Preparing For A Reset Of The World’s Reserve Currency

The eventual death of the U.S. Dollar is a given and not up for debate. This will, however,  sound alien and come as a shock to most living in the west who continue to go on living while turning a blind eye to current events.

Willem Middelkoop and Terence van der Hout of the Netherlands-based Commodity Discovery Fund believe that when the world’s reserve currency is reset away from the U.S. dollar in the next decade, gold prices will rise and mining equities will follow. Van der Hout and Middelkoop tell The Gold Report that by focusing on producers, near-producers ,and turnaround stories, they plan to capitalize on the opportunities in North America, Africa and beyond.

The Gold Report: Willem, your first book predicted the collapse of the global financial system a year before the 2008 fall of Lehman Bros. In your new book “The Big Reset: War on Gold and the Financial Endgame,” you’re predicting the demise of the dollar as the reserve currency by 2020. You said it can occur as a carefully planned event or as the result of a crisis. What would these two scenarios look like?

Willem Middelkoop: Authorities always prefer to act within a well-planned scenario. The U.S. and the International Monetary Fund (IMF) understand that the U.S. dollar has to be replaced one day. It could be 2020. It could be 2018. It could be 2023. It has to be replaced by another anchor to support the worldwide monetary system. Continue reading

Is the West Finally Waking up to Reality? Is it Too Late?

When we first started writing this Blog in 2011, few ever considered economic warfare. When we pointed out Vladimir Putin’s threats against the dollar, few paid attention. When we explained the risk of EMP, few cared to listen. When we stated that World War 3 could be around the corner, few understood. But, over the past weeks we have seen a slow recognition of these realities. The unfortunate thing is that this recognition is only beginning. And the threat is escalating quickly.

Here are some of the headlines and excerpts from four critical articles over the past week. The first from Ambrose Evans-Pritchard explains the reality of economic warfare:

US financial showdown with Russia is more dangerous than it looks, for both sides Continue reading

The American Middle Class Is No Longer the World’s Richest

The American middle class, long the most affluent in the world, has lost that distinction.

While the wealthiest Americans are outpacing many of their global peers, a New York Times analysis shows that across the lower- and middle-income tiers, citizens of other advanced countries have received considerably larger raises over the last three decades.

After-tax middle-class incomes in Canada — substantially behind in 2000 — now appear to be higher than in the United States. The poor in much of Europe earn more than poor Americans. Continue reading

Putin suggests creating unified system of naval bases in Russia’s Arctic

See also: Russia to Build Network of Modern Naval Bases in Arctic – Putin (RIA Novosti)

 

MOSCOW, April 22, 17:38 /ITAR-TASS/. Russian President Vladimir Putin has suggested creating a unified system of naval bases in Russia’s Arctic.

Speaking at a meeting of the Security Council on Tuesday Putin underscored the need for enhancing the reliability of protection of Russia’s Arctic borders.

“This should be done in various ways, including the reinforcement of the border guard forces’ naval group. Alongside, steps must be taken to enhance military infrastructure. In particular, the point at issue is creation of a unified system of bases for surface ships and new generation submarines in our sector of the Arctic ,” Putin said. Continue reading

Time for an EU energy union, says Polish PM

BRUSSELS - The European Union must create an energy union to secure its supply and reduce its dependence on Russian gas, Poland’s Prime Minister Donald Tusk has said.

Tusk’s energy blueprint, set out in an article in the Financial Times on Tuesday (22 April), would establish a single European body that would buy gas for the whole 28-nation bloc. This would end a system that currently sees the different countries negotiate their own deal with energy giant Gazprom, the government-backed firm which dominates Russia’s gas market.

Meanwhile, “solidarity mechanisms” between EU countries would kick into action if countries were threatened with being cut off from gas supplies. Continue reading

Egypt to ‘escalate’ Ethiopian dam dispute

In the three years since construction began on the 1.8km Grand Ethiopian Renaissance Dam across the Blue Nile River, Egypt and Ethiopia have been engaged in a war of words over its potential impacts.

Ethiopia believes the massive dam will herald an era of prosperity, spurring growth and attracting foreign currency with the export of power to neighbouring countries. But Egypt has raised concerns about the downstream effects, as the Blue Nile supplies the Nile with about 85 percent of its water. Continue reading

Obama Calls for Highest Sustained Taxation in U.S. History

(CNSNews.com) – In the budget proposal he presented to Congress last month, President Barack Obama called for what would be the highest level of sustained taxation ever imposed on the American people, according to the analysis published last week by the Congressional Budget Office.

