A Global Currency is Born(Stickied by Mod Denner)

[Grower]

So, wonder who's going to jump in next.

[Macs UK]

I'm often struck by an apparent trend that most people who claim "Global currency = bad", also claim "US dollar reserve currency = good". Can anyone explain that in a way that actually means anything to a non-US citizen? Is it anything more than special pleading of an elite to stay on top of the shit-pile

[Grower]

And, does this mean that they won't be buying US Treasuries in the amounts that we find so appealing?

[rbrgs]

Is it anything more than special pleading of an elite to stay on top of the shit-pile

No. 

[StrangeFire]

I'm often struck by an apparent trend that most people who claim "Global currency = bad", also claim "US dollar reserve currency = good". Can anyone explain that in a way that actually means anything to a non-US citizen? Is it anything more than special pleading of an elite to stay on top of the shit-pile

I'm all for a global reserve currency in that it will bring advantages to millions. but, being an American who has benefitted from being on top of the "shit pile," I can't help but view the prospect with some degree of trepidation, even while I applaud it in theory.

[plastixxman]

If you believe fiat global reserve currency in the hands of these bankers and fascists is going to benefit the world, you are strongly mistaken.  It will be used to whipsaw one currency against another, one nation against another, with these untouchable middle men always at the untouchable fulcrum of the chaos.  Switching the epicenter of tyranny from washington D.C. to Basel Switzerland still brings you tyranny.  If you have read ANY of my previous posts about what the Federal Reserve is doing to the United States right now, you can bet the globalist bankers will apply those tactics in spades to the rest of the world.  Having the IMF set the value of currencies is supranational to all countries, not just the U.S.  It means your sovereignty is undermined and democracy is a thin clowns mask for the oligarchy laughing in your face.  If you can't understand that you're more doomed than the rest of us because you'll think the coming poverty is necessary because it will eventually lead to justice and prosperity.  It won't.  This is what they used the promise the peasants in feudal Europe.  Seek not the pleasures of this world but look for your reward in the hereafter.  Meanwhile the Medicis and Hapsburg's ran the church and banking systems to the max extracting wealth from the sheeple.  All you will get on TV or the Net will be the smiling face of Obama or someone like him cooing at your pain and crying while he whips the taxes out of you.  Off camera it will be martinis and chuckles and shaking heads at just how easy it is to fool the ignorant.

[StrangeFire]

Well ok. No argument, I guess.

[TheDignityofStruggle]

Well ok. No argument, I guess.

A LATOC first!

[Katie]

Here's how I'm seeing some of this.  I'm not a financial person at all, but this struck me when I read all this to boil it down to this:  OK, so for a long time now multinational corporations have operated outside the influence of any country.  If they didn't like the laws someplace they either changed them or went to a new country or both.  A key limiting factor:  They still had to operate within the confines of national currencies to some extent.  They no longer do.

The ramifications seem mind-boggling in this scenario.

Or am I totally misreading the situation.

[merdic]

Ok not from kitco, from the IMF web site:

Special Drawing Rights
General and Special SDR Allocations

Last Updated: September 01, 2009

A general allocation of Special Drawing Rights (SDRs) equivalent to US$250 billion became effective on August 28, 2009. The allocation is designed to provide liquidity to the global economic system by supplementing the Fund’s member countries’ foreign exchange reserves.

The general SDR allocation was made to IMF members that are participants in the Special Drawing Rights Department (currently all 186 members) in proportion to their existing quotas in the Fund, which are based broadly on their relative size in the global economy.

Separately, the Fourth Amendment to the IMF Articles of Agreement providing for a special one-time allocation of SDRs entered into force on August 10, 2009. The special allocation will be made to IMF members on September 9, 2009. The total of SDRs created under the special allocation would amount to SDR 21.5 billion (about US$33 billion; see column 3 in the table below).

Link: http://www.imf.org/external/np/tre/sdr/proposal/2009/0709.htm

"Love is in the air..."

[picasso moon]

See, what's the problem? Whatever the US government cannot support by creating new dollars, the IMF will by creating SDRs. Everything's gonna be OK

[lowem]

If you believe fiat global reserve currency in the hands of these bankers and fascists is going to benefit the world, you are strongly mistaken.  It will be used to whipsaw one currency against another, one nation against another, with these untouchable middle men always at the untouchable fulcrum of the chaos.

Depends on the implementation. If it's totally fiat (as it seems to be, despite all the "hard currency" talk), then yeah it's likely that if it goes down, we all go down together.

[plastixxman]

hard currency means pegged to gold, and yet the IMF is in the process of selling 400 tonnes of its gold to china, reducing its hard assets. and at the same time coordinating a new international agreement to limit the gold sales of all other central banks, excluding itself.  This arrangement means once they created the SDRs as master convertable currency, they can move any and all currencies through the IMF to affect exchange rates throughout the world.  This means they can cause prices to move to their liking.  It also locks the central banks into selling very little of their gold even if they want to devalue their currencies to counteract what the IMF does.  By remaining outside the international gold agreement, the IMF will we able to buy and sell its own gold reserves as it sees fit, thereby adjusting the value of the SDR not only by the composition of its currency backing, but by raising or lowering its gold backing.  No one else in the world will be able to do that.  Thats power.  Unelected private banking power.  In other words, fascism.

http://www.canada.com/business/sells+gold+increase+lending+power/1841659/story.html

[StrangeFire]

In my opinion this is about one thing and only one thing: getting out of the dollar before the dollar folds (pun intended). It will be bad for the US but good for everyone else if there's a viable alternative out there to the dollar. (Sure it will be good for the banksters, but it may also keep the entire world from going down the tubes with us.) World-wide financial collapse would occur if the dollar collapses and there's nothing to replace it.

[EyesWideOpen]

Could this have anything to do with Hong Kong requesting transfer of their physical gold from London to the new building they have near the Hong Kong airport?

http://www.doomers.us/forum2/index.php/topic,52048.0.html

I'm in financial services, and these two threads are giving me serious goose-bumps.