Tag Archives: Currency
Global Currency Reset – IMF to be frank and candid with exchange rate analysis
President Trump’s Treasury Secretary, Mnuchin, tells the International Monetary Fund (IMF) that he expects a “frank and candid” exchange rate analysis. Frequent readers of my blog posts here, will not be surprised by this development.
With the Trump administration having gone radio silent in recent weeks on the issue of currency manipulation and whether it sees the dollar, or other currencies, as under- or over-valued, there was a notable if vague update from U.S. Treasury Secretary Steven Mnuchin who spoke to the IMF’s Managing Director Christine Lagarde on Tuesday and told her that he expects the IMF to provide “frank and candid” analysis of exchange rate policies.
There was no elaboration of what the apriori US stance was coming into the conversation.
The spokesperson said that in a phone call to Christine Lagarde, Steven Mnuchin emphasized the importance that the administration places on boosting economic growth and jobs in the United States, and looked forward to robust economic policy advice from the IMF regarding its member countries, and the objective of tackling global imbalances.
The readout from the a Treasury Spokesperson of Secretary Mnuchin’s Call with International Monetary Fund Managing Director Christine Lagarde is below:
WASHINGTON – U.S. Treasury Secretary Steven Mnuchin spoke by phone today with Christine Lagarde, Managing Director of the International Monetary Fund (IMF).
In his conversation with Madame Lagarde, Secretary Mnuchin welcomed the key role the IMF plays in promoting global economic growth and stability and in preventing and responding to economic crisis. He noted the importance the Administration places on boosting economic growth and jobs in the United States, and looked forward to robust IMF economic policy advice on its member countries and tackling global imbalances. Secretary Mnuchin also underscored his expectation that the IMF provide frank and candid analysis of the exchange rate policies of IMF member countries.
Needless to say, a full transcript of the conversation would have been far more useful for all those wondering if the dollar is set to continue its recent growth spurt or if Mnuchin hinted that Trump would be happier with a lower dollar going forward.
Lost Any Liberal Friends?
QUESTION:
HI Cliff,
How are you? Was a great inauguration… any comments,
I’d love to hear.
Have you lost any liberal friends, or do you steer clear from them??
Hugs,
Judith
Grace Awake
ANSWER:
Grace:
I’ve been trying for months to inform my liberal, socialist, police-state ideologists that the appearance and election of Donald Trump to the political stage of the world’s most powerful country is a geo-political move of global proportions in support of a new, multilateral currency system with the intent to revalue the currency of emerging nations and re-balance the global economic system. It is a move away from seven decades of unipolar USD based global reserve currency pushed by the Western banking system and American Corporate imperialism.
And, more specifically, the liberal mandates of open societies and left-leaning freedoms have crashed into the walls of rational thought and real-world functioning progressive ideals. This was one of the most predictable outcomes in our world for the simple fact that the liberal-left and its proposed values and virtues are based on a fraudulent position which was promised to empower the people and end the threat of totalitarianism, but in fact weakened the moral fiber of civilization and skewed the diametric truths.
It has long been declared that the alternative to the mandates of liberalism is authoritarianism, totalitarianism, fascism, and the scalable loss of freedoms as society moves further to the right. This gross mischaracterization has been embedded in our culture through left-funded media and education strategies which have both arrested and corrupted the minds of generations.
Whether you consider the development of these diametric left and right political ideologies as chance or engineering matters less than the need to understand the path civilization takes as it shifts between one and the other. The human mind demands opposition as a method of advancement and learning. This foundational principle is hardcoded into our world and the human powerbase has mastered the art of harnessing it for the purpose of socioeconomic engineering. The diametric exists in spite of the human need for oneness and brotherhood.
The truth of the matter is that the extreme of the left or the right both act as catalysts for a return to the other. A civilization surrendered to extreme right authoritarianism will build an inner momentum for a return to the freedoms inherent in the center. This momentum becomes an unstoppable train which overshoots the center and reengineers culture and governance towards the far left. Equally so, a civilization weakened to extreme left openness and unaccountability will develop an outer momentum for a return to decency, strength and personal responsibility. The overshoot is just as dramatic.
