Posts Tagged ‘Currency Market’
World Bank Says U.S. Dollar Not the Only Reserve Currency Option
By Glen Somerville
Market Watch
World Bank President Robert Zoellick said the United States should not take the dollar’s status as the world’s key reserve currency for granted because other options are emerging.
In excerpts released on Sunday from a speech that he is to deliver on Monday, Zoellick said global economic forces were shifting and it was time now to prepare for the fact that growth will come from multiple sources.
“The United States would be mistaken to take for granted the dollar’s place as the world’s predominant reserve currency,” he said. “Looking forward, there will increasingly be other options.”
Zoellick said that a meeting of Group of 20 rich and developing countries in Pittsburgh on Thursday and Friday had made “a good start” toward increased global cooperation but they will have accept global monitoring of their activities.
“Peer review will need to be peer pressure,” he said.
Zoellick said that the G20, as the new chief forum for international economic cooperation, also must not forget the 160 countries left outside its structure and should try to open opportunity for them.
“We need a system of international political economy that reflects a new multi-polarity of growth,” Zoellick said. It needs to integrate rising economic powers as ‘responsible stakeholders’ while recognizing that these countries are still home to hundreds of millions of poor and face staggering challenges of development.”
SOURCE: http://www.reuters.com/article/ousivMolt/idUSTRE58Q1YU20090928
Chinese Bond Sale Tests Global Demand
By Chris Nicholson
New York Times
China started selling yuan-denominated sovereign bonds in Hong Kong for the first time on Monday, testing international demand for its currency with the $879 million issue as it moves to widen the yuan’s exposure and appeal to markets abroad.
Bank of China and Bank of Communications, the two lenders managing the 6 billion yuan sale, said in news releases on Monday that the two-year bonds would have a yield of 2.25 percent, and the three-year bonds would yield 2.7 percent – higher rates than those offered to investors on the mainland.
Although no information was immediately available about how well the bonds were selling, analysts expected retail investors in Hong Kong would be interested in them.
The bonds are open to subscription until Oct. 20.
Zhi Ming Zhang, a currency analyst at HSBC in Hong Kong, cited investors’ “bullish feelings on the yuan,” even if officials in Beijing are not expected to allow the currency to appreciate until exports recover.
The Chinese yuan, also known as the renminbi, does not float freely against other currencies, but has its exchange rate set by the Chinese authorities.
U.S. officials have long called for a freer float for the yuan, since keeping it low gives Chinese exports an advantage against goods denominated in other currencies.
But the debt sale also faces hurdles. It is limited to investors who have renminbi accounts in Hong Kong banks, which curtails potential demand.
Hong Kong, the former British colony that has been a special administrative region of China since 1997, has its own currency, the Hong Kong dollar, which is pegged to its U.S. counterpart.
And Hong Kong investors, wary after a scandal involving Lehman Brothers bonds last year, are more conscious of risks and have been subscribing to bond issues more slowly than they used to, Mr. Zhi said.
The sovereign bonds are unsecured, and are “backed by the full faith and credit of the Central People’s Government of the People’s Republic of China,” according to the bank news releases Monday.
China’s National Day, the mainland equivalent of the Fourth of July in the United States, will be celebrated Thursday, and the timing of the sale may be an attempt to capitalize on patriotic sentiment among local investors.
The higher yields in Hong Kong – compared to mainland yields of 1.82 percent on two-year bonds, and 2.31 percent for three-years – should also help shore up demand.
In July, China made three government bond sales, and fell short of its targets each time.
At the ceremony kicking off the bond sale, Vice Finance Minister Li Yong said he believed “the yuan bond market will continue to develop and it will develop very quickly.”
Still, Mr. Zhi said he did not expect Beijing to make any further moves to introduce yuan-denominated bonds internationally after the sale, whose results will be announced Oct. 22.
China has been taking steps to promote the yuan in international markets this year, as the U.S. dollar has weakened and Beijing’s foreign currency reserves have slid in value.
SOURCE: http://www.nytimes.com/2009/09/29/business/global/29yuan.html?ref=global
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China’s Foreign Exchange Reserves Rank First in World
China’s foreign exchange reserves rose from 1,577 billion U.S. dollars in 1978 to 1, 950 billion dollars in 2008 to rank first in the world, said Yu Wenzhe, Chinese Ambassador in Ghana, on Tuesday.
