GLOBAL FINANCIAL CRISIS: 5.29.21 - Warnings Of A Dramatic Inflationary Collapse Just Keep Getting Louder

Will the Dollar Lose Its Reserve Currency Status? – Todd Strandberg - https://www.raptureready.com/category/nearing-midnight/ The U.S. has a very special and privileged relationship with the rest of the world. We control the reserve currency that 85% of all trades are conducted with. This putsus into a position where foreign nations send us goods and we send them dollars. The one thing the dollar has going for it is that there is so much of it in the world, it can be used for large transactions. If a nation is going to buy $3 billion of oilfrom Saudi Arabia, it’s not going to use Russian rubles. As the supply of dollars soars into the tens of trillions, people are starting to worry about the number of dollars in the system. When we were on the gold standard, global trade remained largely balanced. If a nation imported too many goods, the value of its currency would decline as gold left thecountry. America had a surplus in its trade with the world. It built a horde of gold of 22,000 tons. When it began spending too much money on imports, our reserve of gold dwindled to $8,000 tons. When Nixon closed the “gold window” on the convertibility ofdollars into gold, the U.S. government was free to print all the dollars it needed to fund America’s financial deficits. Many nations realize that they are getting the short end of a bad deal, but nobody can think of a better system. The Chinese tried to get the world to use its currency,the Renminbi. President XI traveled the world, signing one trade agreement after another. Nothing happened because the Renminbi doesn’t freely float exchange markets. People can’t trust a currency that they don’t know what its true value is. The imbalance in trade between the U.S. and the world has become so extreme, something will have to change in the coming years. In 1987 the U.S. had a monthly trade deficitof $17 billion, which helped lead to the stock crash of that year. Today we have a trade deficit of nearly $100 billion a month, and most people on Wall Street have no concern. The Ford Motor Company recently reported low earnings because it could not get the microchips needed to produce many of its vehicles. It had an 18% decline in sales. Sincethese chips almost solely come from Taiwan, the lack of them should be a wake-up call for Detroit to have a more redundant supply chain. General Motors has the same problem with the lack of chips. The company said it was building some full-size pickup trucks without software that helps manage fuel consumption,reducing miles per gallon. “By taking this measure, we are better able to meet the strong customer and dealer demand for our full-size trucks,” a spokeswoman said. What is truly amazing is how much food we import. Many companies import apple juice from nations like Turkey and Poland. I looked at my bottle of olive oil, and it saidthe country of origin could be Argentina, Greece, Italy, Tunisia, or Spain. America is surrounded by three bodies of water, and yet we import 75% of our shrimp. We don’t seem to mind that food standards are lacking in some of these nations. Many farmers mix their olive oil with peanut oil or use oil that is rancid. We don’t careas long it’s cheaper than oil produced here in America. I can only wonder what would happen to America if the world woke up and started selling the horde of dollars they’ve accumulated. If the value of the dollar declined, we’dstill need to import goods. With the dollar dropping, we’d need to spend more dollars to get the same amount of products. If the dollar crashes, we will have to start producing goods here at home. It would take a very long time to build a factory that could make microchips. Many of the componentsneeded to manufacture the chips are produced in other nations. We have become so dependent on other nations for even the simplest product, I doubt I’ll live to see America return to its greatness. I firmly believe that when God calls His church home, America is going to implode. The loss of millions of people would be reason enough for a financial meltdown. Everytime I write about America’s economic problems, I can only conclude that God’s restraining hand is the only way that such a profligate nation could avoid total collapse. “For God hath not appointed us to wrath, but to obtain salvation by our Lord Jesus Christ” (1 Thessalonians 5:9). -------------------------------------------------------------------------------------------------- Warnings Of A Dramatic Inflationary Collapse Just Keep Getting Louder- by Michael Snyder - http://theeconomiccollapseblog.com/warnings-of-a-dramatic-inflationary-collapse-just-keep-getting-louder/ Signs of impending economic doom continue to grow all around us. For years, highly respected experts have been warning about the steady destruction of our standard of livingand the death of the U.S. dollar. Perhaps you didn’t listen to those voices at first, and that is understandable. Most Americans have their hands full making a living and taking care of their families. But then housing prices started to go absolutely nuts,health costs continued to spiral out of control and a trip to the grocery store just kept getting more painful. At this point, nobody can honestly deny that inflation has become a major problem. But even though the chorus of voices that is warning of a dramatic inflationary collapse is