The all or nothing approach of the liberal-left towards a full open society establishes a need for totalitarianism in the same manner that the extreme right presents its own justification. Harsh loss of personal freedoms and strong authoritarianism are required to hold both the left and the right in their extreme diametric positions. Neither can use the risk of authoritarianism as the justification to prevent the other from arising as the end result will always be the same.
The frequency of executive orders by the Obama administration and the use of regulations are examples of what we are discussing. The momentum towards a full open society built on the mandates of the liberal left has destroyed itself in the same manner that an extreme right ideology would have.
Those in the world who can grasp and understand the mechanics and methodology of this shifting diametric have an opportunity, and in fact a responsibility, to plan staged cultural and socioeconomic interceptions which would be meant to manage the return momentum and create a structural framework at the center which would hold the weight of a civilization with a growing self-awareness.
The dogma of “do what thou wilt” is the built-in weakness of the far liberal left in the same manner that “do what we tell you to do” is with the far right. The extreme of either ideology emerges near and at the end of civilizations. Other ancillary factors such as monetary policy and war act as further catalysts but the corruption begins within first, such as it does in our personal lives.
The road from fascist Germany in World War Two to liberal-left Germany today which has enacted self-destructive governance policies is a perfect example of this swing between extreme left and extreme right. The open borders and open society framework has failed not just in Germany and Europe, but across the world and political spectrums. The governed populations are beginning to accept that there is an ideological disease which has pushed western civilization to the brink of an identity collapse just out there on the edge of the extreme liberal-left platform.
The response is the “new modern nationalism” which we have discussed and is represented by the election of Donald Trump, the BREXIT vote, and the emergence of strong conservative-right candidates in nations around the world.
But with the death of worldwide liberalism also comes the end of American unipolar imperialism which has functioned as an extension of the international reserve status of the dollar and by default the once influential liberal-left culture which has dominated in varying degrees since the passage of the Federal Reserve Act in 1913. The shift towards a multilateral (or multipolar) monetary framework is releasing American culture from the death grip of this responsibility and allowing for a restructuring of the US financial system, the function of the Federal Reserve, and the geopolitical world.
The geopolitical transformation has been manifesting with shifting alliances in the Pacific as once America allies, such as the Philippines, are moving closer to China. The orientation of Eastern Europe is also a place where further changes can be expected as Ukraine remerges as a strong Russian partner. As an extension, we can assume that once important regions and nations, such as the American military presence in South Korea because of the North Korean threat will be reversed and new balances and borders sought.
Recent statements by Trump would suggest that he has communicated to China that the time has come to address the North Korean situation. Whether the eroding American establishment has indirectly supported the North Korean regime as a pretext to justify its presence in the South matters little now as the script unfolds and China cleans up the mess in its own backyard.
All of this does not bode well for the ideological objectives of worldwide liberalism. But we need to be cautious that authoritarian rulers do not emerge who would take advantage of this swing towards the new modern nationalism. Such rulers can care little for ideological allegiances as long as their rule is enforced and maintained.
The liberal-left and the conservative-right are tools for maintaining the momentum in the pendulums swing arc. The time may be past to prevent the emergence of an extreme right as the world shifts and liberalism is crushed under the weight of the new modern nationalism. But let these words settle upon us as we observe and learn the pattern of human nature and the unseen forces in this world. This is the rational approach and the logical end to that which is illogical and irrational.
With Donald Trump, we are moving this nation toward a multi-lateral global currency system without the old American establishment and their imperialistic form of democracy.
Sincerely,
Clifford “Maverick” Taylor
How the Establishment Media is Committing Suicide & Why Clinton Cannot Win
With each passing day the desperation coming from the establishment media in the west is becoming more obvious. The constant hit pieces on Donald Trump roll from one to the other with little interruption. News is beginning to leak out that the orders to stop Trump from becoming president have been issued from the very top of the American establishment.
