20 April 2015

Russia Adds One Million Ounces to Gold Reserves In March - Update on the Currency War

"There is a mysterious cycle in human events. To some generations much is given. Of other generations much is expected. This generation of Americans has a rendezvous with destiny."

Franklin D. Roosevelt, 1936

In the tripolar world of Europe, US, and East Asia, Russia may play a pivotal role in a fourth sphere of influence.

Europe and the US are pressing heavily on its western borders, trying to limit Russia to Western Asia.

Thus I have said that if the push for one world corporatist government under the dollar banner falters, Russia may play a pivotal role in the composition of influences and the struggle for power that will follow.

At least for now, that struggle will be played out in currencies and economics of production. Control of production and the cost of labor involved is a high priority for the multinationals. What is of a lower priority is consumption, and the settlement of consumption through an equitable international currency arrangement.

The frenzy of the US elites to pass the 'trade deals' with Asia and Europe is indicative of their concerns that the progress of their plans is reaching a critical impasse. These deals will fortify the corporatist control over North America, a prerequisite before intensifying their plans for Europe and Asia. I suspect that, when push comes to shove, Asia will be little more than Japan, Australia, and a few other client states. China will almost certainly choose its own say more fitting to its domestic situation which may become more precarious.
Gold is of obvious strategic importance in this struggle since it is a means of settling international payments that does not as easily fall into the financial controls of one faction or another, as is the case with a fiat currency which is, at the end of the day, an instrument of highly discretionary power.

The discussions of these topics on US media is interesting to watch.   I fully expect for the propaganda to reach ever more ridiculous levels, and for any domestic dissent to be crushed before it can gain any momentum. 
The differences between the Wall St. Democrats and the Corporatist Republicans will continue to become increasingly cosmetic and more factional and social than substantial, in the manner of two competing gangs seeking their own enrichment rather than elected representatives of a diverse population.  Big money is steadily disenfranchising the electorate, and the credibility trap chokes off meaningful reform.  
Greece may in turn become more pivotal in this struggle between the West and Europe. The difference in treatment between the people of Greece and the government of the Ukraine should be more obvious to the Western observer. The lesson is certainly not lost on the rest of the world. The US-Europe may court you, but once they entwine their fingers through your hands, you are theirs to dispose of as they please.

That is a failing of the winner's curse. They start overreaching in their belief that they will simply move from victory to victory, no matter how clumsy and brutal their tactics may become.