Collapse of Western Economy. (part 6.) Bashing Bernanke.

Posted by admin on September 5th, 2009 and filed under the new american oil boom | 25 Comments »

TELEGRAPH
September 12, 2008.

Saudi Arabia has refused to cut interest rates in lockstep with the US Federal Reserve for the first time, signalling that the oil-rich Gulf kingdom is preparing to break the dollar currency peg in a move that risks setting off a stampede out of the dollar across the Middle East.

“This is a very dangerous situation for the dollar,” said Hans Redeker, currency chief at BNP Paribas.

“Saudi Arabia has $800bn (£400bn) in their future generation fund, and the entire region has $3,500bn under management. They face an inflationary threat and do not want to import an interest rate policy set for the recessionary conditions in the United States,” he said.

The Saudi central bank said today that it would take “appropriate measures” to halt huge capital inflows into the country, but analysts say this policy is unsustainable and will inevitably lead to the collapse of the dollar peg.

As a close ally of the US, Riyadh has so far tried to stick to the peg, but the link is now destabilising its own economy.

Source:
http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2007/09/19/bcnsaudi119.xml

__________________________________
TELEGRAPH
June 19, 2008.

The Royal Bank of Scotland has advised clients to brace for a full-fledged crash in global stock and credit markets over the next three months as inflation paralyses the major central banks.

“A very nasty period is soon to be upon us – be prepared,” said Bob Janjuah, the bank’s credit strategist.

A report by the bank’s research team warns that the S&P 500 index of Wall Street equities is likely to fall by more than 300 points to around 1050 by September as “all the chickens come home to roost” from the excesses of the global boom, with contagion spreading across Europe and emerging markets.

Such a slide on world bourses would amount to one of the worst bear markets over the last century.

Source:
http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/06/18/cnrbs118.xml

The American National Debt has continued to increase an average of
$1.93 billion per day since September 28, 2007.

The national dept will exceed 10 trillion dollars within 2008.

In the 1990s $2.8 trillion of new debt was created; more than created in the nation’s entire history prior to 1990.

In the 4 years 1997-2001 total federal debt increased $438 billion,
a period when politicians bragged about a $557 billion surplus.
That’s a $1 Trillion creditability gap.
(Some might suggest Enron and others learned reporting gimmickry from government practices)

An additional $2.8 trillion of debt was added in 2002-2007.

Source:
http://home.att.net/~mwhodges/debt.htm

Duration : 0:6:46


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25 Responses

  1. 1KuanTi Says:

    Let close the FED, …
    Let close the FED, we need to gather people to start demonstrations, the number wil grow.

  2. izacsk8s3 Says:

    OBAMADECEPTION

    OBAMADECEPTION
    watch this on the youtube
    NOW

  3. Aartisd Says:

    Nice Nice Video. I …
    Nice Nice Video. I really loved your video. Youtube can be a great et for you. If you need any help getting your video exposed, check out this site called tubeviews [dot net] It has really done wonders for me, I have built 3 Channels up with videos at top in position and this is my forth channel i’m going to working on.

    Very Lovely….

  4. MANofINACTION Says:

    Yea european …
    Yea european tourists pay with euros in New York.

  5. cjtt2 Says:

    how would it be …
    how would it be possible to abolish the central bank? this would solve the problem stop inflation and the credit crunch which is going on in the uk.

  6. mattcg90 Says:

    To Americans:
    The …

    To Americans:
    The Federal Reserve says “foreign currency is legal tender in the US”. Trade in every dollar you own! The US government lowered interest rates in Bank accounts to 0%. Yet they make prices skyrocket with inflation. There is no obligation as an American citizen to play this game. Use foreign currency on US soil! America produces no money suitable for our uses.

  7. DisciplineTheSimian Says:

    Why? Because he …
    Why? Because he makes sense and the alphabet news channels demonize him. He is my congressman, noone ever runs against him around here. Look at old films of him, he has been saying the same truth for 25 years.

  8. smileychirk Says:

    Why isn’t this guy …
    Why isn’t this guy President ???

  9. smileychirk Says:

    It’s a mess already.
    It’s a mess already.

  10. Downfacingdog Says:

    Don’t mess with …
    Don’t mess with Texas!

  11. oxygenhy Says:

    I support Ron Paul, …
    I support Ron Paul, tho im not american, he has so much wisdom than all american presidents put together ! too bad he’s out of the race…:(

  12. hittingrabbit Says:

    Chuck Baldwin/ …
    Chuck Baldwin/Darrel Castle is running as a third party this year,and recently endorsed by Ron Paul for election 2008.

  13. yahoovisitor Says:

    This is about the …
    This is about the same situation Pakistan is passing thru. Countrys economy is being loaned/sold @ the rate of a common mans life leading to anxiety and flux in all departments of life ensuing in no-investment crisis & every new govt blaming the past govt for all the hazards & again taking its hands out to beg for more loans. The country is being sold out eventually by parts, with disorder, joblessness, fake inflation and injustice as the main issues resulting in anarchy and suicide bombing,

  14. ihop23947 Says:

    Invest in gold fine …
    Invest in gold fine, but you better OWN the gold and have it in a safe. Not to mention plenty of firepower to stop the police who will try to take it.

    The reality is you have no chance. Unless your willing to shoot your neighbor who gets desperate enough that he decides he wants what you got to feed his family.

  15. ihop23947 Says:

    Agree, which is why …
    Agree, which is why it is so shocking that there is no viable third party this year. This, the one year when they would have the best shot at winning! Why? Because its all a joke.

    As long as people care more about a bad NFL call than what there representative is doing – we’re screwed.

  16. DragOzze Says:

    on*
    on*

  17. DragOzze Says:

    Yea, bring it in ! …
    Yea, bring it in ! It won’t hurt me as much as it will hurt them

  18. concerned00citizen Says:

    Reps & Dems got us …
    Reps & Dems got us where we are and WE THE PEOPLE are too stupid to throw them all out. How many must lose homes, jobs, savings, retirement funds? How many?

  19. bustworthy Says:

    start hording …
    start hording canned goods, clothing, arms, and invest in gold. The end is near and its going to get really scary how primative our culture will degrade itself before is over.

  20. myhalo123 Says:

    Huh? I got the …
    Huh? I got the thumbs down, not you! But I get your point. Take care.

  21. ihop23947 Says:

    I got a thumbs down …
    I got a thumbs down for pointing out a fact/asking a question? Must have been one of those open minded, accepting liberals who did that. They love free speech, etc. as long as whatever you say agrees with them.

  22. ihop23947 Says:

    I say bring it on. …
    I say bring it on. I got no worries. A lot of people living way beyond there means and making way too much money for what they do off the backs of everyone else could use a dose of reality. Not to mention all the a-hole kids of these people who are complete dipsh#ts who care only about themselves and American Idol. This society is moral-less, value-less, and “me” obsessed.

  23. yahoovisitor Says:

    Fake inflation of …
    Fake inflation of basic items of everyday life is being created, but the human life for which all this is being done seems to be of no price or having no value. Daily hundred thousands of human beings are losing life by different ways. Isnt it possible by United Nations, G-8 or some International Human Rights Commission to work out a formula of basic human rights & needs of life & implement it to end this situation of chaos ending in extremism or terrorism by unaccountable no of ways nowadays?

  24. dtdloixnabalu Says:

    sadlly real…
    sadlly real…

  25. Xekoruk Says:

    Reality is tough …
    Reality is tough medicine sometimes

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