The ongoing WikiLeaks documents are taking a toll on the Clinton campaign and the response of the establishment is to hit back with fabricated stories and coming at Trump from every possible angle. After the “pussy grabbing” video the establishment media pushed the script of Trump dropping out of the campaign.
This was a clear act of desperation. If Clinton was truly ahead and Trump didn’t stand a chance of winning there would be no calls for him to drop out. They need Donald to drop out for the simple fact that Clinton cannot win against him.
The other tactic included pushing the Republican establishment to force him off the ticket. This has not gained traction either and Trump continues to steamroll forward to November 8th and victory.
Ever since Trump announced his candidacy, J.C. Collins has been suggesting that he represents the international banking interest. These interests are now concerned with balancing the global monetary system and shifting some power away from the American establishment. There is a segment of the American establishment which does not wish to willingly relinquish the power which they have had for almost a century.
The alignment between Trump and Russia is not a coincidence, or an accident. Russia, alongside BRICS members China and India, are positioning geopolitically for this global realignment. The US military movements in the world are reflective of the establishments desire to hang on to their control and hegemony.
This stubbornness and greediness has pushed the world to the brink of war. The American establishment is beginning to crash into the wall of multilateral interests. This is taking place in Eastern Europe, the Middle East, as well as the South China Sea. This represents a multi-front war which the US cannot win. Further acts of desperation could lead to nuclear exchanges.
Donald Trump has expressed his understanding of the situation and has openly suggested that Russia is not behind the Democratic email hacks. The amount of western propaganda directed at Putin and Russia has reached insane levels.
A Russian government official stated today that the election of Trump means peace in the world and the election of Clinton will mean nuclear war. Such a statement should not be taken lightly. Especially taken with other events and news stories which are breaking, such as Russia calling home students of officials who are studying abroad and running nuclear drills in Moscow.
It has always been J.C. Collins contention that war will be avoided during this monetary transition. But, we may go to the very brink before saner minds get control and pull us back from the edge of destruction.
There is no doubt that we are in the danger zone between now and the election. Even after the election a Trump victory could be derailed if war breaks out. Between now and January we are under increased risk of a larger war globally.
The establishment media is complicit in this movement towards war. Their twisting and distortion of real world events is one of the greatest tragedies of the modern world. The bias and misrepresentation has become so obvious that even the younger generations are waking to the fraud.
The availability of alternative news sources and social media have provided the masses another method of gaining access to knowledge. This is not an accident. The internet serves as the base for this new source. Interestingly enough, on the day that the new SDR basket currency became effective (including the Chinese currency), control of the internet passed from the American establishment to an international body represented within the United Nations.
The very tools which the American establishment have used on the international community to spread and maintain hegemony will now be used against it. The international banking interest which have allowed the US to gain so much power implanted the means to take away that power within the very framework of the establishments’ construction.
The implicit bias being openly expressed and promoted by the establishment media will forever destroy the trust of the masses. This will leave an opening which will be filled by new sources of information which will be provided by the international banking interests. Seeds of this have already been planted.
Clinton represents the old American political world which is no longer required. Trump represents the role which America will take on in the multilateral monetary framework. Will the establishment recognize their position and act accordingly? Or will it take a massive war to remove the American machine from the hegemonic halls of global power?
I would encourage readers to revisit the post titled Brexit – The New Modern-Nationalism is Global Governance. Global government is shifting its image and will be repacked as a new modern-nationalism. Don’t be fooled by the calls for America first. The benefits to the American masses under the multilateral monetary system just so happen to align with those of the international banking interests. These will be increased jobs and wealth. This is what Trump is calling for. The script playing out has been engineered over decades with nothing left to chance.
There will be no room in this new world for the bias media which represents the old US micro-establishment.
