RUMOR RUMOR
What are we looking for after the RV, really? Will it be the reboot that TK and I have discussed on the calls over the last several months? Or will it include elements that we have not yet considered?
Let’s explore the possibilities of the future after the RV.
In order to do this we need to deal first with the players and how this has now been taken out of the hands of Iraq and placed into hands that have other interests in mind.
Here are the players: The US, obviously, the UN, obviously, and the IMF, obviously. Who are these players? Unfortunately they are all the same group, with different names. This can be proven quite simply because the US funds the other two groups with roughly ¾ of their total funding. As I understand control, he who holds the money holds the control. Therefore the US is in control of the RV, period. They created it, and they will complete it. I am on record for over a year on this issue. The dinar was devolved to toilet paper for a reason, with the specific intent to rebuild it to a world currency after control was re-established in the area.
Control was re-established some time ago. Compared to the rest of the Middle East, Iraq is a playground. Had you all noticed that? While the rest of the Middle East is going up in flames of potential revolution we have a country with extremely poor people patiently (well, not patiently) awaiting a promised blessing.
In most Middle East a country’s promises mean very little. Yet, in Iraq there is a promise that the people do believe in, and are waiting to be fulfilled. Do you all think that there may be a reason why, this one time, the people of Iraq are quietly awaiting the fulfillment of a promise? I’ll give you the answer to this question: this particular promise has the full backing of the full faith and credit of the United States of America, thanks to George Bush.
Now, I am aware of the problems with the phrase “full faith and credit of the US”. In fact, I used it this time intentionally. It may be the last time that this phrase will have real meaning. Time will tell.
In any case, it seems obvious to me now that the RV will not only take place, but that it will take place imminently. I say this not only because of “intel” but also because of the clear statements made by the players involved in Iraq that I laid out in the last call. This is not an “if”. It is only a “when.” And, based on their own statements, since the large denoms are being drawn in as we speak, and since the rate has been locked (per Shabibi), and since Shabibi is on record to complete this imminently, and since Iraq needs an internationally recognized currency to join the WTO, and since there has been a meeting of the WTO for this very purpose, I believe that we are safe in stating that this ride is almost over.
Furthermore, we have intel from Okie, among others from other sites, that the entire RV is no longer in the hands of Iraq. It, along with the approval for up to 100 other RVs of currencies around the world, has been transferred to the control of the Bank of International Settlements in Basel, Switzerland. It is my understanding that the control was passed to them by Iraq over a week ago by Shabibi. Rich Queen and Okie have both stated that their sources confirmed this. It is also my understanding that Shabibi is in Switzerland at this time to oversee the process. So what is the delay? According to information I have received the final coordination of the 100 currency RV is quite complicated. However, as Al and others have been stating over the last week, we have been seeing the “pinging” between the BIS and the central banks around the world. I was informed that this process is now complete and that all central banks have finally “pinged” their readiness to the BIS. This means, as I understand it, that there is nothing left to be done except pull the trigger on these RVs. I suspect that they will all occur simultaneously.
The affect of this will be a restructuring of banking around the world, a plan that the IMF has stated was their objective over 2 years ago. You might recall that I discussed this with you all some time ago. The IMF decided that rather than remove the dollar as the premier currency in the world, instead they would realign all currencies to reflect the underlying wealth of any given country. This process of evaluating a country’s underlying wealth has taken place. New currency values have been assigned to each country. When the RVs take place, then, instead of having fiat currencies around the world, the dollar being the worst offender recently, the currencies will be “backed” in some sense by their underlying wealth.
Now, we have no idea at this point how any given currency will be affected, with the exception of the dinar and the dong. We believe that the dinar will RV at about $6.18, although today I heard that it may even be higher than that. We could reasonably suspect, then, that the other Middle East currencies would rise in value as well to around the new IQD rate, plus or minus. I say that because there is a plan to pull all of the Middle East countries into a single GCC currency as early as 2013 but more likely by 2015. Therefore we should expect big gains for most if not all Middle East currencies.
We have heard rumors that the dong will rise to $1.57. If that happens we must reasonably suspect that the Chinese yuan will follow suit. Otherwise, the movement of people from one country to the other for employment would be very destabilizing. Since China is a closed communist society it is not unusual that we have heard nothing about their potential revaluation. However, I cannot see them failing to participate in this worldwide event.
Regarding Japan, we have no way of determining what will happen there due to the recent disasters. Perhaps they will be allowed to hold off until later, when their situation stabilizes.
In any case, I’m more concerned in this reading in dealing with the after-affect of the RV in America.
So let’s now look at the possible scenarios for the near future. I will deal with two tonight, and then others later, as necessary.