To the same token, China’s per-capital annual income of 62.5 dollars in 1978 reached 9,863 dollars in the urban areas, showing an increase of over 100 percent.
Ambassador Yu Wenzhe announced this during a press briefing which was aimed at highlighting China’s significant socio-economic development for the past 60 years.
The People’s Republic of China would be 60 years on Oct. 1, 2009 and the Chinese people and its allies are expected to celebrate the country’s 60th anniversary with pomp and pride.
The stated achievement, he noted, was due to China’s vigorous pursuance of a strategy or model that featured high speed socio-economic development.
He was happy that China has metamorphosed from agricultural country to an industrial nation with the result that the country is now ranked the third largest manufacturing country in the world.
On the strength of China’s development, Yu urged African leaders to translate the continent’s advantage in natural resources into socio-economic development.
The ambassador disclosed that in 2006, the output of 172 categories of Chinese products ranked first on the world market, adding that about 70 percent of DVDs and toys; 50 percent of telephone sets and shoes; one-third of colour TVs, bags and suit cases were made in China.
To be part of Ghana’s future success, he said, China had invested more in Ghana in the fields of economic and technical assistance, which included grant and cash, human resource training among others.
Touching on China’s investment in Ghana, he said, China topped the list of countries with the highest number of registered projects in Ghana.
“Up to June 30, 2009, China had registered 387 projects in Ghana valued at 235.18 million U.S. dollars,” he added.
“To achieve a sustainable and steady development of China-Ghana bilateral trade, both sides should adopt effective measures to balance the trade,” he stressed.
Yu said this against the backdrop that China’s export to Ghana had increased rapidly between 2002 and 2007 as against Chinese imports from Ghana, which he noted, had decreased for two consecutive years since 2005.
SOURCE: http://english.people.com.cn/90001/90776/90884/6765964.html”>
U.S. Dollar’s Days are Numbered as Reserve Currency
By Jessica Mead
City A.M.
Thursday, September 24, 2009
Over the next two days, world leaders gathered at the G20 summit in Pittsburgh will attempt to address the issue of the persistent global imbalances that have been cited as a long-term cause of the recent economic downturn. Integral to this debate has been the long-standing issue of the US dollar’s hegemonic status as the world’s reserve currency – IMF data shows that nearly 65 per cent of allocated foreign exchange reserves were held in dollars in the first quarter of 2009.
The dollar’s reserve currency status allowed the US government to build up its current account deficit from just $11bn back in 1998 to as much as $60bn a decade later without being under the same compulsion as other countries to undertake the necessary macroeconomic or exchange-rate adjustments to bring their deficit back under control.
The dollar’s hegemony has come under fire from a number of quarters over the past year, most notably from the Chinese – themselves holding $2 trillion in FX reserves as of June 2009. Ahead of the G20 summit held in London last spring, Zhou Xiaochuan, China’s central bank governor, said the desirable goal of the international monetary system is to “create an international reserve currency that is disconnected from individual nations and is able to remain stable in the long run, thus removing the inherent deficiencies caused by using credit-based national currencies”.
The Chinese have pointed towards using the International Monetary Fund (IMF) Special Drawing Rights (SDRs) as an alternative world reserve currency to the US dollar. SDRs were created back in 1969 as a means of supporting the Bretton Woods fixed exchange rate system.
The value of an SDR is based on a basket of four key international currencies – the dollar, the euro, the yen and the pound – which can be exchanged for freely usable currencies. The third ever allocation of SDRs was approved on 7 August for SDR 161.2bn – currently equivalent to about $317bn – and which took place on 28 August to pump more liquidity into the global monetary system.
Furthermore, the United Nations Conference on Trade and Development (UNCTAD) called earlier this month for a new currency to be established to protect emerging markets from the “confidence game” of financial speculation.
But while China might be calling for a greater use of SDRs, Nouriel Roubini, professor of economics at the Stern School of Business at New York University (and the man named Doctor Death for his gloomy pronouncements before the financial crisis), says that the Chinese government is paving the way for the yuan’s ascendance. He goes further, arguing that China is in fact better placed than the US to provide a reserve currency for the 21st century thanks to its large current account surplus, focused government and the fact that it lacks many of the economic worries that have plagued the US.
