Post by floridanative on Mar 24, 2011 10:11:22 GMT -5
The U.S.Dollar
« Thread Started Yesterday at 3:35pm »
Open site for complete article,
www.stansberryresearch.com/pro/1011PSIENDVD/PPSIM341/PR
The New York Times reports that: "now, many shops in China no longer accept dollar-based credit cards issued by foreign banks... and foreigners cannot convert American dollars into renminbi beyond a given quota."
Iran, of course, has already moved all of its reserves out of U.S. dollars, and Kuwait de-pegged it's currency from the dollar a few years ago:
Bloomberg News recently reported that China and Russia plan to start trading in each other's currencies to diminish the dollar's role in global trade. "Given the risk to the dollar and U.S. assets from their fiscal position, they want to reduce their dependence on the dollar as an invoicing currency," said Bhanu Baweja, of UBS bank.
It's even happening here in the USA
Most Americans don't know that some states in the Mid-West are already using "alternative currencies"...
An NBC News affiliate in Michigan reports that
"new types of money are popping up across Mid-Michigan and supporters say, it's not counterfeit, but rather a competing currency. Right now, for example, you can buy a meal or visit a chiropractor without using actual U.S. legal tender."
What most Americans don't realize is that this is all totally legal.
The U.S. Treasury Dept web site says that, according to Coinage Act of 1965: "There is... no Federal statute mandating that a private business, a person or an organization must accept currency or coins as for payment for goods and/or services."
I saw one report that says there are now 150 of these alternative local U.S. currencies being accepted around the country!
USA Today reports that the largest of these local currencies is a currency called "Berkshares," which are being used in the Berkshires region of western Massachusetts.
According to the paper:
"Since its start in 2006, the system, the largest of its kind in the country, has circulated $2.3 million worth of BerkShares."
And even in places that do not yet have local currencies, store owners may now actually prefer foreign currencies rather than U.S. dollars...
In Washington, DC, just 25 miles from my office, some stores have begun accepting euros. Of course, the euro isn't much more stable than the dollar right now. But my point is that most people don't understand there is NO FEDERAL REQUIREMENT in the United States for a private store to accept dollars for non-debt transactions.
You see, no matter what the government decides, stores and businesses will accept whatever they believe is a strong currency.
As Texas Representative Ron Paul wrote recently:
"If you walk into a 7-11 to buy a soda, the clerk doesn't have to accept your dollars, he could demand euros, silver, or copper. But because legal tender laws backing the dollar have caused the dollar to drive other currencies out of circulation,
« Thread Started Yesterday at 3:35pm »
Open site for complete article,
www.stansberryresearch.com/pro/1011PSIENDVD/PPSIM341/PR
The New York Times reports that: "now, many shops in China no longer accept dollar-based credit cards issued by foreign banks... and foreigners cannot convert American dollars into renminbi beyond a given quota."
Iran, of course, has already moved all of its reserves out of U.S. dollars, and Kuwait de-pegged it's currency from the dollar a few years ago:
Bloomberg News recently reported that China and Russia plan to start trading in each other's currencies to diminish the dollar's role in global trade. "Given the risk to the dollar and U.S. assets from their fiscal position, they want to reduce their dependence on the dollar as an invoicing currency," said Bhanu Baweja, of UBS bank.
It's even happening here in the USA
Most Americans don't know that some states in the Mid-West are already using "alternative currencies"...
An NBC News affiliate in Michigan reports that
"new types of money are popping up across Mid-Michigan and supporters say, it's not counterfeit, but rather a competing currency. Right now, for example, you can buy a meal or visit a chiropractor without using actual U.S. legal tender."
What most Americans don't realize is that this is all totally legal.
The U.S. Treasury Dept web site says that, according to Coinage Act of 1965: "There is... no Federal statute mandating that a private business, a person or an organization must accept currency or coins as for payment for goods and/or services."
I saw one report that says there are now 150 of these alternative local U.S. currencies being accepted around the country!
USA Today reports that the largest of these local currencies is a currency called "Berkshares," which are being used in the Berkshires region of western Massachusetts.
According to the paper:
"Since its start in 2006, the system, the largest of its kind in the country, has circulated $2.3 million worth of BerkShares."
And even in places that do not yet have local currencies, store owners may now actually prefer foreign currencies rather than U.S. dollars...
In Washington, DC, just 25 miles from my office, some stores have begun accepting euros. Of course, the euro isn't much more stable than the dollar right now. But my point is that most people don't understand there is NO FEDERAL REQUIREMENT in the United States for a private store to accept dollars for non-debt transactions.
You see, no matter what the government decides, stores and businesses will accept whatever they believe is a strong currency.
As Texas Representative Ron Paul wrote recently:
"If you walk into a 7-11 to buy a soda, the clerk doesn't have to accept your dollars, he could demand euros, silver, or copper. But because legal tender laws backing the dollar have caused the dollar to drive other currencies out of circulation,
it is easier for stores to accept dollars."
Well, all that is quickly changing...
Many places in Texas now accept Mexican pesos for payment. "Euros Accepted" signs are popping up in of all places: Manhattan. And not only Manhattan, but in New York's favorite summer playground... the Hamptons.
There, an art gallery assistant was quoted by The Real Deal: "I wouldn't want to discourage a sale in any way because of a currency issue."
And it's not just small stores that are accepting other methods of payment besides U.S. dollars.
The Chicago mercantile exchange the world's largest futures and commodities exchange board), now accepts gold to settle futures contracts. Until recently, the exchange typically accepted only U.S. treasuries and bonds as payment.