The first scenario is that because of the RV the president will be re-elected. I realize that this is not going to be received easily by you all, since we are, by a vast majority, conservative Christians. However, this is a real possibility. Here is the way it will possibly lay out.
The RV occurs, which will overwhelmingly fill the coffers of the US government reserves. In this process, naturally, our current president will take full credit. Furthermore, he will state unequivocally that his new “reserve” position, due to the fact that all of the dinars have RVd, will allow him to pay for his health care bill, further supporting his plan to socialize America. The bill, as we now know, contains additional taxes and burdens on the normal folk that will become a great depressive affect on the economy. This depressive affect will further separate our economy, shrinking the middle class, while we, at the top of the class, will be protected. The question we need to ask ourselves is this: how long will that protection last?
I will address this later. Suffice it to say that politically Obama will maximize the affect of the RV of the IQD to his benefit. Perhaps we see a hint in his plans to do so already. I’m told that he has announced that on Wednesday evening he is going to give a major speech on the budget. Wouldn’t it be convenient if the RV occurred on Tuesday, or even Monday, and that he knows this? Time again will tell.
Now we need to consider another possible scenario.
The next possibility is that Obama wins but does not use the money that comes into the coffers. Why would he do this? The answer here is that, as I have always suspected, Obama does what he is told to do. If he is told to tow the line, then this scenario will come into play. Under this scenario, the dollar will rise substantially in value over the short term due to the increase in the reserves of our country from the influx of dinars. There are a number of folks who subscribe to this view. They base it on a supposed agreement that has existed for many months between, on the one hand, the US, France, China, and Britain, and, on the other hand, Iraq. That supposed agreement documentation, which I have not yet seen, indicates that none of these countries will “cash in” their dinars. Instead they will hold them for a minimum of 6 months and only then begin exchanging them for oil reserves. In the case of the US we have heard that they have signed contracts with Iraq to cash those dinars into oil at an amazingly low $32 per barrel. Since oil is now $125 per barrel and presumably isn’t going to come down soon, the US will then profit up to $100 per barrel in oil as they convert the dinars. The real cost to Iraq is miniscule, since they can produce a barrel of oil for about $.60 each. It would appear that in this scenario everyone wins.
However, a secondary affect of this scenario is that the US Government will end up controlling the oil industry in the US, and have a similar affect worldwide due to its sweetheart deal. If you thought that we were heading pell mell into socialism up until now, wait until this administration has control of the oil industry.
Under this scenario America may actually begin to pay back China in oil rather than with dinars or dollars. Since they have the oil so cheaply they will be able to pay back China, effectively, at about 25 cents to the dollar. Once again, it appears that everyone wins. We pay off our debt cheaply while China gets the oil it so desperately needs.
Another possible aspect of this scenario is how it might affect fuel prices in America. Even though the US Government obtains the oil for only $32 per barrel, this does not mean that those savings will pass through to the consumer. In fact it is almost certain that they will NOT pass through. One only need look at our “green President” to see that if he has control of the oil he will maintain that control and force us into a more “green” posture, rather than allow us all to benefit. Therefore, we might even begin to see oil shortages in America, with attendant rising oil prices, in his effort to stem demand and force us into a “greener” mode of living. While we, as wealthy Americans, might not be seriously affected by this, you can imagine how the average American, and our economy as a whole, might be affected.
Under this second scenario we should also look at the cost of imports. I have surmised that China will raise its currency rate to keep aligned with Vietnam. In doing so, our imports from China will necessarily become more expensive. It is possible that the same will occur between us and India, or Indonesia, where we also do a lot of business. In short, we may reasonably expect inflationary pressures in America to build.
We will then have a triple threat on our pricing structures in America. The first is already working its way into our markets. This comes from the profligate spending of the current administration by printing of money with no backing. The second will come with rising prices due to the administration’s control of the oil industry. And the third will come from the realignment of currencies around the world which will almost certainly cause imports to become relatively more expensive for us.
The result, then, will be that after a short rise in the value of the dollar, due to our improved reserve position, the dollar will then begin to fall again in value as inflation ravages our purchasing power.
If this analysis is correct then, I would, along with Tampa Tom, strongly recommend taking up large positions in precious metals. I used to be a commodities broker in precious metals and believe strongly in the theory of “dollar cost averaging”. Through this method you invest the same amount in gold and/or silver each month. If the price of gold and/or silver falls, then each month you are obtaining the metals for less and less. Your average, then, will always be less than it was when you began. You will never know the bottom, but you will average your way toward it, assuring you a better position each month as prices fall.
