Russia and China’s enormous $400 billion gas deal is strong confirmation that a multi-polar world is arriving. The election of Modi in India intensifies the process. He has stated that short of a UN visit, he will not step foot into the U.S., and the U.S. currently has him on a blacklist of people not allowed to enter. Brazil, India, China and South Africa abstained from supporting the U.S.-backed sanctions against the annexation of Crimea. Even Israel didn’t show up for a vote. There is a full-scale revolt against U.S. globalist hegemony. This article from DaMina Advisors describes it.
Global net worth rankings of FX reserves and total public debt paints the picture as to how this swings and who is strong. I would submit that much of the refuse to audit reserve gold of the U.S., Germany and France has been leased out and shipped to China, India and Russia. If anything, the numbers below understate the insolvency.
Real Money?
At Stake: Clown-Buck Repatriation and Serious Inflation
The problem with a multi-polar world for the U.S. is that there are $500 billion worth of clown bucks in $100 denominations floating around the globe. Financial transactions globally are largely conducted in U.S. Dollars. This has been a free ride. As these dollars become less wanted, they start to circulate back to the U.S. When it becomes a flood of clown bucks, U.S. inflation will spike, further destabilizing an imbalanced situation. Clown-buck repatriation and inflation is what’s at stake for the U.S.
Reflecting on the last three years, we can look at silver as a proxy of this evolution. Gold effectively is the same story. The U.S. has incorporated two strategies to deal with the hegemony challenge, precious metal attacks and then suppression. For those looking for a detailed explanation of how this is conducted there are good videos here. When QE2 got underway in 2011, silver and gold exploded higher in a vote of no confidence. This was a U.S. hegemony revolt.