These guys obviously see the writing on the wall.
This would have all been completely unthinkable 10 years ago, but today it's a reality. And this trend is going to keep moving incredibly fast.
That is why...
The smartest investors are taking action...
Bill Gross, who probably knows as much about currencies and debt as anyone in the world, runs the world's biggest bond fund. He was quoted by Bloomberg:
"We've told all of our clients that if you only had one idea, one investment, it would be to buy an investment in a non-dollar currency. That should be on top of the list."
Jim Rogers, one of the world's most successful multi-millionaire investors writes:
"The dollar is not just in decline; it's a mess. If something isn't done soon, I believe the dollar could lose its status as the world's reserve currency and medium of exchange, something that would lead to a huge decline in the standard of living for U.S. citizens like nothing we've seen in nearly a century."
I know... you probably still don't believe it can happen here in the United States. But think about it...
Are we as Americans really immune to the laws of economics and finance?
I don't think so.
And every circumstance I know of, in which a government has tried to inflate its debts away, has ended in disaster. It will happen here too.
As Jim Rogers says:
"History teaches us that such imprudent monetary and fiscal behavior has always led to economic disaster."
This is why World Bank president, Robert B. Zoellick, in a speech at the School for Advanced International Studies at Johns Hopkins University, recently said: "The United States would be mistaken to take for granted the dollar's place as the world's predominant reserve currency. Looking forward, there will increasingly be other options to the dollar."
And this is why the International Monetary Fund (IMF) recently published a paper calling for a new global world currency.
A paper entitled "Reserve Accumulation and International Monetary Stability," written by the Strategy, Policy and Review Department of the IMF, recommends that the world adopt a global currency called the "Bancor" with a global central bank to administer the currency.
The report is dated April 13, 2010... and no, unfortunately this is not just a bad rumor.
This is a deadly serious proposal in an official document from one of most powerful institutions in the world.
Do you see where this is all heading?
As Brazilian economist and strategist Ricardo C. Amaral wrote recently:
"The US dollar served its purpose since the end of WW II and became the major foreign exchange reserve currency... [but] the days of the US dollar playing that special role... has reached the end of the line, since today that system is very sick and it is dying a slow death...
Mr. Amaral added that we will soon see: "the major collapse of the US dollar creating the biggest international monetary crisis the world has ever seen..."
This is why gold and silver prices are soaring:
Harv
millionaires.proboards.com/index.cgi?board=main&action=display&thread=38203
Well, all that is quickly changing...
Many places in Texas now accept Mexican pesos for payment. "Euros Accepted" signs are popping up in of all places: Manhattan. And not only Manhattan, but in New York's favorite summer playground... the Hamptons.
There, an art gallery assistant was quoted by The Real Deal: "I wouldn't want to discourage a sale in any way because of a currency issue."
And it's not just small stores that are accepting other methods of payment besides U.S. dollars.
The Chicago mercantile exchange the world's largest futures and commodities exchange board), now accepts gold to settle futures contracts. Until recently, the exchange typically accepted only U.S. treasuries and bonds as payment.
These guys obviously see the writing on the wall.
This would have all been completely unthinkable 10 years ago, but today it's a reality. And this trend is going to keep moving incredibly fast.
That is why...
The smartest investors are taking action...
Bill Gross, who probably knows as much about currencies and debt as anyone in the world, runs the world's biggest bond fund. He was quoted by Bloomberg:
"We've told all of our clients that if you only had one idea, one investment, it would be to buy an investment in a non-dollar currency. That should be on top of the list."
Jim Rogers, one of the world's most successful multi-millionaire investors writes:
"The dollar is not just in decline; it's a mess. If something isn't done soon, I believe the dollar could lose its status as the world's reserve currency and medium of exchange, something that would lead to a huge decline in the standard of living for U.S. citizens like nothing we've seen in nearly a century."
I know... you probably still don't believe it can happen here in the United States. But think about it...
Are we as Americans really immune to the laws of economics and finance?
I don't think so.
And every circumstance I know of, in which a government has tried to inflate its debts away, has ended in disaster. It will happen here too.
As Jim Rogers says:
"History teaches us that such imprudent monetary and fiscal behavior has always led to economic disaster."
This is why World Bank president, Robert B. Zoellick, in a speech at the School for Advanced International Studies at Johns Hopkins University, recently said: "The United States would be mistaken to take for granted the dollar's place as the world's predominant reserve currency. Looking forward, there will increasingly be other options to the dollar."
And this is why the International Monetary Fund (IMF) recently published a paper calling for a new global world currency.
A paper entitled "Reserve Accumulation and International Monetary Stability," written by the Strategy, Policy and Review Department of the IMF, recommends that the world adopt a global currency called the "Bancor" with a global central bank to administer the currency.
The report is dated April 13, 2010... and no, unfortunately this is not just a bad rumor.
This is a deadly serious proposal in an official document from one of most powerful institutions in the world.
Do you see where this is all heading?
As Brazilian economist and strategist Ricardo C. Amaral wrote recently:
"The US dollar served its purpose since the end of WW II and became the major foreign exchange reserve currency... [but] the days of the US dollar playing that special role... has reached the end of the line, since today that system is very sick and it is dying a slow death...
Mr. Amaral added that we will soon see: "the major collapse of the US dollar creating the biggest international monetary crisis the world has ever seen..."
This is why gold and silver prices are soaring:
Harv
millionaires.proboards.com/index.cgi?board=main&action=display&thread=38203