The literally tens of trillions of US dollars, which reside in the accounts and safes of the Saudis, Russians, Chinese, Japanese, Koreans, and others, are a time bomb waiting to explode. Let’s suppose you had a couple of million in the bank, and didn’t know what to do with it? What would be your first temptation? Gold? Silver? Buy a larger home? Buy a business? Buy a lot of stocks? With today’s declining dollar, I am certain you would buy something, just to get out of a fading currency, and you do not have a monopoly on intelligence.
The Chinks, Ruskies, and Japs, have literally TRILLIONS of US dollars in their safes and checkbooks, and they know the bucks are losing value. What will, or could they do with them? Spend them, of course! Why not now? When? What should they buy? Gold and silver? Maybe. Here’s a possibility, and it should scare you and every American.
Obviously, prices of real estate, bank stocks, and lots of other stocks, are or will go down, and haven’t reached the ’bottom’ yet. When real estate prices bottom out, (which point no one knows), but it will be a lot lower than now, why wouldn’t a Russian or Korean take the opportunity to buy a mansion in America? Why wouldn’t they buy a bank? You can probably buy Citibank, or Bank of America pretty cheaply now, since they have lost a bundle on their real estate sub par purchases. A friend of mine in this town, just bought a foreclosed property on 40 acres with superb views of the mountains and town lights, with a 2400 square foot home, for $125,000. It’s ’worth’ two or three times that, but times being what they are, foreclosures are everywhere.
Suppose the Chinese not only bought us right out from under us, but decided to stop selling stuff to us, now that they have customers around the world. Suppose they invaded Taiwan, and dared us to interfere? We would of course, since we consider ourselves the policeman of the world, and that might cause the Chinese to stop selling things to us. Since just about everything we buy, use, and need, seems to come from China, what would happen to us? Another empty factory burned to the ground in Philly the other day. Hundreds of them have burned in America, or sit abandoned. Many times the machinery has been sold and shipped to China! Without thousands of containers coming into our ports every month, and returning empty to get more, what would happen to America?
Russia has trillions of US scrip, and so do the Saudis. Do you have even the slightest idea of what they could do with all that fake money, known as dollars? Is it really a delicate ’balance’ any more? We used to say that they keep taking dollars because they want to sell us stuff, but the Chinese now have world wide customers. The Saudis don’t buy much from us, and the Russians nothing, as far as I can see. They have trillions of declining value dollars. Are they waiting for prices to go down further, and for more banks to discover that their CEO’s goofed? Think of the tens of thousands of foreclosed houses in Las Vegas alone. Why don’t the Chinese, Koreans, or Russians buy them for a song, and have a nice place to spend winters? Are they waiting for prices to go even lower, or for more foreclosures to come on the market? Las Vegas is a lot nicer in winter than Moscow!
Are the Chinese still taking dollars so they can accumulate enough to literally buy a large part of US foreclosures, businesses, banks, internets, or what have you, and make America a second China? We are hanging in a delicate balance OK, and there’s no question about that. There are enough US dollars in foreign hands to literally buy a great deal of us, and at reduced prices. Meanwhile, we continue to fight stupid, un-winable wars, and station half million troops overseas, gobbling up our dollars. Ernest Hemmingway once said, “The first panacea for a mismanaged nation is inflation of the currency; the second is war. Both bring a temporary prosperity; both bring a permanent ruin. Both are the refuge of political and economic opportunists.”
Between the cost of illegals and wars, our dollars are plummeting at a rate which makes it super attractive for foreign nations to buy us. When will they do it? How many more foreclosures, how much more idiocy in DC, and how much lower will the buck have to sink, before they buy us and move in? I hope all you voters realize that O’Bama hates religion and guns. He cast 100% of his votes in both his state senate and the US Senate against guns. He also was raised a Muslim, and his eloquence and negating of his true thoughts doesn’t fool me. Hillary’s history make me shudder, and McCain’s liberalism turns me off as well. What is America’s future if any, if either those three win? Iraq for a hundred years? Gun confiscation? Total socialization of America? None look good to me.
Silver-Again
It looks like the A-Mark Rounds and ten ounce bars are catching up. The hundred ouncers will be caught up next, but the Silver Eagles may take longer. Our Supplier, A-Mark, ordered a million and a half Silver Eagles, and is getting 350,000. The US Mint refused to take A-Mark’s advice and plan for huge demand. Did we expect more from a US government agency? Be patient on the Silver Eagles and 100 oz bars. Your price is locked in, this is no dishonest outfit, and everyone’s doing all they can.