The Day the Dollar Dies

[Shawn B]

What the Dollar collapse might look like:

http://www.youtube.com/watch?v=2N8gJSMoOJc

[glenn kangiser]

I had a look at it.  I hate to speculate on things that may happen - could be that way - or maybe not - so many variables it's hard to tell.

I just try to be ready for anything that might happen no matter which way it goes - self sufficiency and a good network of friends to look out for each other.

With that we don't need their money.

[MushCreek]

I'll be locked in the bathroom, sucking my thumb, until further notice.

[Ajax]

Wow.  More fear mongering from the NIA.  Shocking.

What a joke of an organization

[Proud_Poppa]

Wow.  More fear mongering from the NIA.  Shocking.

What a joke of an organization

I guess i shouldn't be surprised when i see posts like this. I've no idea if something like this WILL happen....but I'm absolutely certain that something like this COULD happen. It should be noted that....to my knowledge....printing large amounts of money has never in the history of civilization done anything but destroyed the country that tried it. But I'm sure I'm just an ill informed alarmist who should bury his head in the sand and continue to be a good little slave.

[Ajax]

Wow.  More fear mongering from the NIA.  Shocking.

What a joke of an organization

I guess i shouldn't be surprised when i see posts like this. I've no idea if something like this WILL happen....but I'm absolutely certain that something like this COULD happen. It should be noted that....to my knowledge....printing large amounts of money has never in the history of civilization done anything but destroyed the country that tried it. But I'm sure I'm just an ill informed alarmist who should bury his head in the sand and continue to be a good little slave.

Suggest you watch this

http://www.youtube.com/watch?v=U0LrDzJRMRI

[MushCreek]

It always amazes me that Americans solidly believe that nothing bad will ever happen to us. Maybe that's what makes us a great country, but I have a feeling that every great empire has firmly believed in itself well past the point of no return. To me, it's not a matter of if, but how and when.

[glenn kangiser]

I agree with that also.  We are occupying and policing the world, making enemies right and left.  Some of them will want to get back at us even if they only feel they are protecting their own families.  

Meanwhile back at the ranch, the elite are stealing everything in the till.  Laws are made to prevent small farms from selling milk and food.  Everything is for corporate profit, but the ones above and at the top the corporations are so greedy that they will kill the goose that lays the golden egg... the American Middle Class.  What money is available through taxation now and in the future is being ripped off by them and the world bankers before it is even made.  War for profit is expanded beyond control into more parts of the world.  More money is borrowed to pay corporate profits with no idea or concern for where payment will come from.  Politics and the war machine stealing from our kids future and putting our children in harms way for money, oil and power.  The kids volunteer their lives to protect the country.  Their generosity and lives are stolen for corporate profit.

As money and jobs dry up, consumerism stops.  Just one more small screw up in the system could be the straw that breaks the camels back.  Who knows what it will be or when.  All I know is that it will pay to be prepared as well as possible for the inevitable.

[peternap]

It always amazes me that Americans solidly believe that nothing bad will ever happen to us. Maybe that's what makes us a great country, but I have a feeling that every great empire has firmly believed in itself well past the point of no return. To me, it's not a matter of if, but how and when.

I think it's a matter of how and when MushCreek.
Most Americans are in the "It can't happen to me" stage.
What made America great was the enterprise of the American people. Unfortunately, the government has managed to kill a lot of that with all it's red tape and taxation.

[Shawn B]

The naysayers are missing the point. This video is a illustration of what COULD happen during a dollar collapse, and what COULD trigger it. In my opinion the Dollar will fail. History has proven that fiat currencies must fail and that all Empires end. The variable is how long the gov't can keep the citizens and it's creators believing the fiction that it portrays. I think one of the most valid points in the video is the question of whether the Dollar collapse will be somewhat gradual and controlled or will it fall like a brick. In many ways the U.S. economy and the Dollar is about as stable as Jenga tower. Most of the world trades in Dollars, so that will be one BIG failure if it happens quickly. Should people curl up into the fetal position, suck their thumbs and say, "Find a Happy Place." No. Invest your money wisely, learn new trades, put up some food, supplies, etc. Get to know your neighbors, and really get to know close by family. Again just my opinion but I do not think we are going back to the stone age. But times will be hard for a very large sum of the American populace, and the world. The people who have will continue to shrink, but will grow in power and wealth, the ones who don't have will grow and continue to loose power and wealth. In other words the American middle class will be nothing but a memory.

