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FRN drop/China's Yuan settlements/What a loss of reserve currency looks like.

How fast is the US going to loose reserve status? Who knows but here are some numbers on what China is starting.

The CIA fact book states that China imports in the following percentages: Japan 12.27%, Hong Kong 10.06%, South Korea 9.04%, US 7.66%, Taiwan 6.84%, Germany 5.54% (2009)
and it also states that the US imports in the following percentages: China 19.3%, Canada 14.24%, Mexico 11.12%, Japan 6.14%, Germany 4.53% (2009)

The same source states that China exports: US 20.03%, Hong Kong 12.03%, Japan 8.32%, South Korea 4.55%, Germany 4.27% (2009)
and the US exports: Canada 19.37%, Mexico 12.21%, China 6.58%, Japan 4.84%, UK 4.33%, Germany 4.1% (2009)

China is the second largest exporter in the World at $1.5 trillion last year(we are #4,$1.3trillion). That implies that potentially 80% of their exports could be in non FRN trades. Let's say that only 30% of trading partners of only the exports converts to direct settlement. That would work out to $450 billion in less demand for the FRN. Let's say that only 30% of their imports happen in direct settlements. That would figure around $400 billion in less demand for FRN's. The total would be around $850 billion in less demand for FRN's. https://www.cia.gov/library/publications/the-world-factbook/...

The total US money supply including m1, m2, and m3 is somewhere around $10 trillion. http://www.safehaven.com/article/8030/composition-of-the-us-...

$850 billion is about 8.5% of $10 trillion. These numbers only assume that 30% of the world would bypasses the FRN. I think it will be more.

Why would China working around FRN's for settlement only have a small effect on the US Dollar if the above numbers are correct?

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Two Thirds Drop By End of 2012 Then on Down To Zero

My guess is about two thirds of the DOLLAR's value comes from it's use overseas. By using the DOLLAR to trade in oil, and settle trade balances between countries the U.S. Economy is effectively extended worldwide. When the DOLLAR is dropped internationally the real goods and services linked to the DOLLAR and giving it value will probably drop by two thirds. The reason for this is that as Americans buying power disappears the U.S. Economy will implode to the size of it's actual agricultural, industrial and tech base. So although the U.S. Economy is the worlds largest now it cannot be without the DOLLAR bringing back wealth to America in exchange for only paper. So as the DOLLAR goes down the buying power of Americans will also drop correspondingly. Therefore the domestic economy will shrink leading to a spiraling feedback effect of lower DOLLAR confidence worldwide and further reduce it's use internationally. This will in turn reduce the DOLLAR 's buying power even more thus collapsing the domestic U.S. Economy further. The only reason this isn't happening faster is because any country who dumps DOLLARS risks causing a total collapse of the world economy which would wipe out their own economy. So the other countries have to phase out the DOLLAR gradually.

Expect the adjusted DOLLAR value at the end of next year to be two thirds less than it was just 18 months ago. That is if the Fed stops printing more! They won't do that so the DOLLAR will go to zero and the inflation will all be turned inward to America when the Fed soon has no foreign nations left to pawn off the worthless DOLLARS on. Soon thereafter America will be a Bananna Republic. The Monkeys will riot without their cheap imported goods, chaos will ensue, dictatorship, mass state sanctioned liquidations will commence against anyone who has a chicken left to steal (internal war), then external War in one last Gasp by the dying Empire, then internal War again. All this to cover up the slide to Zero, the end value of the DOLLAR.

The Oracle

When do you think the first

When do you think the first ratchet down happens in the value of FRN's?

Where to Find The Leverage U.S. Syndicate is Using To Force

continued DOLLAR acceptance by foreign countries. See Walter Burien's site CAFR1.com. It also tells the story of where the governmental entities are hiding all the loot they have so painstakingly revenued off of us. Also look at the foreign stock holdings and the rather scary operating funds that foreign governments have set up here to bring their troops in to suppress The Revolution in America. U.S. Troops will be used overseas and foreign troops will be used here. Troop exchange. That's the plan. Anyway the dollar slide is being slowed by the massive foreign stock holdings U.S. Government has in foreign countries. Any country that stops accepting dollars would face economic armegedon when U.S. Would dump all it's stocks in that country thereby destroying their economy and currency. So they are holding the world in a chokehold while plunging the little knife in over and over again by forcing continued acceptance of FRN's. The Crown Banksters are slowly bleeding the World dry with FRN's while threatening immediate economic annihilation against anyone who resists the bludgeoning.
So it will be awhile before the little cuts piss off the Chinese and Russians enough to fight back.
When they do don't be in America, get out. Of course we at DP could avert this timeline, that is what we are here for right?