If, on the other hand, prices of metals rise, then each month your average will be less than the latest month’s prices, since previous months are all purchases below the current rising market. You won’t know where the top is, but you will be assured that your average purchase price will be less than the top. In either case, you will win.
I will now add another thought for you all to consider. Real estate is another excellent hedge against inflation. If you purchase real estate, find the best locations first. Second, pay cash for the property. Third, hire a good property manager. You don’t need the hassle of managing your own property. Fourth, try to get at least a 1% rental return monthly on your real estate. In other words, if you buy a $100,000 house, make sure you can get $1000 per month in rent from it. If you can’t, don’t buy it. Keep looking. After management, repair expenses, taxes, and vacancy factors you should realize 7% to 8% on your rentals. Next, hold them for a maximum of 7 years, then liquidate. At this point you will have capital gains taxes to pay. During the 7 years you will have income from the rentals to pay taxes on. But here is the kicker. As with all booms and busts in real estate, we can expect the next one to be a doozy. In seven years you can reasonably expect your investment to grow by 500%. Therefore, if you invested a million dollars in real estate, you will liquidate into 5 million dollars. Pay your 15% capital gain tax and you still have 4.25 million dollars from a 1 million dollar investment. And in the meantime, your beneficiary, such as a son or daughter, will have been able to live comfortably with about $8,000 per month in income from the million dollars invested in real estate.
Add to that the gain from your metals holdings, which will also rise with inflation, and you can see that you are well on your way to passing along to your family much more than this simple blessing provided you from the beginning.
Now, I’ve gone on long enough for this reading so I attempt to head toward a closing. There are other possible scenarios to consider, but this will give you all some food for thought, and hopefully will help you with enough facts to consider so that your planning for the future is done wisely instead of foolishly.
What is important to consider, in closing, is that I believe that the RV will have significant worldwide impact, and that while we may benefit in the beginning, the overall affect on our country may not be positive in the mid to longer term. We must therefore proceed cautiously and invest wisely. In any case, again along with Tampa Tom, I would caution you all to stay away from banking institutions and away from the US Dollar except for your normal 6 months living projected living expenses. Everything above that should be put into inflationary protected assets. In my case I’ve already stated that for me that would include precious metals (both bullion and coins, just in case) and real estate, which has traditionally been an excellent hedge against inflation.
I hope these ideas are helping you form strong, conservative, and healthy planning decisions.
Thanks for listening to me again.
Steve
RUMOR RUMOR
Let’s explore the possibilities of the future after the RV.
In order to do this we need to deal first with the players and how this has now been taken out of the hands of Iraq and placed into hands that have other interests in mind.
Here are the players: The US, obviously, the UN, obviously, and the IMF, obviously. Who are these players? Unfortunately they are all the same group, with different names. This can be proven quite simply because the US funds the other two groups with roughly ¾ of their total funding. As I understand control, he who holds the money holds the control. Therefore the US is in control of the RV, period. They created it, and they will complete it. I am on record for over a year on this issue. The dinar was devolved to toilet paper for a reason, with the specific intent to rebuild it to a world currency after control was re-established in the area.
Control was re-established some time ago. Compared to the rest of the Middle East, Iraq is a playground. Had you all noticed that? While the rest of the Middle East is going up in flames of potential revolution we have a country with extremely poor people patiently (well, not patiently) awaiting a promised blessing.
In most Middle East a country’s promises mean very little. Yet, in Iraq there is a promise that the people do believe in, and are waiting to be fulfilled. Do you all think that there may be a reason why, this one time, the people of Iraq are quietly awaiting the fulfillment of a promise? I’ll give you the answer to this question: this particular promise has the full backing of the full faith and credit of the United States of America, thanks to George Bush.
Now, I am aware of the problems with the phrase “full faith and credit of the US”. In fact, I used it this time intentionally. It may be the last time that this phrase will have real meaning. Time will tell.
In any case, it seems obvious to me now that the RV will not only take place, but that it will take place imminently. I say this not only because of “intel” but also because of the clear statements made by the players involved in Iraq that I laid out in the last call. This is not an “if”. It is only a “when.” And, based on their own statements, since the large denoms are being drawn in as we speak, and since the rate has been locked (per Shabibi), and since Shabibi is on record to complete this imminently, and since Iraq needs an internationally recognized currency to join the WTO, and since there has been a meeting of the WTO for this very purpose, I believe that we are safe in stating that this ride is almost over.