Note: I have some real concerns about inflation-us. business practices, especially the pump and dump penny stock stuff. There are several others out there making the same warnings. We need to be leery of Patriots for profit.


Glenn,  I here it over and over from young wives. There husband looses his job, permanent downsizing, plant closed...shipped to China, Mexico, India. In Montana it is the timber industry that is targeted for destruction. Saw or plywood mill closed permanently or long term. Machines parted out and sold for scrap. Several of these guys felt like they were forced to enlist to provide for there family. The whole thing has a air of conscription to it. One conversation I had went like this:

waitress: husband lost job, permanent downsizing
me:  sorry to hear that...are you guys getting by?
waitress: No...were behind on mortgage, car, everything
me: what are you going to do?
waitress: husband went down and enlisted in ....... received thousands in sign up bonuses
me: he's 30+ years old...what about your kids....will he be deployed?
waitress: yeah it gets extra to sign up for either combat in Iraq or Afghanistan
me: aren't you worried about him...what might happen...kids etc
waitress: yeah but we need money to pay bills....
me: you guys don't even support the wars...
waitress: No but they are paying huge sign on bonuses, health care, G.I. bills, etc
waitress: nothing we can really do...I'm working every chance I get....
me: sorry to hear that...I'll pray for you guys

It's conversations like this when I cuss this Gov't (if you can call it that) and the New World Order that it supports.

[glenn kangiser]

I think you have it all right there, Shawn.  A complex subject, but it boils down to the middle class being of little use except to breed for cannon fodder.

We are a herd of animals to the elite.  They would step on us just as we might step on a bug.  Losing a job... we have a job for you.  We need meat with a bendable mind to pull triggers for protection of corporate interests and profit.

What people don't see in the US is that it is no longer about making this country great.  While they continue to lavish in that beautiful thought pattern and old timers continue to spew "living in the greatest country on earth" rhetoric, our kids are being squeezed out of jobs by the global elite, and left thinking all they can do is pull a trigger because that is the only job left.  

That Game Boy, X-Box and Nintendo training really came in handy, didn't it..... well qualified to operate the new targeting systems against the lower life forms and animals in the middle east or wherever the Military Industrial Political complex wants to send them.  War for fun and profit.  Our big corporations have gone global.  They will still profit from the war machines no matter where they are used.

The demise of the dollar does not matter to them.  They have already gotten out of the US.  It is to their benefit if the middle class is now only able to pull a trigger.

Yes - dollars will likely be inflated more and worth less and less.  It may be rapid.  It may be overnight or they may slowly draw it out if they can, but one thing for sure - we need to get over thinking that they won't let it happen to us....  They are only interested in their own interests.  Our needs are of little or no consequence to them as long as we manage to keep producing meat for their wars and profit.  We need to take it upon ourselves to be prepared for whatever may happen, good or bad.

I am not trying to scare anyone.  Just encouraging every one to watch out for themselves, friends and neighbors.  Network. Barter.  Put a bit of emergency supplies away.  No harm if you don't need to use it, but what if you do and you haven't prepared a bit.  Saving dollars is no good if it is worth less everyday, it seems to me, so best is to build a bit of a cushion for whatever comes along.

[glenn kangiser]

Good article on war profiteering and the need for meat to support the wars - meat... the stolen lives of our sons and daughters with good intentions, offered for the protection of our country.  Likely we all know some who have had their lives stolen for profit of Corporate America and the World elite.

http://www.independent.co.uk/opinion/commentators/fisk/robert-fisk-oceans-of-blood-and-profits-for-the-mongers-of-war-2145037.html

[Shawn B]

The "Greatest Nation on Earth" mantra is the equivalent of the band playing while the Titanic sank. Don't get me wrong the U.S. is the greatest Nation on Earth, but not as great as it is supposed to be. It's not hard to look superior when the rest of the class is achieving a F. Heck even a D- is passable when your at the bottom.