Even the US Treasury’s economic and financial emissary to China, David Dollar, has argued in the past month that it makes sense for China to diversify its huge stockpile of foreign exchange reserves, saying that it is healthy to have a wide and different type of reserve currencies.
While some diversification into euros and sterling has occurred over the past 10 years, the US dollar has lost very little ground. Back in 1999, countries held 71 per cent of their allocated foreign exchange reserves in dollars, and just 18 per cent of reserves in euros. Today, 26 per cent of allocated FX reserves are in euros.
But while many are calling for an end to the dollar’s supremacy and for countries, especially in emerging markets, how likely is it that the dollar will be replaced a global reserve currency?
REPLACEMENT
Mark O’Sullivan, director at Currencies Direct, says that while it would be ideal to find a replacement for the US dollar, he can’t see what it would be. “At the end of the day 65 per cent of the world’s commodities are still priced in dollars and until you change that dynamic, you won’t see an end to the US dollar’s reserve status,” he says. Furthermore, the vast majority of international contracts and invoices between multinational companies are priced and accounted in dollars. A change to the dollar’s status would require an eventual change to this practice.
O’Sullivan says that in order to see a shift in the dollar’s status, the Chinese need to come to the table and make the yuan fully convertible. The Chinese might have been complaining that the dollar is too powerful, but they need to allow central banks to hold the yuan in reserves.
But while the Chinese might be hoping to diversify their foreign exchange reserves, it is going to have to be done very slowly indeed. As Richard Turner, FX sales dealer at spread betting firm IG Index points out, given that the Chinese have a trillion dollars worth of US dollars, they aren’t going to want to drive down the value of their reserves by selling large amounts of dollar-denominated assets.
Even if the yuan could not become a world reserve currency, it is sometimes suggested that it could take that role in Asia, especially among countries which trade with China. Other regions could also follow suit: the Economic Community of West African States plans a common currency, although plans were recently put back until 2015.
The euro is the obvious choice for EU countries, while the rouble could do the same job for Eastern Europe. In a world with many economic powerhouses, it might make sense for there to be a number of different reserve currencies. For now, the dollar is still top dog, but radical changes could be afoot.
SOURCE: http://www.cityam.com/markets-and-investments/x88ril6kcs.html
New Deadly Dollar Carry Trade
By: Jim Willie CB
A powerful hidden engine existed for close to 20 years called the Yen Carry Trade. The engine produced tainted trillion$ for its priviliged participants, whose access to cheap money was assured and whose control of government policy was tight. The engine served two important purposes. It kept the Japanese Yen currency exchange rate low, sufficient for maintaining the export juggernaut that sent products around global supply routes with names like Toyota, Honda, Komatsu, Mitsubishi, Nikon, Toshiba, and Fuji for a string of years. It also supplied a torrent of funds to feed both the Japanese and Western (think US, UK, Europe) financial markets its most important channel in existence. The Yen Carry Trade was that important. The Bank of Japan and a host of Tokyo-based financial firms relied upon this carry trade for basically free money. This important money making machine required Japanese interest rates and currency to remain low, and USTreasury Bond yields and US$ currency to remain high. Those halcyon days are largely done, since the Yen is on a rising uptrend and the US$ is on the falling downtrend, even as US long-term rates are stuck below a defended steel bar. Nowadays, the insider firms are struggling to avoid a wrestling match with the Grim Reaper. They are falling like flies.
In the last two to three years, a significant portion of this carry trade has been unwound. In fact, when the US stock market went from Dow 14000 to Dow 7000, it was widely believed that the unwind of the Yen Carry Trade coincided with the decline, thus ending an era. Not to be denied, foreigners tapped into the easy money game during the longstanding era. Wall Street, London, and several European finance centers exploited the opportunity also. When the US$ exchange rate topped in year 2001, and when the US stock market topped in year 2007, the exits became crowded with Japanese and Westerners alike, as they dismantled their leveraged machinery designed to capture the easiest money in modern history. If these firms entered the mortgage bond torture chambers, they had to contend with floors that vanished, as well as swinging axes. Survival is a grand challenge when removing leveraged machinery.