Furthermore, we have intel from Okie, among others from other sites, that the entire RV is no longer in the hands of Iraq. It, along with the approval for up to 100 other RVs of currencies around the world, has been transferred to the control of the Bank of International Settlements in Basel, Switzerland. It is my understanding that the control was passed to them by Iraq over a week ago by Shabibi. Rich Queen and Okie have both stated that their sources confirmed this. It is also my understanding that Shabibi is in Switzerland at this time to oversee the process. So what is the delay? According to information I have received the final coordination of the 100 currency RV is quite complicated. However, as Al and others have been stating over the last week, we have been seeing the “pinging” between the BIS and the central banks around the world. I was informed that this process is now complete and that all central banks have finally “pinged” their readiness to the BIS. This means, as I understand it, that there is nothing left to be done except pull the trigger on these RVs. I suspect that they will all occur simultaneously.
The affect of this will be a restructuring of banking around the world, a plan that the IMF has stated was their objective over 2 years ago. You might recall that I discussed this with you all some time ago. The IMF decided that rather than remove the dollar as the premier currency in the world, instead they would realign all currencies to reflect the underlying wealth of any given country. This process of evaluating a country’s underlying wealth has taken place. New currency values have been assigned to each country. When the RVs take place, then, instead of having fiat currencies around the world, the dollar being the worst offender recently, the currencies will be “backed” in some sense by their underlying wealth.
Now, we have no idea at this point how any given currency will be affected, with the exception of the dinar and the dong. We believe that the dinar will RV at about $6.18, although today I heard that it may even be higher than that. We could reasonably suspect, then, that the other Middle East currencies would rise in value as well to around the new IQD rate, plus or minus. I say that because there is a plan to pull all of the Middle East countries into a single GCC currency as early as 2013 but more likely by 2015. Therefore we should expect big gains for most if not all Middle East currencies.
We have heard rumors that the dong will rise to $1.57. If that happens we must reasonably suspect that the Chinese yuan will follow suit. Otherwise, the movement of people from one country to the other for employment would be very destabilizing. Since China is a closed communist society it is not unusual that we have heard nothing about their potential revaluation. However, I cannot see them failing to participate in this worldwide event.
Regarding Japan, we have no way of determining what will happen there due to the recent disasters. Perhaps they will be allowed to hold off until later, when their situation stabilizes.
In any case, I’m more concerned in this reading in dealing with the after-affect of the RV in America.
So let’s now look at the possible scenarios for the near future. I will deal with two tonight, and then others later, as necessary.
The first scenario is that because of the RV the president will be re-elected. I realize that this is not going to be received easily by you all, since we are, by a vast majority, conservative Christians. However, this is a real possibility. Here is the way it will possibly lay out.
The RV occurs, which will overwhelmingly fill the coffers of the US government reserves. In this process, naturally, our current president will take full credit. Furthermore, he will state unequivocally that his new “reserve” position, due to the fact that all of the dinars have RVd, will allow him to pay for his health care bill, further supporting his plan to socialize America. The bill, as we now know, contains additional taxes and burdens on the normal folk that will become a great depressive affect on the economy. This depressive affect will further separate our economy, shrinking the middle class, while we, at the top of the class, will be protected. The question we need to ask ourselves is this: how long will that protection last?
I will address this later. Suffice it to say that politically Obama will maximize the affect of the RV of the IQD to his benefit. Perhaps we see a hint in his plans to do so already. I’m told that he has announced that on Wednesday evening he is going to give a major speech on the budget. Wouldn’t it be convenient if the RV occurred on Tuesday, or even Monday, and that he knows this? Time again will tell.
Now we need to consider another possible scenario.
The next possibility is that Obama wins but does not use the money that comes into the coffers. Why would he do this? The answer here is that, as I have always suspected, Obama does what he is told to do. If he is told to tow the line, then this scenario will come into play. Under this scenario, the dollar will rise substantially in value over the short term due to the increase in the reserves of our country from the influx of dinars. There are a number of folks who subscribe to this view. They base it on a supposed agreement that has existed for many months between, on the one hand, the US, France, China, and Britain, and, on the other hand, Iraq. That supposed agreement documentation, which I have not yet seen, indicates that none of these countries will “cash in” their dinars. Instead they will hold them for a minimum of 6 months and only then begin exchanging them for oil reserves. In the case of the US we have heard that they have signed contracts with Iraq to cash those dinars into oil at an amazingly low $32 per barrel. Since oil is now $125 per barrel and presumably isn’t going to come down soon, the US will then profit up to $100 per barrel in oil as they convert the dinars. The real cost to Iraq is miniscule, since they can produce a barrel of oil for about $.60 each. It would appear that in this scenario everyone wins.
However, a secondary affect of this scenario is that the US Government will end up controlling the oil industry in the US, and have a similar affect worldwide due to its sweetheart deal. If you thought that we were heading pell mell into socialism up until now, wait until this administration has control of the oil industry.