Glenn....your video game reference jogged my memory. A few years ago I was at a gun show in Kalispell, Montana and the Ntl Guard had a recruiting booth there. The main attraction at the booth was a huge screen with "Middle Eastern" town/city images. There was two AR-15 "guns" that participants would use to shoot terrorist from roof tops, streets, technical's (pickups with heavy machine guns in the beds), etc. Of course there was civilians and friendly troops to avoid shooting. There was a line of fathers and young kids, teenagers etc to take turns killing the evil "terrorists". I mean kids that were maybe 10 or younger. One 12 year old girl was up and shooting, and she was head shooting terrorists off roof tops at two blocks away. Her idiot father was beaming like she had cured cancer, or helped some old people or something. Yeah that's my little girl.....she'll teach them Moslem's. I made some point of them not letting minors participant in such foolishness...but was ignored. I even managed to piss off the old VFW bunch who were also there. Of course that was back when people actually thought the U.S. could win the Iraq War. You know "fight them over there, so we don't have to fight them here" syndrome and "they hate us for freedom" line that W liked to use.

[glenn kangiser]

Yeah.  That's what I see.  Our country is great and my great grandparents homesteaded here, but it is being stolen by the criminals running it for the last few decades.  This is not the country we think of when we think of the Great country, America, as we used to know it.

I did not think so much of it before W started his war under false pretenses - the good ol' false flag operation.  The sheeple laugh along with his sick joke http://www.google.com/ig?refresh=1#max1  

Iraqi's, Afghan's and Our Soldiers die for a sick joke.

I started reading a blog Called Baghdad Burning by an Iraqi girl living in Baghdad to try to understand what was really going on.  Why the massive numbers of terrorists W was talking about.  She said they did not have suicide bombers until we occupied their country.  At the start of her blog she dressed and tried to be Western. She and most of her friends liked Americans and she has American and had American friends.  

She (a Muslim) helped her best friend - a Christian girl, dress as a Muslim to escape an angry group and get safely out of the country.   By the end of it she had to leave her country.  Winning hearts and minds and big profits for the war machine manufacturers and corporations. (Search Bush/Bin Laden partners Carlyle Group).

She said every family there had lost many members to our war.  We blasted Baghdad to smithereens and destroyed their already weak infrastructure.  We did not help clean up their water supply after GHWB's war.  We instead sent people there to monitor the deaths of children caused by our degradation of their water supply and our sanctions preventing them from getting chlorine to purify the water.  She replied to my email when I tried to encourage her to keep writing.  She was very disheartened.

Midnight raids, kicking in doors, killing sisters, brothers, mothers fathers, aunts, uncles, babies...collateral damage.. war is a bitch... and we grieve when one of ours gets shot over there.... it's OK though - they are lower than animals and have no feelings as we do for our superior race.  

Don't forget that to our elite, the ones above the president (he may be included in that group)  and politicians, the ones who make money off of this war for profit including politicians invested in war machine corporations, our sons and daughters are little better than the easterners they consider animals to be indiscriminately slaughtered or become collateral damage.  Nice word - sounds so much better than murdered.

Why don't they like us occupying their country ... terrorists or Freedom Fighters?... I dunno.

[muldoon]

The USDX printed 81 today, up over the past 6 weeks on huge surge up from 75. 

Over in Europe, we have Portugal and Spain bonds printing 9% yield.  We have Hungary seaizing pensions, followed today by France seizing pensions.  Two days ago, there was an 85 billion euro bailout of Ireland, and you know what was crazy about that bailout?  The euro moved 47 pips.  47/1000's ...  that was it, the candle went red at the end of trading for the day.  That 85 billion literally went into the blackhole. 

Yes, fundamentals of the dollar is that we are screwed.  I still hold that the rest of the world is screwed worse. 

If you had 40billion dollars today, where would you put it?  Would you put it in Portugal, or Spain, or Ireland?  Or England?  Anywhere in EU?  Think about this:
http://www.irishtimes.com/newspaper/breaking/2010/1126/breaking6.html

The first step would be to seek to "persuade" senior bondholders to participate in the bailout, said the source. "If that doesn't succeed, the question is how can you force them in a legally-sound way."

Really.  bondholdres need to share the pain?  Sure I dont disagree with the notion that investing has risk, and with that risk comes the pain of haircuts.  But think about how that effects future bond offerings.  You think their next EU sale is going well?  With that kind of language coming from the EU chancellor? 

Let's see, where else...  Middle east, Dubai defaulted again.  no, dont want to put money there.  You want to put money in Mexico?  They are in outright collapse.  Russia?  China?  Hell China is fighting inflows, they are repricing commodities 4 and 5 times a day with an estimated 36% inflation rate.  Cant put funds there, your 3% yield will get slaughtered. 