Taming the Creature from Jekyll Island: Ending Credit-Based National Currencies
Ever since reading G. Edward Griffin’s expose on the creation of the Federal Reserve I have been fascinated with the inner workings of the international monetary system. Though the Creature from Jekyll Island was more about the Federal Reserve, the eventual evolution of the USD as the primary reserve currency used in international trade added a whole new dimension to the covert Congressional shenanigans taking place on that particular Christmas Eve in 1913.
Since the inception of the central banking system back in the 1600’s fiat currencies have been expanding with few limitations. The expansion of debt even funded the industrial revolution and pushed human development to new heights. With that being said the expansion of debt, or more accurately the expansion of credit-based national currencies, will have to come to an end and be reversed at some foreseeable point in the future.
As recently reported by the International Monetary Fund, global debt now stands at an all-time high. This statement is somewhat redundant as the nature of credit-based national currencies, and the central bank system as a whole, is the continued expansion of debt. Each day the amount of global debt will always grow larger. Debt will only reverse when the system begins to change.
The best way to look at this is that all money in circulation has been issued through debt. Likewise, all money in circulation is reflective of the amount of credit-based national currency in circulation, as the currency itself is issued through debt/credit. As the amount of debt decreases so does the amount of currency in circulation.
As the new SDR multilateral framework expands and takes over from the existing USD unipolar based framework the amount of credit-based national currency will begin to decrease. This will take years and perhaps even decades.
The sovereign debt solutions which are being developed should be considered the first movements towards the ending of credit-based national currencies. Foreign exchange reserves will be exchanged and substituted for SDR. This will correlate with larger issuances of SDR based on increased quota amounts.
Initially the substitution process will appear to be the exchange of credit-based fiat currency with a representation of a basket of credit-based fiat currency, being the SDR. In that regards little will change. The fundamental change will take place as the amount of SDR which is allocated to each nation will be based on more than foreign reserve substitution.
In the coming years the amount of SDR allocated to member nations will not be based on the amount of credit-based national currency which exists. The amount of national currency which will be allowed to exist will be based on the amount of SDR allocation.
The future SDR allocations of each member nation will be measured on such factors and weightings as GDP, trade volume, existing reserves, population, and financial share in the world market. These metrics will help establish the amount of SDR allocated to each nation. This SDR allocation will determine the amount of national currency which can be put into circulation.
Eventually the amount of the SDR-based national currency in circulation will outnumber the amount of credit-based national currency in circulation and the fiat money described in The Creature from Jekyll Island will vanish into the monetary past. When this time comes all currency in circulation will be reflective of the factors and weightings stated above. These will not be fiat currency as they will be based on actual, real, and measurable fundamentals.
Perhaps in time gold and other precious metals and commodities will be added to the SDR as well.
What has been described here is the transformation of the International Currency System (ICS) which will be required to facilitate the macro transformation of the International Monetary System (IMS) on a whole. The transformation of both will be completed decades down the road when the SDR basket itself is transformed into the actual bancor global currency which was first suggested during the original Bretton Woods negotiations back in 1944.
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What to say to Nay-Sayers
So many folks just do not get what’s happening with Global Economic Changes and the break-up of the old regime Cabal. Too many Naysayers.
These are the persons who say something will not work or is not possible. I chatted with two guys yesterday who deny, refuse, and oppose the idea that something like the old regime banking system should and will be humbled by open market, competitive alternatives such as the BRICS economic movement.
But to the Naysayers, after the changes take place the truth will be known, and there will be:
“Nothing Left To Say”
Music by Mint Condition.
Experts warn of foreign currency scam
By Jasen Lee, Deseret News
Published: Thursday, Jan. 2 2014 11:01 p.m. MST
A number of Utahns are buying what they think is undervalued foreign currency in hopes of having its value increase, offering a potential investment windfall. Unfortunately, it’s a long-running scam.
Charles Crowell, Bloomberg News
Summary
A number of Utahns are buying what they think is undervalued foreign currency in hopes of having its value increase, offering a potential investment windfall. Unfortunately, it’s a long-running scam.