YEN CARRY TRADE DYNAMICS
The Yen Carry Trade worked like this in rough terms. The large financial firms borrowed Japanese money at the near 0% rate, a lot of money, and managed a Yen currency risk. They could either borrow cash from Japanese banks or integrate short Yen positions into contracts with equivalent risk exposure. They had liberty to invest in whatever instrument they wished, but the favorite in the last two decades had been the USTreasury long bond. They earned 4% to 5% vig on the difference, but required a rising USDollar and falling Japanese Yen. The ruinous bursted bubble from Japan around 1990 and the seemingly endless years of 0% Japanese money enabled the Yen Carry Trade against a backdrop of a chronic insolvent Japanese bank system. A critical characteristic of that carry trade was that is applied leveraged enormous pressure in a way so as to maintain the low Yen currency and the high US$ currency. The typical leverage acted like a crowbar (jimmybar) to apply 10x to 20x more force, deploying futures contracts. The leveraged gains were thus between 50% and 100% per year, dotted with some currency risk. Be sure to know that other objects of this leveraged game involved the purchase of US stocks, like in an S&P bundle, and UKGilt Bonds and even German Bunds. Speaking of German, the entire Yen Carry Trade concept was totally unknown to the venerable Kurt Richebächer, admitted in our conversations in August 2003. May he rest in peace.
The objective asset had to meet requirements. They required only strong currencies and hefty bond yields, an easy task to identify object assets to invest in. Since 2001 when the Gold price hit bottom, another object for investment had been the Gold asset. The Gold price has risen in part from the Yen Carry Trade. In fact, the unwind of the Yen Carry Trade might be a key factor to explain the Gold price consolidation since January 2008, nearly a two-year period. My belief is that the long consolidation has created a very strong foundation for a rise to $2000, not a ceiling to limit the Gold price as the clownish pundits claim who litter the compromised landscape. Since year 2003, when the USFed hit the floor with low interest rates, funds to power Gold investment have largely been drawn from the USDollar fountain. Since mid-2007 when the USFed took the official rate even lower, matching the 0% from Japan, against all promises to do so, the Gold investment has been powered clearly by funds in US$ denomination. That movement will surely accelerate.
The Yen Carry Trade decline and wind-down has been reported for the last few years. It has been attributed to the US stock downdrafts. It would be impossible to wind it down in a year or two, even three years. It was that big. Its size is estimated to be perhaps $2 trillion in magnitude. The unwind has a nasty blowback effect to be felt by Japan. The Yen currency rebounded in the last couple years, thus creating a foundation for a strong recovery. In the process, the Japanese export trade is threatened by a rising Yen, rendering its exported products more expensive. Japan must therefore manage a transition to a new major trade partner in China, which has actually eclipsed the US in recent months. During this transition process, Japan will gradually loosen high level corporate ties and important political ties with the Untied States. If the Yen rises faster than the Chinese Yuan, then the transition can be managed to mutual benefits between Japan and China. The only problem is that Japan might find itself becoming a Chinese Lackey in much the same way it was an American Lackey for 50 years. The new Japanese prime minister elect Hatoyama has publicly stated his intention to strive for more balance.
PILLAGE FROM GOLD CARRY TRADE
Welcome a new carry trade to town! Before introducing it, let it be known that the carry trade concept was not a foreign tool to Robert Rubin, former Goldman Sachs currency superstar and former Treasury Secy in the Clinton Admin. He was the initial Wall Street fox invited to serve in the Dept Treasury henhouse, the beginning of the financial structure ruin for the nation. He served as Treasury Secretary in the same sense that a armored truck heist serves a bank. Rubin designed the Gold Carry Trade in the 1990 decade that took down the Gold price. He arranged for the USTreasury gold lease rate to be in the neighborhood of 1%, made available to Wall Street firms, but NOT YOU! They leased the gold bullion from Fort Knox, the national treasury, and sold it into the market. With proceeds they bought USTreasury Bonds, and ushered in a decade of prosperity, as they like to call it, more like a Stolen Decade of Prosperity in Jackass parlance. They set up this Decade of Despair. The end result was the depletion of the USGovt gold treasure by Wall Street for their private gain, but NOT YOURS! To think Wall Street exists in order to facilitate capital formation for the USEconomy is a gross error of judgment, that misses the entire criminal syndicate function they serve, best described as a vast parasite. The public has finally seen it with the climax death of Lehman Brothers, the nationalizations of the Black Holes in AIG and Fannie Mae, the extortion for the TARP funds, the secrecy upheld for its slush fund distribution, and the defiant posture from the USFed when confronted with audits. The syndicate is showing itself more clearly.
