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Forecast: U.S. dollar could plunge 90 pct
UPI – via Information Clearing House November 24, 2007
A financial crisis will likely send the U.S. dollar into a free fall of as much as 90 percent and gold soaring to $2,000 an ounce, a trends researcher said.
"We are going to see economic times the likes of which no living person has seen," Trends Research Institute Director Gerald Celente said, forecasting a "Panic of 2008."
"The bigger they are, the harder they’ll fall," he said in an interview with New York’s Hudson Valley Business Journal.
Celente – who forecast the subprime mortgage financial crisis and the dollar’s decline a year ago and gold’s current rise in May – told the newspaper the subprime mortgage meltdown was just the first "small, high-risk segment of the market" to collapse.
Derivative dealers, hedge funds, buyout firms and other market players will also unravel, he said.
Massive corporate losses, such as those recently posted by Citigroup Inc. and General Motors Corp., will also be fairly common "for some time to come," he said.
He said he would not "be surprised if giants tumble to their deaths," Celente said.
The Panic of 2008 will lead to a lower U.S. standard of living, he said.
A result will be a drop in holiday spending a year from now, followed by a permanent end of the "retail holiday frenzy" that has driven the U.S. economy since the 1940s, he said.
http://www.informationclearinghouse.info/article18776.htm
Last updated 10/12/2007
Forum posts
12 December 2007, 10:33
In 2 to 5 years it is possible. When UAE and Russia will trade in their own currencies.
13 December 2007, 00:04
Economists point out, rightly so, that the US dollar is approaching—as do all fiat currencies—its true value, which is zero.
The gold standard was dropped by Britain in order to print sufficient money to fund WWI, and again by Nixon in the US to fund the invasion and occupation of Viet Nam, a manoeuver without enough support to permit raising taxes. Now the boy idiot in the WH is running down the US currency to fund his imperial ambitions.
While the best thing would be for the USD to plummet, it will probably be propped up by the same suckers who loaned the US the 3 billion a day to pay for crimes against humanity and other follies and felonies of the Bush crime family. While they may rebalance their central bank, it is unlikely there will be a run on Treasuries as this would be outside of the self interest of their holders—China, Japan, UK, and others.
One of the strategies for a country with a devalued currency is to back it with commodities. The underlying strategy of the response to the mortgage implosion is to further devalue real estate, which can be an attractive tangible asset that can be sold to China and oil-producing countries.
While the US dollar is not backed by gold, it is backed by 12,500 nuclear warheads.
14 December 2007, 03:33
My timing is perfect - my bowels are just now getting use to the Ezekial Mix. Plan ahead, I am already growing vegetables indoors as well as making my own flour and bread. Stock up on items you can’t produce yourself, get all dental work done, you get the idea. It’s time to stop worrying about the deniar’s, it is time to save ourselves. Learn as many new skills as possible. Start NOW. A tetanus shot is also advisable in case you cut yourself after the collapse. It is often the simple things that take you out. A tetanus shot does cost $30 US and it does contain thimerasol or organic mercury, but getting tetanus is much worse than a tiny dose of organicly bound mercury. Tetanus is often lethal and extremely painful. So this is obviously the last chance for most of us to wake up and get to work, develop a plan of action (POA) and stick to it.