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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: RJA_ who wrote (92989)	7/27/2012 4:59:00 PM
From: RJA_	Read Replies (1) \| Respond to of 217666

From Dave Galland, Casey Research, today: "It's all about the debt. "The sovereigns owe a lot of money that they can't repay. As they try to roll over their existing debts and have to borrow more, the lenders - if any can be found - will want higher and eventually unaffordable interest rates. When the lenders dry up, the only solution will be for the central bankers to monetize, but the world will be watching closely, so this will likely trigger a death spiral in the fiat currencies. "There are intractable problems on a fundamental, systemic basis that cannot be resolved in an orderly fashion. The day is coming when the lending locks up again, after which point everything starts to fall apart. "So, no, I don't think it's a muddle by outcome, but a systemic crash... hopefully big enough to cause a rethink about the entire current setup with funny money and central economic planning. "But that would take a very big crash."

To: RJA_ who wrote (92989)	7/28/2012 1:22:56 AM
From: TobagoJack	Respond to of 217666

by my reckoning, some variation of the below, usd t-bills would always get 'bought', (i) by very cooperative central banks (i.e. the stage we now are still at) (ii) eventually by one or two less cooperative central banks (i.e. the stage we are setting up for) (iii) by the fed (iv) by institutional / pension monies (i.e. less-than-absolutely forced loan) (v) crucial central bank(s) begs off of the dollar recycling game, and the start of absolutely forced loan (i.e. rule by making up rules, by n for the people, that x% of all pool of money must be invested in y-type of t-bills) (vi) at the sorry end we can count on outright default because after certain mathematically determinable point even printing cannot sustain a growing entitlement obligations, rising pay-out, slow / no-growth economy, ramping interest rate, and competitive economies elsewhere doing own continental economy thing while we are not yet at (vi), but w/i 6-14 years be my guess; earlier collapse is best for the people by the people. later collapse guarantees absolute and end-game disaster followed by darkest interregnum, just as would a needed divorce nilly by the willie delayed. it is dangerous to have a global reserve currency, but most dangerous for the currency's owners, whilst not bad for the currency's operators as they shall be able to retire fine in beautiful places doing fun things. note: getgold is salvation.