The Gold Carry Trade served its purpose, enriching Goldman Sachs beyond its wildest dreams. They even orchestrated an IPO stock event in order to cash in but retain control from their own deep bounty. Gold descended from $400-450 per ounce down below $300, hitting the depth a year after Rubin’s yeoman service. The USDollar peaked at the same time that gold bottomed. Now with insolvency of the US banks and US households, comes insolvency of the USGovt and the absence of its gold collateral for the USDollar itself, the consequence of Wall Street plunder and pillage.
Be sure to know that the natural order has unfolded the beginning of a quiet murder skein behind the scenes. It has been launched by the death of an ABN Amro banker in the Netherlands and the death of the Freddie Mac Chief Financial Officer, both last spring. Other deaths occurred just last week, four convenient ends for men who might have struck a plea bargain agreements with damning evidence, who might have been targeted by angry elite investment victims, and who might just have known too much about fraudulent money trails. Anyone who buys the suicide stories is dopey at best, a moron at worst. Recall that the businessman Al Capone attended church and gave money to ophanages.
THE USDOLLAR CARRY TRADE
Welcome a new carry trade to town! Here in the present, the new carry trade has begun to take root with the USDollar as its basis. Its requirements are simply stated. It needs a crippled bank system that offers a reliable 0% interest rate, a crippled currency that offers little risk of a rise in exchange rate, and plenty of targeted opportunities to invest in rising asset groups in competition. The gold asset is one such object asset. One is hard pressed to identify a sovereign bond security pitched by a government with any credibility. Their deficits, boatloads of bond issuance, and public statements in desire of weaker currencies tend to rule them out. So Govt Bonds are not a viable object. They are too busy ruining their currencies in the midst of the Competing Currency War. Why just two weeks ago, the Swiss Govt announced their frustration at a rising currency, despite all efforts to undermine their Franc currency. They will be forced to redouble their destructive efforts. The Europeans did NOT want to reduce interest rates a year ago, but they did, a correct Jackass forecast that went directly against some banker contacts. That shows the power of the Competing Currency War, since the Euro currency had risen to 160, sufficient to render considerable harm to the European Union Economy in its export trade. With numerous currencies ‘frozen’ from programmed destruction, the time is ripe for the USDollar Carry Trade to be launched. It has been launched. THIS CARRY TRADE WILL PUNISH THE USDOLLAR BADLY AS IT WEARS A BADGE OF SHAME!
The ruinous bursted bubble from Japan around 1990 and the seemingly endless years of 0% Japanese money enabled the Yen Carry Trade against a backdrop of a chronically insolvent Japanese bank system. A critical characteristic of that carry trade was that heavy leverage applied enormous pressure in a way so as to maintain the low Yen currency and the high US$ currency. In the summer 2008 when the USFed took the official interest down to 0.25% and stuck it there, the USDollar Carry Trade was assured of a vigorous run through the financial factories. Here is what is so important about its upcoming entrenchment. The US$ exchange rates will be heavily subdued, with any rebounds totally smothered, resulting in a relentless Gold rise with gusto. The shorting of the US$ is key for the supply of funds. It comes as borrowed US$ funds used outside the US Sphere, thus net bearish. It comes as leveraged instruments designed to capitalize on a continued US$ decline integrated into securities like with short DX contracts.
The coordinated and systematic ruin of major currencies, through monetizations, through vast federal deficits, through sustained near 0% official rates, and through chronically insolvent national bank systems, will assure that the Gold asset will be a favorite for the USDollar Carry Trade for at least a couple years, maybe more. Furthermore, installation of the USDollar Carry Trade will assure that No Exit Strategy will be available to the USFed also. Wall Street firms will participate in this free lunch carry trade, just like all others. Wall Street will not permit a USFed rate hike to firm the US$ exchange rate. Talk about a strong perverse factor behind the USDollar. This is every bit as powerful as the ‘Beijing Gold Put’ analyzed in the Hat Trick Letter issued in September.
