Flight from the dollar
Barclays Capital research showed that central banks that report reserve breakdown put 63 percent of new cash coming into their coffers between April and July into non-U.S. currencies.
“There’s an incipient desire to reduce the dollar share of reserves, and central banks will use any opportunity to do it, provided it doesn’t cause the dollar to fall out of bed,” said Steven Englander, chief U.S. currency strategist at Barclays.
International Monetary Fund data shows the dollar’s share of known world reserves has been declining since it stood at 72 percent in 1999, the year the euro was introduced. As of the second quarter of 2009, it accounted for 62.8 percent.
That’s not all that’s going on. Via Xxxl:
Goldman left foreign investors holding the subprime bag
JPMorgan Chase & Co. agreed to a $722 million settlement with the U.S. Securities and Exchange Commission to end a probe into sales of derivatives that helped push Alabama’s most populous county to the brink of bankruptcy.
Gold Market Reaching The Breaking Point
True state of U.S. unemployment
FCC moving to control Internet
New York Fed’s Secret Choice to Pay for Swaps Hits Taxpayers
OTC derivatives regulation pushers being silenced [this one's a worry because it shows that the danger has not passed - it is exactly as it was before the crash]
Intervention of billions only contributes to new bubbles
The bottom line, shown in these reports, is that there is most certainly collusion with a view to defraud, incompetence and dangerous intervention by amateurs, i.e. the government and an attitude by the big players of “to hell with the country”.
Filed under: Politics & economics
