GERALD CELENTE Gives His Thoughts on GOLD, U.S. DOLLAR COLLAPSE, OIL PRICES & more
The
Swiss gold initiative has come and gone. It can be summarized as much
ado about nothing. Even if it had passed, the initiative would have had
no real impact on the central bank’s ability to print money or conduct
monetary policy.
The central bank is currently defending a 1.2
Swiss-francs-to-the-euro floor. By pegging its currency, the Swiss
central bank has basically opted to follow its neighbor’s excessively
easy monetary policy. To keep the peg, the Swiss central bank has been
purchasing euros by printing Swiss francs. The central bank then returns
the euros to the Euro money supply by purchasing European government
bonds. It could have just as easily used those euros to buy dollars for
gold. In either case, the euros or dollars are returned to the market,
and therefore the Swiss action does not influence the respective Euro or
US money supplies. We must remember that exchange rates are determined
by differences in monetary growth rates and anticipation of what those
differences will be in the future.
The Swiss government and Swiss
central bank opposed the initiative. This should not be surprising. It
is standard government policy to use fear tactics to justify continued
government theft. The fiat money system hates gold. Banksters love the
faith- and fraud-based ability of paper and never tire of dissing
currencies based on physical commodities such as gold or silver.
Adopting
a gold standard will shut down the printing presses and not allow the
financial elite to manipulate the money supply and perpetuate the
fractional reserve scam which is a monumental form of embezzlement and
thievery.
It turns out the ISIS scam driving the war machine of
the state may also serve the propaganda purposes of the financial elite
and the central bankers. Back in March, at a time when the IMF reported
that Ukraine’s official gold holdings as of the end of February, so just
as the State Department-facilitated coup against former president
Victor Yanukovich was concluding, amounted to 42.3 tonnes or 8% of
reserves. Oil prices fell to their lowest in five years on Monday, hit
by slowing factory activity in China and Europe and hammering emerging
market stocks and commodity-linked currencies. Paul Craig Roberts –
former Assistant Secretary of the Treasury under President Reagan,
former editor of the Wall Street Journal, listed by Who’s Who in America
as one of the 1,000 most influential political thinkers in the world,
PhD economist – wrote an article yesterday about the build up of
hostilities between the U.S. and Russia titled, simply: “War Is Coming”.
In the article, Roberts notes:
Russia may ban the circulation of the United States dollar.
The
State Duma has already been submitted a relevant bill banning and
terminating the circulation of USD in Russia, APA’s Moscow correspondent
reports.
If the bill is approved, Russian citizens will have to
close their dollar accounts in Russian banks within a year and exchange
their dollars in cash to Russian ruble or other countries’ currencies.
Otherwise their accounts will be frozen At present, US dollar accounts
for roughly 61% of the world’s foreign exchange reserves.
It’s
still a safe bet for most, not because the currency is actually strong,
but because so many others are already so reliant on it.
Between
those with reserves in and pegs to the US dollar, many countries have
given their allegiance, and now have a vested interest in the health of
the currency. Due to this common interest, a sort of unofficial,
involuntary alliance has been formed between them all.
The Cold
War 2.0 is going hot, and while it may someday be fought with planes,
tanks, guns and bombs, the first front is being fought with oil and
shale gas.
The U.S. and European sanctions against Russia will
become more severe and crippling in the face of drastically falling oil
prices – prices which are falling drastically because of the
unprecedented boom of shale gas fracking both domestically in the U.S.
and abroad in Ukraine and other locales.
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