Continued forces will be at work in a variety of ways to continue the thrust and duration of this new USDollar Carry Trade, sure to keep it badly subdued. The risk is so great that a USTreasury Bond default could even become the last stop on its pathogenesis pathway. Just today, the compromised erudite spokesman Lawrence Meyers actually said the USFed will probably remain on hold for its near 0% interest rate until the end of 2011. That is NOT a misprint!!! The USFed will justify its decision not to hike rates, not to halt money creation, all the while discussing theoretically an Exit Strategy. Try not to laugh too hard! Also, the US$ Swap Facilities are scheduled to end in October 2009. Their extension should be very harmful for the USDollar, from the bad publicity and the understood urgent implicit desperate need. The next wave of US bank losses will arrive to coincide with the falling of the leaves in autumn, an apt parallel. The inability of the USFed to conduct and execute any Exit Strategy at all is powerful impetus behind the development of the USDollar Carry Trade, and the powerful lift it gives the Gold price. They cannot raise interest rates. The Stimulus Bill has run its measly course. The monetary stimulus must remain in place. The Uncle Sam patient is imprisoned in the Intensive Care Ward.
THE YEN, USDOLLAR & GOLD
The Japanese Yen bottom occurred in summer 2007, just about the time of the US stock peak. That is not a coincidence, since Yen Carry Trade funds propelled the US financial markets in a general sense. The continued breakout in the Yen beyond the January 112 highs will amplify the USDollar bear market, and push the US$ DX index to multi-decade lows. A panic comes, coordinated with a rise in the Euro, Yen, and other currencies.
The USDollar DX index will probably head below the critical support at 70 sometime early next year, or late this year. Its movements are increasingly volatile, in a bad way. A global revolt against the US$ is underway with full speed. The only US$ support comes from monetization and deception, as the Printing Pre$$ is active. The nation is insolvent in most every respect. No return to normalcy will come, despite the hopes and dreams of US leaders, unfortunately trapped inside the USDome, where perceptions are flawed. The US financial structure is permanently broken. In reaction to today’s FOMC decision to leave interest rates alone, the USDollar has resumed its decline. It will soon amplify its downward direction. While they spoke with optimistic words, the truth is that they are stuck without an Exit Strategy, which will become painfully clear over the passage of time.
Two weeks ago, a rather comprehensive list of reasons was provided for the Gold price breakout. Many factors were given to explain how and why the Gold price would march toward the $2000 level. THE ARRIVAL OF THE USDOLLAR CARRY TRADE IS A PRIMARY REASON FOR THE MARCH TO $2000 GOLD. Prepare for it, as the pundits will be made to squirm and eat crow! Almost all pronouncements, propaganda, and prattle must be ignored that come from the Pagan Paper Palaces that have wrought the current destruction and wreckage. The only factor they comprehend is the excessive printing of money and largesse from government budgets to aid the rescue and stimulate the moribund as well as to nationalize both the dead financial firms and their grotesque fraud laced with counterfeit.
CENTRAL BANKER DESTRUCTION OF CAPITAL
The phenomenon will be much like a flesh eating bacteria. What is eaten during unbridled USFed money creation and USGovt debt issuance is the USEconomic capital, both industial capital and household capital. The most misunderstood aspect of the profound accommodation with near 0% rate of interest (ZIRP) and enormous mountains of printed money (QE) is the destruction of USEconomic capital. Not only is new capital formation NOT possible, but capital is liquidated and banks are hesitant to lend even to good customers. Zero Interest Rate Policy and Quantitative Easing serve as the most severe and formidable Weapons of Mass Destruction to capital that the modern world has ever seen. See small business sector, see the car industry & supply lines, see construction sector, and much more. Both the ZIRP and QE are fuel and lubricant both to power gold to the $2000 level, serving as vivid battle cries!
The tragedy of modern day central banking, a franchise in total failure, has been the hidden destruction of capital with their full blessing. The central bankers cheered the dispatch of US factories to China so as to exploit cheaper labor, labeling ‘Low Cost Solutions’ as the myth chapter. Debt replaced income. They cheered the raid of equity from US homes after urging a housing bubble creation. Foreclosures resulted. They justified the absurd legitimacy of a USEconomy structured atop a housing bubble, calling home equity wealth, labeling ‘Asset Economy’ as the myth chapter. Bank system insolvency resulted. They justified the horrendous US trade gaps and current account deficits, recycled back to the US from Asian and OPEC finance of the USTreasurys, labeling ‘Macro Economy’ as the myth chapter. Credit dependence and now monetization dependence resulted. They cheered the ultra-low rates to stimulate an economic rebound that has not occurred, to their frustration. They endorsed the US bank stock rally, aided and abetted by fraudulent bank balance sheet accounting. Lofty stock valuations (amidst a 97% profit decline) and heavy executive insider selling resulted. They cheered the stupid Clunker Car program that used $9 of USGovt funds for every $1 in fuel costs. A Detroit basket case resulted.