Under Obama’s proposal, taxes would rise from 17.6 percent of Gross Domestic Product in 2014 to 19.2 percent in 2024. During the ten years from 2015 to 2024, federal taxation would average 18.7 percent GDP.

America has never been subjected to a ten-year stretch of taxation at that level. Continue reading

China allows gold imports via Beijing, sources say, amid reserves buying talk

(Reuters) – China has begun allowing gold imports through its capital Beijing, sources familiar with the matter said, in a move that would help keep purchases by the world’s top bullion buyer discreet at a time when it might be boosting official reserves.

The opening of a third import point after Shenzhen and Shanghai could also threaten Hong Kong’s pole position in China’s gold trade, as the mainland can get more of the metal it wants directly rather than through a route that discloses how much it is buying.

China does not release any trade data on gold. The only way bullion markets can get a sense of Chinese purchases is from the monthly release of export data by Hong Kong, which last year supplied $53 billion worth of gold to the mainland.

“We have already started shipping material in directly to Beijing,” said an industry source, who did not want to be named because he was not authorised to speak to the media. The quantities brought in so far are small, as imports via Beijing have only been allowed since the first quarter of this year, sources said. Continue reading

Putin Ignores Sanctions, Cuts Deals with Beijing

WASHINGTON – Russian President Vladimir Putin intends to respond to Western sanctions triggered by his country’s participation in the Ukrainian crisis by dramatically expanding bilateral trade with China, particularly in providing energy to fuel China’s fast-growing economy, according to Joseph Farah’s G2 Bulletin.

Moscow and Beijing have developed closer bilateral ties as relations between Russia and the European Union worsen. Russian Prime Minister Dmitry Medvedev has said cooperation with Beijing is a top priority for Moscow.

“It is the rise of the Eurasia century,” one Asian source said. “Moscow and Beijing’s interests are converging.” Continue reading

China Prepares Massive Investments in Crimea

China intends to invest in massive projects in Crimea less than a month after the former Ukrainian province was annexed by the Russian Federation.

Vladimir Chizhov, Russia’s ambassador to the European Union, said Russia is partnering with China in two major Crimean projects:  the “Power of Siberia” gas pipeline and a 25 meter deep Crimean deep water port. These projects will continue despite the ongoing crisis in the Ukraine, Chizhov said.

Chizhov described the “Power of Siberia” gas pipeline as a mega-project that will pump 60 billion cubic meters of gas annually from the Kovykta and Tchayandinskoe gas fields to Russia’s far east, where a branch line will deliver 38 billion cubic meters a year to China. Continue reading

This Means War: US To Target Putin’s Personal $40 Billion Stash

While the White House has continually threatened further sanctions against Russia for non-de-escalation (even as it un-de-escalates itself), the specifics of the additional sanctions have been sparse. German CEO warnings over blowback from economic sanctions… the “nonsense” of replacing Russian gas with US gas… the Russian warnings of “interdependence” and “boomerangs”… all reduce the West’s arsenal of financial sanctions. But, as The Times of London reports, perhaps the US has found a crucial pain point for Putin – a sanctions regime that would target Putin’s personal wealth, which includes a reported $40 billion stashed in Swiss bank accounts. Continue reading

The EU was HITLER’S idea and it proves Germany WON the Second World War, claims new book

While it may be hard to prove the book’s claims are correct, it would also be difficult to say that the EU is not a German project leading towards a United States of Europe. Every time the EU economy sinks, Germany gets richer and the only EU solution, as prescribed by the unelected German-led Troika, is pushing and forcing member states into further integration.

THE ‘fascist’ EU was inspired and designed by the NAZIS and is proof Hitler won the Second World War, an outrageous new book is claiming.

‘The EU: The Truth About The Fourth Reich – How Hitler Won The Second World War’ argues the single currency, the free market and even the phrase “United States of Europe” were all dreamt up by high ranking Nazis, including the Fuhrer himself.

It also claims the only country which benefits from the EU is Germany – just as Hitler planned.

A spokesperson for the Liberal Democrats – which its leader Nick Clegg describes as the “party of in” when it comes to the EU – dismissed the authors of the book as “peddling outlandish myths”.

The book, co-written by Daniel J Beddowes and Falvio Cipollini, says: “What is the EU for? Who really benefits? And the answer is of course Germany.  Continue reading