Archive

Posts Tagged ‘currency’

What Would Fractional Silver Mean?

May 30, 2011 1 comment

infowars

In Mid-may of this year, something curious happened, which I’d not seen before.

I’ve been following the course of where the dollar was heading and how it related to the pricing of gold and silver.  Typically, I follow a number of sources for information, then try to wrap all those opinions into something concise, allowing me to share it with others.  Most everyone following precious metals knows how GATA has been beating the drum about gold manipulation for quite some time now.  History (past and current) is a very good place to start down the rabbit trail.

Informed people (like Paul Craig Roberts, Bob Chapman, Gerald Celente, Robby Noel, Lindsey Williams) have also helped shape a number of my opinions and speculations regarding where this economy is heading.  Again, these are all very credible individuals who’ve been reporting on “real” financial issues for a number of years, if not decades now.  And, even though it can be a bad habit, tune into the mainstream media to hear what they are trying to make the public believe for that moment.  Every so often, they slip and Read more…

China Inflation Is `Somewhat Out of Control’ on Weak Currency, Soros Says

April 12, 2011 Comments off

China’s decision to keep its currency weak has caused the government to lose control of inflation and risks fuelling wage-price gains, billionaire investor George Soros said.

While the policy helped insulate China from the financial crisis in 2008, the world’s second-biggest economy has missed its chance to allow the yuan to appreciate to tame inflation, Soros, chairman of Soros Fund Management LLC, said yesterday at a conference in Bretton Woods, New Hampshire.

“It would be very advantageous to allow the currency to appreciate as a way of controlling inflation,” Soros said. “The authorities missed that opportunity. You now have inflation somewhat out of control, and causing some serious danger of wage-price inflation.”

The yuan gained 4.6 percent against the U.S. dollar in the past two years, the second-smallest gain of 10 Asian currencies tracked by Bloomberg, even as economic growth rebounded and foreign-exchange reserves jumped to a record. Inflation accelerated to Read more…

Look Out Above for Gold and Silver Prices

April 8, 2011 Comments off

usawatchdog

By Greg Hunter’s

Gold hit another all-time high yesterday, closing well over $1,450 per ounce.  Silver’s closing price of more than $39 per ounce is the highest it has been in 31 years.  Why the big jump in gold and silver prices?  The answer is pretty scary because there are many reasons precious metals are heading higher.  Let’s start with the most obvious —inflation.  Kitco.com reported yesterday, “The precious yellow metal got a fresh influx of investment buying based upon heightened inflationary expectations, safe-haven demand and a weakening U.S. dollar index.” (Click here for the complete Kitco.com story.) You can give the same reasons for rising silver prices.

In the case of silver, many experts say it is way undervalued and will outperform gold as Read more…

The Deadly Effect of Fiat Currency

April 7, 2011 Comments off

wealthcycles

Many of the world’s woes can be attributed to our global fiat currency system—price inflation, food shortages, political instability, and speculative booms and busts. But perhaps the most devastating and horrible of the consequences of our fiat currency system  is the terrible and unceasing prevalence of war. Today, we wince as we watch the U.S. enter into a third current foreign conflict, under the guise of a multi-national, humanitarian Libyan intervention. Yet, with the amount of excess currency flooding the global economy and the U.S. Federal Reserve’s seemingly limitless willingness to create more, history tells us it is practically inevitable that the result would be more war.

It is no coincidence that, even in ancient societies, the invention of fiat currency—currency Read more…

U.S. Dollar at 15 Month Low

March 22, 2011 Comments off

midasletter.com

The dollar fell to a 15-month low against a basket of currencies on Tuesday, with sterling among the biggest gainers after a rise in UK inflation increased the chances of a UK interest rate hike sooner rather than later.

Relative interest rate expectations also lifted the euro to its highest against the dollar this year, but a reported options barrier at $1.4250 and a sharp sell-off in euro/sterling following the UK inflation data capped its gains.

Consumer prices in the UK last month rose by 4.4 percent, a 28-month high, and more than double the Bank of England’s mid-point target of 2 percent. Money markets are now fully pricing in a quarter point rate hike from the Bank of England in July, versus August before the data.

The yen, meanwhile, was little changed on the day in a tight Read more…

Soros: Communist Chinese Model Of Order May Become “The Envy Of The World”

March 11, 2011 Comments off

infowars.com

Billionaire investor George Soros has once again cited China’s dictatorship as the model for the rest of the world in a speech at an elite gathering in Europe.

Soros told the exclusive Travellers Club, that “China’s model of state capitalism, in which the interests of the individual are subordinated to those of the government, poses a danger if its example becomes“the envy of the world.”

“Perfect order and global governance are not realistic expectations.” Read more…

China Takes Giant Step Towards Making the Yuan the World’s Reserve Currency

March 3, 2011 Comments off

globalresearch.ca

For years, I’ve been writing about the long-term decline of the Dollar, and the rise of the Chinese Yuan … and it’s potential to become the world’s next reserve currency.

As I pointed out in 2007, many countries have started moving out of the Dollar as the basis for international trade settlements, including:

  • Venezuela and 12 other Latin American countries as well as Cuba
  • Many other countries

In 2008, I wrote: Read more…