The latest shameful disgraces for the USFed are three. 1) The USFed monetizes USTreasurys during auctions by using the primary dealers as temporary holders before permanent open market operations, and by using foreign central bank sales of USAgency Mortgage Bonds in addition to the USDollar Swap Facility. 2) The USFed just admitted publicly that it had consistently been hiding its Gold Swap Agreements, thus rendering Greenspan a perjury perpetrator and the institution in violation of its contract. 3) New York Fed president Jan Hatzius (another GSax plant) expects the USFed balance sheet to expand by over $1 trillion more. The transgressions of the USFed ensure gold will hit $2000.
The idiots in the room are central bankers. They hold invisible wrecking balls and vats of acid. They busily help to coordinate the newest initiatives from the group of many new USGovt czars, each with semi-dictatorial powers, answerable to almost nobody. The clueless American leaders and awestruck US corporate chieftains and victimized American citizens watch in horror as the US Politburo is assembled toward creation of a communist state. Liberties were shredded following a certain event of grand deception and subterfuge in september 2001. Let’s just call it a Coup d’Etat, with the identities kept under wraps, since their hit squads are quite proficient and roam freely.
Jim Willie CB is a statistical analyst in marketing research and retail forecasting. He holds a PhD in Statistics. His career has stretched over 25 years. He aspires to thrive in the financial editor world, unencumbered by the limitations of economic credentials. Visit his free website to find articles from topflight authors at www.GoldenJackass.com . For personal questions about subscriptions, contact him at JimWillieCB@aol.com
Inside deal gets you $691 in Forex bonuses
(Due to an ‘inside deal’, you might
still have a chance to get in on this
sold-out Forex training… PLUS keep
$691 in bonuses, even if you send it
back!)
Last week, 35+ year trader Bill Poulos quickly burned
through his initial inventory of his brand new Forex Time
Machine training course…
This course was then pulled off the market last Thursday
(the countdown timer flashed “Sorry, Expired” at 11:59pm
that evening).
===> GOOD NEWS FOLLOWS…
Then, over the weekend, Bill made an ‘inside deal’ with his
private ‘priority list’. They helped him figure out what
kind of extra training to add for his next group of students
by filling out a survey; and in return, Bill agreed to
release 75 more copies of his course.
But he also did something a little crazy for them –
– he added on $691 in previously-unannounced surprise bonus
training materials.
(And he’s letting them KEEP the bonuses even if they end up
returning his new course!)
When I found out about this, I asked Bill if I could get you
in on the deal.
He agreed, but with one “catch” — he’s not planning on
producing any more than the extra 75 copies he churned out
over the weekend.
===> BAD NEWS BELOW…
The bad news is that his ‘priority list’ already snapped up
almost half of these remaining copies.
Further, even if there are any remaining, he’s pulling
everything off the market this Thursday, September 24th, at
11:59pm Eastern.
As of this writing, he shows 39 copies left…
So it’s either 39 copies or a few more days – whichever
comes first.
Here’s the special link he set up for his ‘priority list’:
http://www.yourforexangle.com/y/?i=773362&u=4&l=f16
Good Trading,
Alan
p.s. If you’re still not where you feel you deserve to be at
with your Forex trading goals, I really hope this message
gets to you in time before this special deal expires. It’s
truly ‘top tier’ Forex education unlike anything you’ve seen
before, and it deserves a solid look… ESPECIALLY with the
“You Get To Keep ‘Em” $691 in bonuses here:
Final Forex Time Machine Notice & Webinar Replay (? copies left)
Dear fellow traders,
Well, this is it.
The brand new Forex Time Machine training course that
reveals the latest ‘what works now’ Forex tactics will
probably be sold out by the time you get this (and if not,
it officially comes off the market TONIGHT at 11:59pm
Eastern)…
-but I wanted to get you this replay of the awesome webinar
the developer, Bill Poulos, just hosted in case you get this
in time.