The Oracle

Every Day

It already went over the hill and is sliding. Look at the price of FRN's in silver since last summer. I think that is a good measure. Already the slide against commodities is 17%. should continue to slide slowly since no one holding dollars wants a panic. They will slowly offload them. Look at the chinese dollar holdings for a clue what is happening. The other countries are making a slow exit using the dollar's last value to buy up assets like copper mines etc. At some point in 2012 it goes off the cliff once the other countries have an independent system set up. The warnings for 2011 are premature I think because the United States also holds vast amounts of foreign stocks. So they are blackmailing the other countries into still using the dollar. If U.S. Sells the overseas CAFR funds it would easily collapse the economy of the target country. This is why the dollar is still being used despite the fact it is robbing the whole world right now. When the other countries think they can survive a stock selloff they will drop the dollar and go to war with U.S. The Crown Globalists are ordering this massive devaluation of the dollar to break the world and cause wwIII. It is al deliberate. Nuclear War must happen to cull the slave populations before 2015 to keep their plan on schedule. In the meantime mostly economic warfare will continue in the opening rounds of wwIII. Also some small wars like Libya will disrupt large areas and cause widespread disease and
starvation. After they get China and Russia to nuke the American population and get rid of us the Globalists will bring out their hidden super weapons and destroy Russia. That would be America defeated, Russia defeated, China remaining as the Globalists slave State and America will be their new English countryside estate with all of us dead and gone. The dollar war is just the opening move in a game to kill 6.2 billion people and control the world. They want the Earth all to themselves and they have long laid plans to kill us all.

The Oracle

Why do you think that 2012 is

Why do you think that 2012 is the date instead of this 2011?

Inertia and Blackmail

It will take a long time to get Trillions of Dollars in Bank reserves around the world converted to something else. If they try to bring back all the DOLLARS to the U.S. there is currently only one DOLLAR worth of assets for every three DOLLARS out there. So no country with trillions in DOLLAR assets wants to create a panic and loose two thirds of their stored wealth. Instead the Dollar holding countries are trying to slowly pawn off the DOLLARS on countries like Chile, Brazil, Egypt, South American and African Nations. That is why the DOLLAR inflation is killing people in the third world right now. It will take awhile for this DOLLARS to make their way back to U.S. Corporations. So China, Russia, Japan are laundering the DOLLARS back through third party countries on their way to the United States. No country can dump DOLLARS in an obvious fast way or The United States will sell the trillions of DOLLARS in stocks it holds in those countries in retaliation. So the slow repatriation of DOLLARS through third world countries will take another year and the big DOLLAR holding countries don't dare pawn off their DOLLARS any faster than the other countries are doing it in fear of a stock selloff by the United States in their country's market.
I gave you the CAFR1.com link. Check it out. The DOLLAR will eventually go down by two thirds to match the present U.S. Assets that back it.
When oil is no longer traded in DOLLARS that will be the big "ratchet down". That will be awhile though as Saudi Arabia is Part of The British Empire and won't desert until all hell breaks loose.
If the Globalists use the U.S. to clobber Iran, Libya, Syria, Venezuela then the DOLLAR will hold strong awhile longer but this will leave Russia and China no choice but to attack the U.S. Militarily.
Watch and see what happens next.
I know the general plan, just not what chaos will ensue in the fog of this War.

My spider sense tells me that

My spider sense tells me that there is something not completely trustworthy about Walter Burien. His accounting research is most likely true, but I get the feeling that he has an undisclosed motive.

I Find Walter Very Open And Transparent

Perhaps you are sensing his pain. The State did some nasty stuff to him and his children. The State has put me through the PFC Manning treatment too so I understand Walter's demeanor. What he is hiding is his pain. Those of us who have had a sword thrust through us and have been reborn in fire are not the same as you virginal folks. We are warriors now committed to victory because we know the only other choice is death. We are already dead, they made this clear to me. I am and always will be a target. Walter and I are different, you cannot understand us until you have been put through the Statists InQuisition.. So your spidy sense is right, there is something not quite right about Walter Burien. He and I have been tortured.

We are dead men walking and warning you of what lies ahead if you do not heed our call.

The Oracle

Do you know him personally?

Do you know him personally? Alex Jones gives me the same kind of feeling as Walter Burien. I'll listen to Jones from time to time because he's a source of info, but I'm always leery to not trust everything he says.

No one knows until they experience it in full. Health, freedom, money, and love, like air & water, are only important to the degree which you lack them. Hind sight would be a wonderful tool to know before hand if we could have only understood the ramifications of our actions. The rest of your life is a long time to find out why that's so very true. How can humanity benefit and understand the lessons from all of those "learning experiences" without having to suffer? For example, I've learned a whole lot about the effects of air quality on the impacts of chronic human health the hard way. It will serve me in the future, but it would have been a whole lot more comfortable to just a take a class on the subject and learn what I should have known before. Just like all of those songs and poems about what it would be like to have knowledge and experience at youth.

Who Really Knows Anyone or Anything?

Don't know Walter Burien, just know his story. Feel for him because my story is similar. Can't figure Alex Jones out. Could be a pied piper, maybe not. Might be a Jesuit Vatican agent. All I know is everyone is playing their chosen part in this grand drama. I am playing mine. What is yours?

I am the Oracle, The Nexus through which lines of force converge and all who pass this way are catalyzed for better or for worse, which one will be, it is not for me to say. It is for you to decide.
All minds which encounter my will are forever altered, be warned.

The Oracle

So what's your best advice

So what's your best advice that you would give someone about life? Post your answer in this thread that got started for this topic. http://www.dailypaul.com/160209/whats-your-best-advice