CHINA TO STOP HOARDING FOREIGN CURRENCY…
Yesterday I wrote about the significance of the Vatican hiring the same auditor accounting firm as that for the Bank of International Settlements. Today, while this news is somewhat dated, it bears mentioning, because it is yet another indicator of a seismic shift beginning to occur in the way the world's finances are constructed. One might refer to this as a paradigm shift in a manner similar to Thomas Kuhn's The Structure of Scientific Revolutions. But first, the story:
China Announces That It Is Going To Stop Stockpiling U.S. Dollars
There's three huge things in this article to note, and, I believe, perhaps a kind of "hidden text" that is worth considering, but the "hidden text" cannot be readily discerned without the other three(assuming I am not simply seeing things, which is always a strong possibility):
- The Chinese are going to stop stockpiling foreign currency reserves, a euphemistic way of saying "we've had it" to the nuts in the West's central banks, and particularly in the Federal Reserve and those in charge of US financial policy;
- This is accompanied by rumors and suggestions that commodities trading in Shanghai might soon be priced in Yuan rather than Dollars, a huge move away from the Dollar as reserve currency, if true; and finally,
- The move away from stockpiling dollars presages, according to many(and I am inclined to agree), a Chinese move away from buying U.S. debt securities.
I doubt the last move will be done precipitously, as it serves no one's best interest to suddenly withdraw and collapse the US economy. It will be done as a series of calculated steps, perhaps timed to coincide with political events which can then be played to China's benefit. It's an old play in the playbook.
So what might the hidden text be here?
Let me go back to something that occurred during the conversations former Assistant Secretary of Housing and Urban Development Catherine Fitts and I had the previous weekend. There, she outlined a model of what she thought might be taking place: a gradual move away from the central banking-debt-war-and-secrecy model, to one based on equity. This is, to be sure, a very different paradigm, and one which has been so long absent in world history that everyone has almost forgotten how it works. Indeed, we've been living under the central bank-debt-war paradigm for so long, it is difficult for people to conceive of any other system. But an equity system would eliminate secrecy to a certain degree, whereas debt-war systems inevitably not only require it, but require ever larger amounts of it, until the point that the entire system is so overrun with secrecy and corruption it no longer functions.
Perhaps - and bear in mind, it is a big perhaps - China's move away from "foreign reserves" and the move away from US debt securities is a halting, tentative, perhaps even hesitant move toward that type of system. After all, the article isn't informing us of whose securities the Chinese are likely to buy in place of the USA's, if they buy anyone's at all. But more importantly, as yet another signal, perhaps, that they are at least challenging, if not the central-bank-debt-war paradigm directly, then at least perhaps challenging the crass extent of it in the West, is their quiet but quite evident stockpiling of gold. In short, they mean to back their currency with value, with something other than debt and promises and military power, and with something of quasi-independent value apart from the promises and assurances of the Chinese government itself.
While this may seem to be painting a "rose colored glasses" scenario in a certain sense, one far out of step with the track record of Communist governments, there is one more thing, perhaps, to recommend that one should at least consider it: the Chinese simply aren't stupid (they certainly appear to be a lot less stupid than western leaders currently). Their own analysts no doubt have been telling them that the financial paradigm is itself changing, and while central banks would represent an appealing power structure to authoritarian governments(after all, the BRICS nations have announced their own development bank and already capitalized it), the Chinese leadership is not so naive as not to plan for every contingency.
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http://rt.com/news/kazan-plane-crash-video-882/
Is it ‘normal’ the recent Russian Kazan plane “fell vertically”?
Is it coincidental the accident happened after recent ‘2+2’ talks between Russia and Japan?
Is it coincidental Russian bombers flew by Japan as Philipines suffered the devastating Typhoon?
Is there any ‘connection’ between recent Pakistani earthquake near Gwadar port and the Japanese one afterwhich volcanic islands are formed?
What about ‘2013 China–Russia floods’ affecting both Russia and China? and in China’s case, the affected ‘northeast region’ includes Jilin province which was also hit repeatedly (400 times within the period of a month or so, something again that’s ‘unprecedented’) by earthquakes in recent months?
The Japanese ‘Doomsday cult’ Aum Shinrikyo and its ‘involvement’ in ‘earthquake weapons’ is an indicator of Japan’s capabilities, and why both China and Russia need to be ‘engaged’ with Japan, whether ‘cooperatively’ or ‘assertively’ to diverge/neutralize Japan espeially during this time of ‘seismic shift’. Perhaps, these ‘seismic activities’ are indeed indicator of that ‘seismic shift’.
Probably why the ‘shaking’ Japanese prime minister Shinzo Abe was quoted in his recent Wall street Journal interview by saying essentially two things, 1- the world still needs ‘American leadership’; 2- Japan will play increased role in Asia’s economic and security affairs.
Since it’s more than just “China vs Japan” over the pacific islets, that’s probably why the Russians are ‘involved’ with Japan as well, which isn’t ‘unexpected’ given the other end of the WW2 fascist colleague that harbinger the forming of post-war breakaway civilization is also under combined Russian+Chinese’ efforts to diverge it away from the Anglo-American orbit.
(and perhaps Japan’s recent naming of its warship after WW2 imperialism is Abe’s way of displaying ‘loyalty’ to the Western oligarchs who created the world wars.)
The missing factor here is nobody suspect Japan would be the ‘perpetrator’ rather than ‘victim’ of ‘weather wars’. Perhaps the country is ‘both’ and can be ‘both’ at the same time. Afterall its part of the post-war ‘breakaway civilization’ trying to ‘breakaway’ thesedays.
So China like any smart rodent knows when to abandon a sinking ship. Especially one run by marching morons Keystone Cops our stupid Congress Neo Confederates stupid Brown Shirts as the title of one of Elton John’s songs go GOOD BYE YELLOW BRICK ROAD.
An electronic globalized feudal system. That’s why they are buying up all the hard assets like land, gold ect., they can, with their worthless paper.
The money will be electronic/virtual; the assets real.
As this site has been up-to-date on the 3-D Printing; here then is an article on 4-D Priting at
http://blacklistednews.com/
scroll down to:
U.S. Army Awards Grant To 4-D Printing Research
Below that article(above) is one combining 4-D printing with Frankenstein Organ Transplants.
Don’t stop there … tour the linked ‘Grow Your Own’ synthetic biology exhibit. Amazing! Hopeful, bright, young people. https://dublin.sciencegallery.com/growyourown/
Technology is moving so fast that I feel adrift between two worlds, neither here nor there! Earlier I was exploring at http://spectrum.ieee.org. Now I feel like I know what my 98-year-old grandmother experienced in her lifetime: born 1895, came to Texas from Indian territory (now OK) in a covered wagon, and lived to see man walk on the moon, and more. I sense the split, the bridge is crossed, the millennials are star-bound!
The Magical Mystery Tour Is Here.
It’s just not evenly distributed.
Thanks for these links & the others in your posts. Thai Stick quality
(reading Thai Stick).
and that is what has happened, and the sad part is it was our own people that sold us back into slavery…… …it was China all along.
That only works as long as the Chinese government can artificially keep the price of the yuan in dollars cheap. You know to keep stocking the shelves at Walmart in the states.
In other words, hard to do if the economy is oriented toward export.