Under this scenario America may actually begin to pay back China in oil rather than with dinars or dollars. Since they have the oil so cheaply they will be able to pay back China, effectively, at about 25 cents to the dollar. Once again, it appears that everyone wins. We pay off our debt cheaply while China gets the oil it so desperately needs.
Another possible aspect of this scenario is how it might affect fuel prices in America. Even though the US Government obtains the oil for only $32 per barrel, this does not mean that those savings will pass through to the consumer. In fact it is almost certain that they will NOT pass through. One only need look at our “green President” to see that if he has control of the oil he will maintain that control and force us into a more “green” posture, rather than allow us all to benefit. Therefore, we might even begin to see oil shortages in America, with attendant rising oil prices, in his effort to stem demand and force us into a “greener” mode of living. While we, as wealthy Americans, might not be seriously affected by this, you can imagine how the average American, and our economy as a whole, might be affected.
Under this second scenario we should also look at the cost of imports. I have surmised that China will raise its currency rate to keep aligned with Vietnam. In doing so, our imports from China will necessarily become more expensive. It is possible that the same will occur between us and India, or Indonesia, where we also do a lot of business. In short, we may reasonably expect inflationary pressures in America to build.
We will then have a triple threat on our pricing structures in America. The first is already working its way into our markets. This comes from the profligate spending of the current administration by printing of money with no backing. The second will come with rising prices due to the administration’s control of the oil industry. And the third will come from the realignment of currencies around the world which will almost certainly cause imports to become relatively more expensive for us.
The result, then, will be that after a short rise in the value of the dollar, due to our improved reserve position, the dollar will then begin to fall again in value as inflation ravages our purchasing power.
If this analysis is correct then, I would, along with Tampa Tom, strongly recommend taking up large positions in precious metals. I used to be a commodities broker in precious metals and believe strongly in the theory of “dollar cost averaging”. Through this method you invest the same amount in gold and/or silver each month. If the price of gold and/or silver falls, then each month you are obtaining the metals for less and less. Your average, then, will always be less than it was when you began. You will never know the bottom, but you will average your way toward it, assuring you a better position each month as prices fall.
If, on the other hand, prices of metals rise, then each month your average will be less than the latest month’s prices, since previous months are all purchases below the current rising market. You won’t know where the top is, but you will be assured that your average purchase price will be less than the top. In either case, you will win.
I will now add another thought for you all to consider. Real estate is another excellent hedge against inflation. If you purchase real estate, find the best locations first. Second, pay cash for the property. Third, hire a good property manager. You don’t need the hassle of managing your own property. Fourth, try to get at least a 1% rental return monthly on your real estate. In other words, if you buy a $100,000 house, make sure you can get $1000 per month in rent from it. If you can’t, don’t buy it. Keep looking. After management, repair expenses, taxes, and vacancy factors you should realize 7% to 8% on your rentals. Next, hold them for a maximum of 7 years, then liquidate. At this point you will have capital gains taxes to pay. During the 7 years you will have income from the rentals to pay taxes on. But here is the kicker. As with all booms and busts in real estate, we can expect the next one to be a doozy. In seven years you can reasonably expect your investment to grow by 500%. Therefore, if you invested a million dollars in real estate, you will liquidate into 5 million dollars. Pay your 15% capital gain tax and you still have 4.25 million dollars from a 1 million dollar investment. And in the meantime, your beneficiary, such as a son or daughter, will have been able to live comfortably with about $8,000 per month in income from the million dollars invested in real estate.
Add to that the gain from your metals holdings, which will also rise with inflation, and you can see that you are well on your way to passing along to your family much more than this simple blessing provided you from the beginning.
Now, I’ve gone on long enough for this reading so I attempt to head toward a closing. There are other possible scenarios to consider, but this will give you all some food for thought, and hopefully will help you with enough facts to consider so that your planning for the future is done wisely instead of foolishly.
What is important to consider, in closing, is that I believe that the RV will have significant worldwide impact, and that while we may benefit in the beginning, the overall affect on our country may not be positive in the mid to longer term. We must therefore proceed cautiously and invest wisely. In any case, again along with Tampa Tom, I would caution you all to stay away from banking institutions and away from the US Dollar except for your normal 6 months living projected living expenses. Everything above that should be put into inflationary protected assets. In my case I’ve already stated that for me that would include precious metals (both bullion and coins, just in case) and real estate, which has traditionally been an excellent hedge against inflation.
I hope these ideas are helping you form strong, conservative, and healthy planning decisions.
Thanks for listening to me again.
Steve
RUMOR RUMOR
No comments:
Post a Comment