Welcome to the American Revolution II

Welcome to the American Revolution II
But when a long train of abuses and usurpations, pursuing invariably the same object evinces a design to reduce them under absolute despotism, it is their right, it is their duty, to throw off such government, and to provide new guards for their future security.
"We face a hostile ideology global in scope, atheistic in character, ruthless in purpose and insidious in method..." and warned about what he saw as unjustified government spending proposals and continued with a warning that "we must guard against the acquisition of unwarranted influence, whether sought or unsought, by the military-industrial complex... The potential for the disastrous rise of misplaced power exists and will persist... Only an alert and knowledgeable citizenry can compel the proper meshing of the huge industrial and military machinery of defense with our peaceful methods and goals, so that security and liberty may prosper together."Dwight D. Eisenhower

Sunday, April 17, 2011

The Day the Dollar Died

Could this be the day the dollar dies? 

Either we will go more into debt (QE3), or Inflation/hyperinflation could occur on this day. For all you mutual fund holders out there...SELL! 

I just did last week and felt a huge sigh of relief. Time to buy food, a newer car, and maybe more metals. Also thinking of investing in the cost of oil. I believe it to go above $200 a barrel in the next 18 months or so.

Plus, even Wal-Mart is admitting inflation will occur.

 BRICS credit: Local currencies to replace dollar

SANYA: Brazil, Russia, India, China and South Africa - the BRICS group of fastest growing economies - Thursday signed an agreement to use their own currencies instead of the predominant US dollar in issuing credit or grants to each other.

The agreement, the first-of-its-kind, was signed at the 3rd BRICS summit here attended by Indian Prime Minister Manmohan Singh, China's Hu Jintao, Brazil's Dilma Rousseff, Russia's Dmitry Medvedev and South Africa's Jacob Zuma.

"Our designated banks have signed a framework agreement on financial cooperation which envisages grant of credit in local currencies and cooperation in capital markets and other financial services," Manmohan Singh told reporters at a news conference with other BRICS leaders.

But the agreement is confined to credit and not trade. BRICS economies hold 40 percent of the world's currency reserves, the majority of which is still in US dollars.

The BRICS summit is being held in the coastal city of Sanya in China's Hainan island.

The joint presser was held after the leaders held deliberations on the international situation, and financial, development, climate and security issues.

Manmohan Singh said: "We have had very fruitful discussions. We have reviewed the international situation, discussed international economic, financial and trade issues, the challenges of sustainable development, food security, energy security and climate change."

The grouping is significant because it is expected to have a healthy global presence in the future as the member-countries are the fastest growing economies and are projected to contribute 48 percent to the global economy in the next decade.

At present they account for 40 percent of the world's population and 20 percent of the global Gross Domestic Product (GDP).

The government is printing money 24/7 to paper over the bad debts of the housing crisis and Wall Street bailouts. We're about to enter a cycle of hyper-inflation that will devalue every dollar you own... but there is a way to profit! Find out how in this free report.

Talk about deflation, Wall Street's current favorite "phantom menace," has reached near hysterical levels lately. And it's taking the dollar down with it.

The spring slowdown in the economy ignited fear that falling prices and a stagnant economy are on the horizon. Even the Federal Reserve Bank of St. Louis, said recently that deflation is a real risk. 

Facts are facts. The economy is growing, albeit at a snail's pace. 

So, is the dollar really the best choice for safety, quality and security?

Of course not. There's only so long the U.S. government can prop up the dollar. After all, they've spent the last two years printing millions of dollars in bailouts and stimulus packages...
It looks like the day of reckoning is finally here for the U.S. dollar.

And it's not good news for the dollar.

As the year goes on, dollar is looking more and more like a colossal short... One that could wind up being one of the biggest moneymakers of the year - if you've got the guts.

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