Dollar Falls to Record Low on China's Plans to Diversify Reserves

It is what Dr. Paul has been saying all along. Here is the news from Bloomberg:

Nov. 7 (Bloomberg) -- The dollar slid to record lows against the euro and the Canadian dollar after a Chinese government adviser said plans to diversify foreign-exchange reserves will involve buying better-performing currencies.

The currency slumped to a 26-year low against the pound and a 23-year low against the Australian dollar. Cheng Siwei, vice chairman of China's National People's Congress, told a conference in Beijing the country ``will favor stronger currencies'' when adjusting its $1.43 trillion of reserves. He later added that doesn't mean buying more euros.

"We're likely to see further pressure on the dollar,'" said Thomas Harr, senior foreign exchange strategist in Singapore at Standard Chartered Plc, a U.K. bank that makes most of its profit in Asia. "The potential for diversification is quite big. This a structurally negative story for the dollar."

Continue reading at Bloomberg...




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Save the economy by decalring way on spending -#1 campaign theme

The economy and spending are the true main campaign themes. Listen to Paul on the war, on healthcare, on immigration, on taxes, on almost anything and the underlying theme is economics.

The other candidates cannot touch him on this.
People relate when it hits their wallets
His voting record is immaculate
MSM is already talking about this - look at the beck utube video. Dobbs...

The grassroots need to do the same and align behind this message.

Please support this message by commenting here.
http://www.dailypaul.com/node/24147

As long as "B-52" Ben

As long as "B-52" Ben Bernake (formerly "helicopter Ben" - but he traded his helicopter in for a B-52 bomber) continues to drop money like bombs into the banking system, the dollar will continue to plunge relative to other currencies and commodities. According to John Williams at shadowstats.com, the Fed is expanding M3 (a figure made secret january of '06) at a rate of 14.5% a year. This inflation will spill over into price inflation which has been estimated at over 8%. Things are beginning to look alot like the 1970s. The difference is that Paul Volkner, chairman of the Fed at that time, didn't do his dissertation on printing money and he chose to save the dollar by increasing the benchmark interest rates.

The most frustrating thing about discussing the economy with non-Paulites is their complete ignorance about basic supply/demand economics when it relates to the dollar. The dollar, not backed by gold, IS a commodity in and of itself! Most don't understand the Fed and its role in the dollar's destruction and consider Ron Paul and his supporters as kooks for supporting sound monetary policy.

If America elects anyone other than Dr. Paul, they will get what they vote for. They will get a complete economic collapse.

We are almost past the point of no return. Even if Dr. Paul disassembles the Fed and disbands the IRS, America will still enter a depression. Given that most Americans have little attention span for anything other than sound bites, they will probably blame him for the problems instead of blaming the Fed! This is what happened during the '29 depression.

The Fed created the Depression and blamed the Gold Standard for the problem! America bought it hook, line and sinker.

It could be argued that the Fed would be better served to allow Dr. Paul to win, then they could implode the economy and blame Dr. Paul for the problem. Problem, Reaction, Solution.

I better not give them any ideas...

History repeats itself.

Hello, can you say "Weimar Germany?" Better start exchanging those greenbacks for gold, now that the Chinese are using them for toilet paper.

"Government is not reason, it is not eloquence; it is force. Like fire it is a dangerous servant and a fearful master."

Gold Closes at all time high today

Gold Closes at all time high today

Here is what is funny about the Dollar

What is so funny is what Ron Paul has been saying for the last few months on the trail is exactly what is happening.

Dollar at new all time lows and going lower daily.

Oil at all time high and going higher.

The Ron Paul campaign must continue to highlight that Ron Paul was the one who predicted this would happen and now it IS happening and he is the ONLY candidate with a solution to this problem.

Loonie lords over the greenback

For most of my life a Canadian dollar was worth around $0.75 - $0.85
U.S. Today the Canadian dollar is worth $1.10 US. And it's a fiat currency too, but the Canadians don't have deficits quite as horrible as ours.

Euros and Swissies

On Nov 7, at precisely 6:25PM EST, the dollar price of Euros and Swiss Francs jumped up by .75% in one tick. There was no corresponding spike in other currency pairs. Somebody bought a boat load of Euros and Swissies and paid in dollars. It had to be China.

The dollar is imploding.

Ĵīɣȩ Ɖåđşŏń

"Fully half the quotations found on the internet are either mis-attributed, or outright fabrications." - Abraham Lincoln

Dollar

Almost everyday for the past couple weeks, the headlines have been -

Dollar hits new record low,

Crude Oil, Gold and other dollar denominated commodites hit all time highs.

The more time you spend looking at the macro economic picture, as well as the current Credit Crisis affecting the financial industry - it becomes a bleak picture. It's only a matter of time before either Inflation kicks into super high gear (print more and more money), or the US govt defaults.

Funny that Paul saw this all coming, it's only now really starting to materialize.

dollar

I suggest you read "Patriots" by John Wesley Rawls, just in case, and while you still have time.

If you want to really get an idea what a collapse would be like. And most of us would not be as lucky as those in the book.

if they ain't buying euros

if they ain't buying euros to diversify guess what they'll be buying?: gold, silver, and all other commodities. buy yours now before some chinese guy beats you to it.

i go to california numismatics inc. to buy my american eagle gold bullion and silver bullion.

protect yourselves!!!

That means something even worse!!!!

Countries,

Before they go to war load up on commodities like gold and silver. During the cold war, Americans who knew would pay close attention to the Soviets to see if they were beginning to stock up on hard asset commodities along with purchasing a lot of food. China is no dummy. They will have 20-30 million military age males (children) within a short decade with no females to speak of. Historically, when there has been an over balance such as this, the country in question has almost always opted for war. Hearing this has sent shivers down my spine as I have been dreading the day I heard this news.

We need a Ron Paul now more than ever to keep us out of the coming conflict which is undoubtedly somewhere in the near future.

May God Have Mercy On Us All.

Investing in Gold is Also a Vote for Ron Paul

You are exactly right. The dollar index is headed to below 30, worse than anyone could possibly imagine, and that is if we are lucky. If we are unlucky, it is going to zero.

In my opinion, there are 2 parts to politics. One is the vote. That is why we are all here and support Ron Paul. The other one is economic. Any investment you make is ultimately political because the world is political. I have invested in gold since 2003. It has allowed me to take off of work and it has allowed my wife to stay at home with our kids.

We, in the freedom movement, who understand what is happening can use our personal resources to take advantage of it. If we all do collectively, we will have more power and more resources to put the country back together again after the adjustment that is coming.

It is not un-American to invest in gold. It is not pessimistic. It is reality. The dollar is doomed. It is not our fault. You can either ride in the steamroller or lay down in front of it.

God bless in the trying times to come.