“Some people won’t believe (it’s a scam), even when you tell them now. It’s just human nature (to want to) believe that there is a way that we can ‘have our ship come in’ and get rich quick.”
Keith Woodwell, director of the Utah Division of Securities
SALT LAKE CITY — A number of Utahns are buying what they think is undervalued foreign currency in hopes of having its value increase, offering a potential investment windfall.
Unfortunately, it’s a long-running scam perpetrated by dishonest investment brokers and online fraudsters.
Several years ago, Darren Marshall became aware of an investment opportunity in which he could buy Iraqi dinar currency on the long-term hope that he would reap high returns when the currency was “re-evaluated.”
The belief was that once the Iraq economy boomed and the currency was traded on the world market, those who purchased dinar previously could sell the bills on the open market and receive the newly inflated value.
The problem is such a scenario may never happen — something Marshall, a certified internal auditor by training, recognizes and readily admits.
“I think it’s ludicrous,” he said. “It’s a scam.”
Marshall, 42, of Salt Lake City, said he has read numerous online blogs that tout the legitimacy of the foreign currency speculation and describe it as “a high-risk investment.”
Despite that trepidation, Marshall said he has personally purchased $1,000 in Iraqi dinar on the chance he may eventually recoup his investment and maybe make a profit.
“I know it sounds crazy, but part of (the reason behind investing) was the enticing return rate,” he said.
Additionally, he said investing $1,000 was not so much that it would affect his lifestyle in any meaningful way.
“I had it to invest,” Marshall said, adding that he hopes he’ll be able to double his investment at some point.
For the past few years, people have been “investing” in Iraqi dinar, Vietnamese dong and a few other currencies in hopes that they will make it big when the monies are re-evaluated.
Unfortunately, it is a scam, explained Keith Woodwell, director of the Utah Division of Securities.
Woodwell said the fraud began years ago at the beginning of the Gulf War conflict in Kuwait and Iraq, initially involving members of the military and their families.
The misconception started because Kuwait’s dinar dropped during Operation Desert Storm, then, following the war, there was an oil boom and the currency increased dramatically, giving those who bought it huge returns.
The difference between the Kuwaiti currency situation and the Iraqi and Vietnamese currencies, Woodwell explained, is that Kuwait’s dinar was not inflated when it was worth less. It just organically increased in value when the country’s economy began to grow. The same cannot be said for other countries whose economies are inherently troubled, he said.
Today, unscrupulous brokers are again targeting investors by buying the foreign currencies in bulk and selling them at dramatic profits, Woodwell said. He attributes investor greed with prompting so many people to ignore economic logic and reason to risk their money on what he says is an obvious fraud.
“Some people won’t believe (it’s a scam), even when you tell them now,” he said. “It’s just human nature (to want to) believe that there is a way that we can ‘have our ship come in’ and get rich quick.”
Woodwell said some investors are not skeptical enough to question the legitimacy of some seemingly questionable investment opportunities, despite the red flags that may be present. While countries may decide to issue new currency when their economy begins to expand rapidly to avoid hyper-inflation, they basically exchange the old bills at the old value, so investors are typically left with devalued currency, he said.
“There has not been any kind of revaluation of the currency,” Woodwell said. “It’s happened in several countries in Africa (and Mexico) where they have had hyper-inflation.
“There is no conceivable way that people are going to make money off of this because they are buying the physical currency at an inflated rate to start with,” he explained. “So even if the currency (increases) a little bit because the economy goes up in that country, because you are buying it at an inflated exchange rate, you are not going to be able to sell it for what you bought it for.”
Businesses today are selling those currencies at huge markups over what is typically charged on the open market, said Scott Stone, senior vice president and foreign exchange manager for Zions Bank.
People will also buy them from banks, which is better because the exchange rate is less, but they will still never recoup their initial investment, Stone said.
“You should never buy paper bank note currency as an investment,” he said. “If it’s truly an investment, there are other ways to go about it than buying a stack of currency and putting in a shoebox under your bed and waiting for that currency to revalue.”