growing by the day, the Federal Reserve just keeps pumping more giant piles ofmoney into the financial system, and the federal government continues to engage in the most reckless spending binge in the entirety of U.S. history. Despite the utterly insane policies of our “leaders”, the U.S. economy continues to languish in economic purgatory. Trillions upon trillions of dollars have been pouredinto the economy, and yet the U.S. still has 8.2 million fewer jobs than it did last February. They had hoped to create an “economic boom”, but instead they are setting the stage for an implosion of epic proportions. In fact, John Williams of shadowstats.com insiststhat we are “eventually headed into a hyperinflationary economic collapse”… So, is the choice inflation or implosion? Williams says, “That’s the choice, and I think we are going to have a combination of both of them. I think we are eventually headedinto a hyperinflationary economic collapse. It’s not that we haven’t been in an economic collapse already, we are coming back some now. . . . The Fed has been creating money at a pace that has never been seen before. You are basically up 75% (in money creation)year over year. This is unprecedented. Normally, it might be up 1% or 2% year over year. The exploding money supply will lead to inflation. I am not saying we are going to get to 75% inflation—yet, but you are getting up to the 4% or 5% range, and you aresoon going to be seeing 10% range year over year. . . . The Fed has lost control of inflation.” And remember, when the Fed has to admit the official inflation rate is 10%, John Williams says, “When they have to admit the inflation rate is 10%, my number is going tobe up to around 15% or higher. My number rides on top of their number.” You don’t want to believe Williams? That is fine. He has just been right time after time over the years. But feel free to ignore him if you wish. If you are determined to ignore the truth, you probably will not like what Egon von Greyerz is saying either… As technological developments and markets go parabolic, we observe many market “experts,” even intelligent ones, forecasting that we are now in an exponential economic era.Thus many believe that this will go on forever. This is the typical attitude at market and economic tops and guarantees that THIS WILL NOT END WELL! It is clearly absolute nonsense to believe that exponential expansion based on deficits, debts and fake money is the beginning of a new era. Anyone studying the economyand history of markets knows that exponential moves indicate the end of an era and not the beginning. As I have repeatedly said, history is our best teacher and it both rhymes and repeats itself. And history now gives us dire warnings. If you wish to reject what these experts are telling us, can you point to another time in history when officials have wildly created new money and everything has turnedout just great? “New money” is always such a tempting solution, because every time it always seems to work at the beginning. It is kind of like a tonic that instantly makes you feel betterfor a few hours but that ultimately kills you in the end as you keep taking it. Now that we have greatly accelerated our journey toward an inflationary collapse, even Warren Buffett has started to sound the alarm… “We are seeing substantial inflation,” Warren Buffett told attendees at last week’s annual Berkshire Hathaway shareholder meeting. “We are raising prices. People are raisingprices to us, and it’s being accepted.” Ordinary Americans are searching for “inflation” online more frequently now than they have in more than a decade, data from Deutsche Bank strategist Jim Reid shows. But CNN insists that everything is going to be just fine. So that means that we don’t have anything to be concerned about, right? Personally, I am deeply concerned about the second half of this calendar year, and it appears that I am not the only one. Billionaires and corporate insiders have been offloadingstocks at a very brisk pace in recent weeks… When the country’s CEOs and billionaires start to head to the exits a little bit quicker than usual at the tail end of a 13 year bull market, it may be time to start payingattention. That’s what we found noteworthy about a recent Bloomberg piece, which noted that stock sales by some of the world’s richest shareholders are “reaping a windfall”, thanksto our current inflated equity markets, “to the tune of trillions”. Amazon.com’s Jeff Bezos and Google co-founder Sergey Brin are just two of the well known names that have been offloading stock. They are joined by names like Mark Zuckerbergand Larry Ellison. If you have been snoozing for the last few years, now is the time to wake up. Because we are steamrolling toward an economic implosion that will make the history books, and our economic problems are just one element of the “perfect storm” that oursociety is facing. But a lot of people out there are going to be absolutely blindsided by what is coming, because they have no interest in listening to the warnings. Instead, they have placed their trust in the talking heads that the corporate media puts on television, and those talking heads keep assuring us that everything is goingto be just fine. ---------------------------------------------------------------------------------------------------------------------------------- VISIT: PROPHECY WATCHER WEEKLY NEWS: HTTP://PROPHECY-WATCHER-WEEKLY-NEWS.BLOGSPOT.COM