USA government debt ceiling

Cari Machet carimachet at gmail.com
Wed Oct 14 08:53:20 PDT 2015


http://www.wsj.com/articles/once-the-biggest-buyer-china-starts-dumping-u-s-government-debt-1444196065

https://en.wikipedia.org/wiki/Reserve_currency

On Wed, Oct 14, 2015 at 5:41 PM, Cari Machet <carimachet at gmail.com> wrote:

> China is pulling away from buying the debt of the US and hence pulling
> away from the dollar as its backed exchange rate ... meaning when a country
> holds in its banks enough US currency so that it can exchange the currency
> easily it is backing its money w the US dollar BECAUSE it cant then go to
> the US and say ok give me chinese yen ... it just has to hold the dollar in
> its system and therefor ownes the debt
> Presently the chinese see the futility of the system and are shifting i
> cant remember into what exactly ... will dig that up when i get a minute
> but they dont want to be basing econ on debt papers anymore
>
> The ever fucker nixon ... with dick cheney in his cabinet took the dollar
> off the gold standard and kind of fucked the world ... didnt warn anyone or
> nothin just did it
>
> In india the government just ask the people to loan their banks personal
> items of gold ... people buy it here as a personal investment like real
> estate such a contrary notion than the US
> On Oct 14, 2015 3:30 PM, "Georgi Guninski" <guninski at guninski.com> wrote:
>
>> On Sun, Oct 11, 2015 at 01:31:26PM +0200, Lodewijk andré de la porte
>> wrote:
>> > >
>> http://english.pravda.ru/business/finance/08-10-2015/132278-us_treasury_swap-0/
>> > > >
>> > > > "There are $630 trillion in outstanding derivatives globally
>> according
>> > > > to the Bank of International Settlements (BIS) in Switzerland. That
>> > > > is, about $630 trillion in bets placed on about $100 trillion in
>> > > > stocks and bonds."
>> > > >
>> > >
>> > > Interesting (but doesn't seem citable reference to me).
>> > >
>> > > How the financial market is still working?
>> > >
>> > > And how such bets survived so far?
>> >
>> >
>> > Counting derivatives as debt is definitely 100% misguided. They're also
>>
>> Maybe "Counting derivatives as debt" is indeed not correct.
>>
>> But gambling with something you don't have is serious potential debt
>> problem.
>>
>> Especially, as you note, if the shit is amplified (which is likely in a
>> ponzi scheme like this).
>>
>> Somewhat related (I don't claim it is the same):
>>
>> https://en.wikipedia.org/w/index.php?title=Barings_Bank&oldid=684442660
>> ---
>> The bank collapsed in 1995 after suffering losses of £827 million ($1.3
>> billion) resulting from poor speculative investments, primarily in
>> futures contracts, conducted by an employee named Nick Leeson working at
>> its office in Singapore.
>> ---
>>
>>
>>


-- 
Cari Machet
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carimachet at gmail.com
AIM carismachet
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Twitter: @carimachet <https://twitter.com/carimachet>

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