Here’s the replay:
http://www.yourforexangle.com/y/?i=773362&u=4&l=f14
Bill leaked out some of the actual tactics he reveals in his
course and even walked attendees through actual charts on
his trading computer.
There was a GREAT turnout, with lots of really good
questions.
I hope you enjoy it:
http://www.yourforexangle.com/y/?i=773362&u=4&l=f14
Good Trading,
Alan
p.s. If you’d like to skip past the webinar replay and check to
see if any copies of the Forex Time Machine are left, go here:
Avoid this huge “rookie” Forex mistake (webinar)
No matter how you trade Forex, you probably don’t want to
place another trade until you make sure you aren’t making
these 2 critical mistakes that most traders make.
Keep reading, because this is your ONE AND ONLY official
invite to an “emergency” webinar being held tomorrow,
Thursday, September 17th at 4pm Eastern by Bill Poulos,
developer of the Forex Time Machine home study course that’s
being snapped up left and right by Forex traders around the
globe RIGHT NOW.
(Plus, Bill has a few surprises you’ve NEVER seen before
that will be revealed on the webinar that you will NOT want
to miss.)
Register HERE:
http://www.yourforexangle.com/y/?i=773362&u=4&l=f13
As of this writing, Bill says he only has about 50 copies of
his course left of the 300 copies he initially planned to
distribute.
That means they’ll probably sell out any day now.
HOWEVER…
Bill’s student support center is getting slammed with
questions about his new course (this comes as no surprise to
me, since over 100,000 traders have visited his website in
the past week)…
-and there seem to be a few questions that traders like you
keep asking him again and again…
So, to save his support staff some time, he thought it would
be best to hold an “emergency”, last-minute webinar where
he’ll address these top questions for everybody, ALL AT
ONCE.
Specifically, he’ll be yanking some of the best content
straight out of his Forex Time Machine course and revealing
it live on the webinar:
* Why almost everything you’ve been taught about the “right”
way to enter a trade could be DEAD WRONG… and how to avoid
this rookie mistake most traders make that doom their
chances for success…
* Why most traders actually LOSE money when they try to
capture a market’s entire move, and how you can turn this
into your advantage when you know the exact part of a market
move you should be going after…
* …and a TON more.
————————————————–
1 LUCKY TRADER WALKS AWAY WITH A COPY ON THE HOUSE
—————————————————
Since Bill expects a huge turnout for this webinar, he
wanted to spice it up a little and add a super fun element
to it…
-so, he decided to give away 1 copy of his Forex Time
Machine course!
All you need to do to get a copy is SHOW UP.
* You MUST be present to win. We will announce the lucky
traders “live” and make arrangements for shipping privately
with them during the webinar.
——–
SURPRISE <– stick around for this one
——–
And if that’s not enough, at the end of the webinar Bill has
a few more big surprises for you that you will NOT want to
miss.
Trust me.
To claim your virtual seat for this webinar, go ahead and
register here NOW:
http://www.yourforexangle.com/y/?i=773362&u=4&l=f13
It’s a near certainty that this webinar WILL be filled to
its technical limit, so after you register, plan on showing
up early to make sure you get in, because…
-once the room fills up, you will be LOCKED OUT.
Again, it’s all happening on Thursday, September 17th, at
4pm Eastern (New York time).
See you then.
Good Trading,
Alan
Peek inside the “guts” of the Forex Time Machine
Bill Poulos just posted a brand new video where he tears
open the “kit” of his brand new Forex Time Machine training
course…
-and shows you exactly what’s inside.
He even gets a little “nerdier” than usual and steps you
through the 3 trading methods that are part of his course…
-revealing on actual charts HOW you could be trading with
these 3 methods, and the specific types of markets they show
you how to exploit.
See it here:
http://www.yourforexangle.com/y/?i=773362&u=4&l=f12
(Bill recorded this in response to questions he was
receiving at his support center for more information on
“what’s inside the box?”)
Good Trading,
Alan
p.s. Bill still has some copies of his Forex Time Machine
course left, but not for long. It comes off the market this
THURSDAY, September 17th, at 11:59pm, so if you’re still on
the fence, watch this video:
