RISK ON THE US DOLLAR WORLD WIDE
China is sinking in the following ways:
- Over a trillion dollars of capital flight is leaving China
- New partners are leaving China
- The red tape to do business and the Chinese partner plan no longer work globally
- The IP lack of law respect and protection places economic ceilings on China due to lack of rule of law and corruption
- The economy is tanking and output now is slowing – a lot
Worse China is experiencing the second DEVALUATION of its Communist paper money in 24 months. The closing against the US dollar was prophetic with no end in sight. China’s credit rating to pay its debts now against its increasingly sinking currency modeling makes the future of China in its 300 Debt over GNP to run its core economic – dicey with lower credit ratings. Watch for those lower ratings coming next. Borrowing costs for China will soar due to central bank lack of accommodations along with sinking value to its currency in buying power world wide.
What Trade Wars do if new trading scheme’s can not be worked out is the following:
- Confidence is shattered between trading partners
- Every nation moves into itself mode – all for one none for all
- Companies do the same – every company in it for its own profit – one for one none for all
Confidence is SHATTERING this summer. That is a high risk on and a game changer in world trade.
Experts today think Trade wars will decline global GNP by .04%. We disagree we think Trade War could shatter GNP into negative territory and a recession in many nations – but not the USA.
The USA Dollar is soaring. Petro trading accounts help that dollar back bone as the USA RISES TO AGAIN HOLD THE GLOBAL RECORD AS THE NUMBER ONE OIL PRODUCING NATION ON EARTH.
Nations tripping into recession with ever weaker currency – like Venezuela can no longer pay their bills. Sitting on one of the largest lakes of oil on earth their output in oil has fallen steadily for years. Today its lowest output in 50 years. Venezuela is economically a FAILED COMMUNIST STATE ( another one ) in which economically communism is the worst system to select for nations and people. The economics are well proven. While all systems require reform into COOPERATIVE CAPITALISM from failed competitive capitalism and its hybrid’s communism, because elites control 99% against the billions who control less than 1%. Such a system always ends badly and creates world wars to rebalance accounts. WARS ARE ECONOMIC OUTCOMES to years of political abuse of economics.
The public has no education in this area and remains largely economically illiterate. Thus they are distracted on voter issues away from economics which should be the PRIME VOTER ISSUE – merge central banks into your treasury – candidates who roll back cooperative capitalism and its transparency and lack of secrets.
Trade Wars are class warfare. Those engaged in trade wars should they win – say the USA and TRUMP – would roll back jobs economic and foundational core strength to USA markets. Still the war is between elites who own the means of production and distribution – the FEW AGAINST THE MANY.
In a trade war can everyone win?
Yes in Cooperative Capitalism but NO in competitive capitalism.
The VAM – the Velocity Acceleration and Momentum of American Trump economics is unlikely to slow into recession without a catasyroptic event globally – until 2020/2020 even. If Trump sways voters to give him a REPUBLICAN CONGRESS the nation will work – and infrastructure stimulation will pass the US congress. This next wave along with others may be sufficient to propel the USA to Trade war agreements and massive up bubble to USA economics.
History shows us that trade wars spiral into system collapse and world wars. Trade wars have been the last of the five phases all feudalism since Greece to today have gone through and the process never varies – the history that never varies outlined in my BOOK – REDEMPTION THE COOPERATION REVOLUTION – a great July 4th read – the book reads you as you read the book – is these five never variables:
- Elites consolidate wealth since the last world war until 1% own and control more wealth than 99%. We are approaching those stats today.
- A system melt down occurs as such consolidation effects CIRCULATION and is no longer stable economics – see 2008 Great Recession.
- This melt down creates distrust and negotiation with trading partners who move into every nation for themselves – in crash recovery – and full on TRADE WARS as in the last two depressions 1907 and 1929.
- A SUPER CRASH due to debt defaulting cascades globally is the tipping point for the banks to close the financial system to break apart and the global system at core fails. All when the pony express delivered US mail. Last time. Faster in digital space with no warning this time.
- World War evolves to rebalance distressed economic accounts to re-tool world trade outcomes after a horrific war resets s new world order to those war victors advantage.
What creates 1 to 5 that gives the world hives for knives?
Competition. Competitive thought impulse is a mid brain form of human insanity.
What could rewrite this history that never varies economically over generations who never remember cause and only deal with false symptoms which fix nothing and make everything far worse in leverage extension until system liquidity freezes in distrust and negotiation break downs from trade wars that only spiral upward.
Will trade actually drop by as much as 2% from trade wars as we predict tipping more and more nations into recession? Will the EU break up in a default debt cascade event or China?
When will the debt sink the ships of nations?
Do you see any sign of rising cooperation or do you see evidence of rising competition between nations in distrust and negotiation? The one rule of world system historic collapse is this:
…..never assume nations will act in fact in their own best economic outcomes when politics control economics versus economics control the politics………
This sentence dictates patterns if we learn from history we can rely on for the future…..or said another way….this can not end well.
For this reason the SUPER RICH are pulling their money into cash and are no longer investing in markets as they did in 2017 and 2018. They are on PAUSE and summer vacation insulating risk.
We have told our readers to circulate with their love circles of family and friends and explore moving all investing and savings to fully guaranteed and protected DIVERSIFIED INSURANCE INVESTING – with licensed professional security and insurance agent experts to advise you on options. Then act and take your best option protection plan and lose nothing. SELL HIGH and protect until the next low. Smart timing as we are in phase 4 and TRADE WAR – a historic trend we can Track and assume is repeating with no powers moving into cooperation…which still could happen if human insanity impulse to act in insanity and competition can be defeated by leadership.
Also competition breeds a crises of INTEGRITY. In cooperation you rely on the DNA o integrity in all discussions. In Competition your assumption is there is no integrity itself a form of insanity which itself lack integrity because the thinking PROCESS at core is a form of insanity. Competition in all forms is insane thinking. An insane thought form. READ REDEMPTION for more data on this truth as you wake yourself up from the insanity impulse.
I have optimism it is not to late to re-write history.
I have healthy insulation from optimism that no one is acting in new process terms to re-write past history as they are repeating past history precisely.
The Fed is the tipping point. The Central banks are raising interest rates far to rapidly far to high far too frequently. As they did to create both WORLD WAR I and WORLD WAR II which they and their members profit massively from as a Greed Machine. We have asked readers to develop voter circles that elect candidates that hold a platform pledge and promise to MERGE THEIR CENTRL BANKS back into their treasury for oversight and removal of interest cost to print money – and insane FEW AGAINST THE MANY idea for greed and insane profit consolidations of wealth.
Do you really want the bank to have the tallest building in your city? would you prefer Apple – Google – Wal Mart – Target – Face Book or Amazon or even Tesla? The innovators and the economic developers the back bones or do you want the DEBT MONSTERS to own the largest building in your city who cause all world wars?
If you scroll information on the FED and central banks is presented with film and data you become educated within right here on this blog. You pause and say WHY IS THIS HISTORY NOT INSTRUCTED IN OUR PUBLIC SCHOOLS as ESSENTIAL? And you already know the answer to that pop quiz – greed is all they heed. GREED. Human insane greed.
Can we evolve an improved global system – cooperative capitalism – the many for the many versus the few against the many? Sure we can and we must or we do so after WORLD WAR III which is on its way and began digitally in 2008 with digital warfare attacks son our markets. If you didn’t know THAT read DOD contractor Kevin Freemans THE SECRET WEAPON AND GET HIS GAME PLAN read both. You’ll wake up a lot with the book that keeps Presidents up and the story line behind President BILL CLINTONS BLOCK BUSTER BEST SELLING out now – buy that and see what digital warfare is in the real world in real time.
From a President ringing the bell for you on reality first reported on this blog before Kevin or anyone wrote anything – that 2008 was a western DIGITAL PEARL OF HARBOR that almost won the war without firing a shot – by collapsing our markets – it was close – bank close out was close folks.
No one fixed anything. The can has kicked down the road. Nothing can be fixed unless the FED was merged into the USA treasury.
Who causes financial crash’s? The Federal Reserve Board. if you don’t believe that you have some study ahead until the data alerts you that all other positions are wrong. Failed Fed Policy has killed more human beings than all illness and other factors combined together. THE FED must merge back into US treasury. Its charter created by an only 80 page rushed secret act of congress – came about when the pony express delivered the mail. The fed is digitally irrelevant and to costly to keep isolated in a accountability free zone – free of audit – oversight – and no veto powers or checks and balance can alter FED a private stock firm owned by the institutions it regulates ( but not really ) to maximize its own shareholder profits against the needs of the UNITED STAES AND ITS PEOPLE.
WAKE UP TO PURE ECONOMICS AND BECOME ACTIVE VOTERS. It is not hard. It what they the elites fear most. That you the masses would become truly informed and than act.
So the risk is rising with China falling. The Debt economy of China is not sustainable. The debt load can never be repaid. The China miracle is stalling and has stalled and without Dept would have SUPER CRASHED and gone into a CHINA dark depression of economics. That spiral into the DARKNESS is taking place right now. China compressed with falling job base, customers and clients leaving in droves forever to other nearby nations – capital flying out by trillions – a compression spiral of economics communist are making the WRONG POLICY CHOICE upon, lead got a hair trigger to collapse of the Chinese economic model in a wave of debt defaulting.
The solution for China also well published here includes:
- Absolute open access to its markets
- Rule of law absolute protection of IP
- Super Bonds to reset China debt off 100 years and infuse required infrastructure to inplant pure HYDROGEN power generation as the Chinese environment goes clean nation wide in ten years.
Three and their free. Delay is the price China can not afford to pay. Getting a HISTORIC TRADE DEAL SIGNED WITH THE USA will give China time to do 1 to 3.
If China takes other courses of action the currency devaluation taking place before the US Fourth of July Holiday is going to trigger debt credit downgrading – soaring borrowing costs – and further erode China’s capacity to act and insulate its own death spiral.
The China DEATH SPIRAL is game on in a trade war we reported here China has no ammunition to win such. trade war and the trade war can become a global tipping point into SUPER CRASH and world war III.
Follow the dancing ball. Trade War began to sink China economics last spring. A enormous downward spiral in jobs – financials – mergers – everything economic – has been imploding on China in April in May and now in June. The downward death spiral is a failure to not revise trade terms with China’s largest source of revenue – now in total route and decline.
This week – our INDEPENDENCE CELEBRATION WEEK JULY 4th – China is having every communist leader at the top in the EU. China has lobbied the EU to forge a CHINA/EU anti America Trade deal and directly opposes Fair Trade for on going unfair trade with America. The EU leaders have rejected China as its currency again is devaluing and this time with zero support from either America or EU central banks. CHINA is isolated increasingly and has no way out of its death spiral.
We told you the US dollar would soar when experts suggested the US dollar was finished as a world currency reserve and China would take over that role. China has tried and tried again. They have failed every single time? Why? Because the second largest nation in GNP is debt fueled and tied with Japan Indonesia and INDIA that moves ahead of China by 2020 to replace China as number two. Number two is like two on an earthquake Richter scale where 10 is the USA GNP. China is NO WHERE CLOSE TO USA economics buying power or global influence. If china spends on military until it defaults on debts and goes suddenly bankrupt it can not catch up – match – or pose any real threat militarily to the United States OF AMERICA. Nor can Russia who if continues to spend on military expansion will truncate any economic up bubble and will create no matching force to the USA just improved assured self destruction of RUSSIA as a failed state – economically. Also driven by unsustainable debt loading. China and Russia have a way out and a way back up – trade deals with the USA. Without those trade deals as time goes by the states weeken to a point of no return.
As China currency crashes in value – its goods become cheaper even with tariff’s to buy world wide. As the USA dollar soars the goods of the US become far more costly in all other nations.
The dumping of Chinese phony money and the buying of US dollars is now reaching trillions globally. In just Chinese currency but it is across all boards. THE USA and TRUMP economics are ascending in every measurable globally, and the USA is rising ahead of all economics as the leading and only leading economic power on earth. THE US dollar is firm and secure as world reserve currency for too many reasons to again report here. We have been on the right side of data in these calls all now coming home to accuracy and precise timing.
A healthy SPRING correction will result in a trade war rough ride in the summer with a fall forward and rise into 4th quarter on going expansion and market new high levels we project. WE told you we have TIME yet. Still act on the suggestions to explore and protect yourself. Third party hair triggers are still possible. Digital war economically is still on going between nations. We are in a digital world war III and I you don’t know that – you are lacking critical data upon which to make superior decisions.
The DOLLAR is soaring and will continue to rise into the leading currency world wide – the hedge – better than GOLD – US dollars. Own some. Everyone own some.
The price is only rising …
The third world currency markets are going down by comparison and until trade war resolves contact nation by contract nation those currency can no longer recover. China in trade war is engaged in “economic death spiral ” with no political will to fix the crises to their own nation. Their planners are naive to untended immediate short and long term consequences all unfolding into the CHINA DEATH DEBT TRAP FATAL SPIRAL. The Sun also sets in China.
China spin is not China reality. All the lies in the world can not remedy the economics in China taking place every week in the most serious down bubble in modern Chinese history. Now the EU has rejected CHINA strategy to EU and CHINA opposes USA policy for FAIR TRADE. To preserve the unfair trade advantage. The EU said no wisely as forward historic trade with the EU and USA remains in our historic alliance partners hands and will.
Trade wars. A Death spiral into SUPER CRASH and world war III? An opportunity to cooperate versus compete – inside integrity the DNA of collaboration – and move forward into richer futures for all?
WE HAVE TO WAIT AND SEE. You know have GPS historically and up to the 4th of July weekend. Ponder carefully because outcome here dictates your prosperity or your protection policy. have both in mind.
WE have well reported on the data and the WHY.
Your time to move out of markets and into diversified insurance investing is narrowing for your own safe harbor. You can explore the plan in a week with experts all licensed and highly capable. Just explore it.
When it is too late you lost your time your reserves – the values are gone in all asset classes. Then it IS too late to act.
If I’m write you win. If you act.
If I’m wrong you win if you act.
The downside? The downside is you don’t explore and act and lose it all.
THAT is the downside as the news unfold – although we have some good times remaining folks – we do.
THATS the only GOOD NEWS —- we have some time yet.
Berny Dohrmann – WHAT IS REALLY GOING ON OUT THERE //
Note: The high risk is that nations will death spiral trade war with an every nation for itself modeling – that will lead to massive debt defaulting cascade SUPER CRASH market freeze up and failure of the system into a world war to rebalance economic imbalances in national trade accounts. THIS RISK Of completion versus cooperation is the HIGH RISK we see as summer begins 2018.