War on the dollar begins!

China isn't about to slit the wrists of it's best customer....as doing so would be like slitting their own.

That's kind of one of the best things about globalization (you don't war with your trading partners).

If the dollar falls significantly, you'll see higher prices, less purchasing, and of course, less business for China. I'm sure they are well aware of this, and this is being made to be far more impactful than it really is....

Originally posted by Gazrok
China isn't about to slit the wrists of it's best customer....as doing so would be like slitting their own.

2nd biggest customer

Originally posted by BitRaiser

So OPEC has the US by the short 'n curlies. They'd never consider moving away from the US dollar as their oil standard trade currancy, tho... right?

Err...

OPEC is considering a move away from using the U.S. dollar — and to the euro — to set its price targets for crude oil, the highest-profile manifestation of the debilitating effect of depreciation on the greenback's standing as the currency of international commerce.

Time to be getting worried.

The thing to remember here is there still are alot of question marks about the Euro. THe US dollar on the other hand has always come through. It has been the currency by choice for a reason. The Euro is still on shakey ground in my opinion.

Originally posted by behindthescenes
Well, it's finally started. Now the question remains: Just how bad will it get?


China is claiming that it will be replacing some of its currency reserves in U.S. Dollars with precious metals. Just the threat alone caused the dollar's value to tumble today.

back over 20 years ago, Japan had America by the ching-a-deras,
Japan held mega ammounts of Treasury Notes because of out trade deficit spending habits.....also Japan started buying up properties, buildings, golf courses-> and then the Americans' went crazy-wild about foreigners taking over the U.S. by buying up everything!

this present China trade deficit isn't too much different !

but instead of China buying up USA properties and infastructure like Japan did (for awhile) China is instead going the route of 'investing' in commodities/resources such as Gold etc.

No-body has brought up that Russia has started a policy that all domestic Gold (and possibly other precious metals) that is produced will not go into World-Wide markets---
their domestically mined Gold will be retained internally in Russia. [good move]

Both China & Russia along with the various countries comprising the Muslim Nation
are going to be hoarding Metals & Gold as opposed to dealing 100% with the US Petro-Dollar as their sole Reserve-Currency, held by their Central Banks!

If anything, this is not a totally bad thing....money exchange/ value exchange is a wealth creating process- -> everyone benefits! (if only the money changers-shareholders-hedge funds investors...)

but, yes, the US (and others) are on a downward spiral, the economy & the housing bubble will implode, the Globalists' trading dollar will deflate...the domestic dollar will stagnate or hyper-inflate in the course of the next 3-7 years

If your not preparing to survive, that's your own fault

Originally posted by XphilesPhan

Originally posted by behindthescenes


Dude, the US 's greatest export is FOOD! WE ARE MOSTLY INDUSTRY AND FARMLAND!

I dont think we will starve.

however, I believe we should stop exporting food. period.

I agree except we are mostly arms dealers, not really industry anymore.
Since greed overcomes sense, they want to rape the resources of our great nation for the quick buck, I'm not sure we will be the breadbasket for much longer. Corn that is grown in nitrate-saturated dead soil, seems to not feed the cattle as well as organic corn grown with plain ole manure. It seems the corn is missing Vit A + D as well as minerals when grown in dead nitrate-saturated soil. And it isn't just corn that is grown with petro fertilizers . Factory-Farming food and animals isn't good for the US in the long run. With factory farms and mega-automated wheat fields, it seems that just one bad year, or one bird flu, or one beef disease, and we become more vulnerable- kinda like the potato blight in Ireland.

As for the dollar going downhill, it seems that I have contributed by jacking up my credit card debt to the American average of $5,000. Do you know many working class americans who can save $10,000 for a down payment on a $250,000 house anymore?
I don't believe in pure capitalism, and I don't believe that corporations should be treated like an individual. I don't believe that the businesses should be taxed, I believe that the shareholders should be. (like that will ever happen)

There are few big corporations that are not multinational anymore, they really don't have anything to worry about with the dollar because currency can be exchanged- efficiently and worry-free.
We went to Iraq so that cheney could make alot of money, And Scrubby can get even with Saddam. The oil wasn't really going to us, but it seems we own alot of it now. I don't know why the neocons are crying about it, the arms industry is making a mint. and since Americans can be proud to be at the top of the list of arms dealers, we know we can count on those multinational companies to support us when the chips are down- RIGHT????
As for the minimum wage- most people working in fast food, cashiers, etc. already make $7-8/hr here in Phoenix, not $5.15. It hasn't made the burgers, merchandise cost more to the consumer. And it doesn't apply to illegals

Last I checked (and any economist will tell you), precious metal isn't the base of global currency anymore....confidence in a country's economy is. Therefore putting away some money in this form is kind of backward's thinking, but then again, China does this occasionally. Must be tough trying to maintain a communist government while also trying to have a capitalist-type economy....seriously...so they're hedging.