...
Everyone still wants to say the dollar is crap.  That the dollar is worthless.  What I want to know is wheres my wheelbarrow full of cash?  Everywhere I look is the same as it has been for two years.  From households to small businesses, to large business to cities, counties, states and ultimately federal gov.  No one has enough dollars. Everywhere I look there is a shortfall.  People need dollars and cannot get enough.  The simple law of supply and demand should explain the phenomenon.  When something is in demand its' value goes up. 

Go ahead, you take pesos and euros and yaun if you want.  I pay my mortgage in dollars.  I pay my employees in dollars.  I demand dollars from my employer.  And no one has enough of them.  That is not what makes for a the "day the dollar died". 

[Shawn B]

The fast rise from 75 to 81 was due in part from the QE2, as some predicted. In the coming weeks, months some are predicting the dollar will go below 70. What is a safe place to invest money. Precious metals and real estate?

[muldoon]

By all counts, shouldn't QE2 have the reverse impact on the dollar?  Doesn't the affect of monetizing debt or "printing" make the dollar go down?  Show me who predicted a dollar surge as a knock-on effect of qe2.  I never read anyone who said that. 

People have been predicting the fall of the dollar for decades.  I am not saying it will never happen, I am saying that in trading, being early is the same as being wrong.  I am saying that you have to accept the cards you have and play what is in front of you.  The reality is that there is nowhere safe to "invest".  That entire concept is fundamentally flawed, investing by definition has risk.  As long as fraudulent accounting is the rule of the day; I stand that it is impossible to quantify the actual risk level in any investment because the facts are not on the table.  Without knowing the risk, how can you measure whether the benift outweighs the risk?

I believe this is an important concept, and what is fundamentally driving the US index. 
Consider this.
http://noir.bloomberg.com/apps/news?pid=newsarchive&sid=arZbmux4C4yg

Nov. 5 (Bloomberg) -- The European Central Bank refused to disclose internal documents showing how Greece used derivatives to hide its government debt because of the "acute" risk of roiling markets, President Jean-Claude Trichet said.

The president of the european central bank - we cannot let you see how the fraud was done, we cannot outline the derivative scams because if we did - people might go look for the same things elsewhere.  Or even worse, hold us accountable for being involved in them to begin with.

Americans need to be aware that there is an entire world out there outside our boundaries.  That while the US has certainly created an unholy mess of it's finances, the rest of the planet isnt much better. 

Again, there is no such thing as a safe place for money today, which is why credit is not moving. 

As for real estate, ok. http://news.ino.com/headlines/?newsid=6897481716570711
2 hours, 24 minutes ago:
(AP:NEW YORK) Home prices are falling faster in the nation's largest cities, and a record number of foreclosures are expected to push prices down further through next year.... 

[Shawn B]

I have noticed that the dollar rises shortly after the FED prints money, but it then starts downward sharply for a longer period. Like a very brief wave effect. It's funny how Wall Street loves the FED at first, then hates it/ loves it...... Of course now other countries currencies are falling and the dollar is rising, but precious metals are headed up too. Which if the dollar is up, precious metal usually go down. I think investing is mainly a gamble of illusion.

By real estate, I was thinking raw acreage land. Not housing, buildings etc. Most States have a several year surplus in housing.

[peternap]

Raw land is good to have because it has benefits beyond sales. You can farm it, live on it, hunt on it or just enjoy it. As far as future sales....who knows?

My opinion is the real estate mess is still headed downhill.

[ScottA]

All the money printing has done so far is to replace the dollars that are being sucked out of circulation by loan payments and no new loans. So long as there is not more money than before it's all good for someone. Alot of the new money is spent to buy assets like stocks and bonds. Which A. keeps the stock market up and B. keeps the government financed.

[bayview]

Raw land is good to have because it has benefits beyond sales. You can farm it, live on it, hunt on it or just enjoy it. As far as future sales....who knows?

   Land is a good investment . . .     As long as you are able to service the property.   (Taxes, property and road maintenance, etc.)   During the "Great Depression" my family lost hundreds of acres because they were unable to pay the taxes.

   My opinion is the real estate mess is still headed downhill.

   People have run out of savings, and their credits cards are now maxed . . .    I think we are in for a couple of interesting years.

   I've found the new catch phrase is "We're downsizing" when they have run out of money. . .

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