Belmont Club

By Richard Fernandez

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Year end thoughts

December 19, 2009 - 2:38 pm - by Richard Fernandez
Habu
2009-12-20 13:32:40

….a further comment is warranted regarding the damage obama has done.

It regards our solvency and thus our safety.

I’ve been in a couple of countries as the currency collapsed. I saw the Okinawans who had been forced to declare all of their U.S. dollars (each was marked with a special brightly colored ink) and promised they would receive 360 Yen for each dollar lose 20% of their life savings overnight. In ONE single night. I have a pair of bills I picked up on my last two trips to Turkey as they tried to get their fiscal house in order to gain admission to the EU… They were both the most common bill in use at the time of the trips (about 10 months apart) and looked virtually identical… Oops… one difference – One has a denomination of 1,000,000 – the later has a denomination of 1… substantial value had evaporated. If you had “illegitimate” amounts (i.e. not where you had to declare them/pay taxes on them) and were caught with them, they were just plain confiscated. Nigerian and Indonesian inflation were legendary and I remember coming home from Brazil with tens of thousands of Quiseros (Sp?) in my pocket… worth about $3.00!
This is the direction we are headed which would lead to a world war given the fact that we would have sabotaged China and other large country’s economies They have already stated they can not sustain buying more US debt yet our POS in the WH and his Treasury Sec are printing 24/7/365.