Regardless of the doom and gloom, we're still the big boy on the block, and virtually all industrial nations' economies are growing, us included. Simply put, it's better for EVERYONE to maintain the status quo...

China is on the rise, but still a long way to go. The US dollar should be more concerned with the EU and the Euro. With just a few more member nations, it's output could eclipse the NAFTA trading bloc....

Originally posted by Gazrok
China isn't about to slit the wrists of it's best customer....as doing so would be like slitting their own.

That's kind of one of the best things about globalization (you don't war with your trading partners).

If the dollar falls significantly, you'll see higher prices, less purchasing, and of course, less business for China. I'm sure they are well aware of this, and this is being made to be far more impactful than it really is....

China also desires power, and the ability to spread its own influences around the world, much like America does. Would they break an arm to take our head? Why not. It would be a depression but they would rise above us. They only reason we are still #1 is because no one (big nation) has had the balls to provoke us into battle.

Originally posted by tha stillz

Originally posted by djohnsto77
The Democrats seem to absolutely demand a higher minimum wage, which will cause inflation, and devalue the dollar in relation to other currencies.

But who foots the bill for the increase? Product will not substantially go up in price, I wouldn't think, it will be rich shareholders, and execs that would notice and, really, who gives a sh/t about them?
I don't

I don't either since their earnings have no basis in reality at all. The market system claims it is talent that they are buying but there is no guarantee of performance is there? Also the wolf is in charge of running the hen house which is risky indeed.

www.optimist123.com...
is it raelly that bad..... i think not. they need us more than we need them. thats not saying that they are not a huge enemy but really is it that bad? i think not.

Originally posted by BitRaiser
Read the articals I linked to.
If you aren't worried about the impact this could have, you don't understand the situation.

Edit:

In a nutshell:
The problem is that almost every country holds a reserve of US dollars because that is currently the only currancy that you can buy oil with. This it the primary reason that the US is able to support such an insane national debt. If OPEC changed their standard from US Dollars to Euros, all those countries would dump their reserves in favor of Euros. With all that dumping going on, the US Dollar would devalue at a catistrophic rate.

It could easily drop BELOW the level of the Mexican PASO!


[edit on 9-11-2006 by BitRaiser]

Right there you've revealed you don't have any idea what you're talking about. America's debt burdon is rather modest (64% of GDP), is lower than the EU zone and the majority of industrialized nations and is shrinking.

A few moments of research would have clued you in.

BTW if China dumps all her dollars and America goes into depression, who would be in bigger trouble? America who buys stuff from China or China who sells stuff to America?

I hate to call us here prophets, but as some posters had raised concerns, it seems the war against the dollar is spreading.

This time to Iran.

Iran has issued a policy directive to keep dollar transactions to a "minimum."

Arguably, this is pure politics and nothing to do with the validity or the security of the dollar. But it's another volley in the war that, I believe, will spiral further and further out of control in the coming year.

Is this a war of our dollar versus theirs? And when I say theirs..do a search on all the different currencies there are in the world.

And you worry about the American Dollar. I LAUGH.

Is this a concern about right and wrong, or a concern about I cant drive my SUV?

That I cant exploit the world on the backs of other men? Of the 200,000 people that starve to death every day? I suggest we all step back and do a reality check.

Do a Google search on Yahehu. Its a CNN transcript. I woke up speaking the name.
Read the story. Hes dead. No one crys for Yahehu.

The people in China, Like the people in Iran need to eat, just like you do.
By putting lables and creating disparity between nations and currencies, one assembles the compents of war.

A bushell is a bushell. People starve while their currencies buy bullets and bombs.

How wrong are we!?

You want to bomb Iran because they arent using our Dollars?
You want to do business with China despite human rights violations?

I suggest the business world check itself. The dollar is the topic.

Humanity and a better world for all is what we should be shooting for.

Peace

[edit on 15-11-2006 by HIFIGUY]

[edit on 15-11-2006 by HIFIGUY]

Older thread, but it seems the prediction has largely been correct, although there's been more rhetoric than action against the dollar.

Chalk this up to the latest bluster against U.S. economic power: China general says punish U.S. by selling bonds.

Interesting to see you bumping this old thread, and good to see you're still around Lately, I have been reading various of these old threads from 2006 and one thing that I found pretty remarkable is that those patriots who made fools out of US for our doom scenarios have now disappeared in thin air while our claims are swiftly becoming reality.

Well, then, CHINA has the right idea if you think they are considering PRECIOUS METALS as a Base. Metals beat PAPER any day. The whole world is on some dagblamed FIAT money backed by nothing more than BAD BREATH!

We all better learn how to start speaking a lil CHINESE and HINDU because our economy is so ASIAN-dependent soon every baby born in AMERIKA will be STAMPED: MADE IN CHINA! And Birth will be OUTSOURCED to INDIA!