat.
The most significant economic story of
the last month, in my opinion, was the fact Chinese students
laughed, openly laughed, when Turbo Timmy told them the dollar was
sound.
We are over the edge now. It matters not whether you believe me or
not. The California treasurer says they will run out of money in 50
days, around July 30th or so. One month into the new fiscal year of
2010 California is going to crash and burn like a gasoline tanker on
the freeway. The resulting fire will melt the asphalt, burn the
median grass and raise a smoke plume high into the sky.
Where California leads, other states,
counties and cities will follow. After that, the desperate and
increasingly befuddled Obama administration will also follow. And
so, just as a group of mountain climbers, tied together for their
ascent fall into a crevice, all levels of government will implode by
years end. There is no other way to put it.
The states, cities and counties are
going down starting July 1st. The Feds will follow them
starting on October 1st, the beginning of the new Federal
fiscal year 2010. The one in which Obama will need to borrow another
2 TRILLION.
Borrow it from foreigners who laughed
at Turbo Timmy. Borrow it from Russians, Chinese and Arabs who know
we are a debtaholic. Russians and Chinese who are even now meeting
in Russia to replace the US fiat dollar as the global reserve
currency.
The USA will end not with a bang, or even a whimper, it will end
with a computer click, when the foreigners dump our fiat dollar,
dump our worthless treasuries, but buy our hard assets; our farms,
our bridges, our roads, our sea ports, our airports and our
infrastructure.
After all, they have bought off our
politicians and elite classes for decades now.
So why not spend their worthless,
toxic paper on the real America? |
Then there is the mystery of the
Japanese
couriers carrying $134.5 billion in “U.S. bonds,” which certainly seems
consistent with an imminent demise of the U.S. dollar.
I mean, if you were an “insider” and knew that
the dollar was about to expire, wouldn’t you take steps to protect yourself
by quietly getting rid of your dollars?
Additionally, the article that referenced Bob
Chapman’s newsletter cited above included this interesting sentence, also
relating to Japan,
Bob quotes another source that “Panasonic
has told their people to be back in Japan by Sept 09.”
In my reading, I have run across many diverse
clues from independent sources, most of them tiny, but collectively creating
an ominous pattern that appears ready to visibly emerge in the fall of 2009,
between the end of September and the end of November.
To tell the truth, I honestly hope I’m wrong and
that things just keep going the way they are going, for even I have no idea
how to cope with a currency that suddenly becomes worthless.