By Tarik in the Vineyard for the Saker Blog
If Russia shot down a NATO bomber or ship flying or sailing where it shouldn’t be (or even a US one), who would dare respond in kind?
It begs the next question: Why Russia didn’t shoot anything down yet?
Things need to be put in perspective. So here is a third question: Why is the West and the US in particular, so dead set on confronting Russia and China at every corner, short of direct military attack?
It is not because they want to cut Russian gas to Europe (it would terminally break the EU economy and destroy its ability to store increasing dollar reserves), or repatriate jobs from China (systemically incompatible with dollar hegemony) , or even prevent the implementation of the BRI per se (because the matter of fact is that potentially it could become a huge new, and very much needed pit for excess dollars to find their home; if only it were done the “right” way).
When Kissinger invited China into the western world economy, it was understood that it would eternally accumulate dollar trade surpluses, and over time, become another EU or Japan. In the case of the EU, the US had NATO, and for Japan they had their military bases to make sure these two would dutifully stockpile every dollar that comes their way. But nothing of the sort existed for China. To make a story short; in the early nineties they took over the largest stash of natural resources that is Russia. With that in hand they thought they now held China on a tight leash. Late nineties the Asian economic crisis hit; Beijing was livid. 2000 Putin takes over Russia’s natural resources, unleashing China. The later enters a global buying spree of natural resources through its huge accumulated dollar reserves. Commodities’ prices shoot up, interest rates follow suit and triggers the subprime implosion and all its aftermath.
For all practical purpose, intentional or not, this was an unofficial war declaration. No doubt every central banker on the planet worth his salt understood a new player entered town. It meant business, and was to be reckoned with. US responds with an “epidemic” of color revolution everywhere China was laying the ground work for what was to become the BRI, and dramatically increases the pressure on Russia to force it back into the US$ fold. Neither China nor Russia blinked. Instead the former announced to the world the official launch of BRI, and the latter openly challenged US military supremacy in Syria, and soon after started in earnest the distribution of S400s (almost as good as the atomic bomb, in diplomatic terms) to the world.
For those holding reservations about the above interpretation of events, please consider: the price of gold went from under 300 US$/ounce in the late 90’s to 1900 US$ by the end of the first decade, bear in mind that this in a market hated by all. To this day less than 1% of global private wealth is held in gold. In 5000 years of history never did this ratio fall below 5%, even under the most exuberant times. Who was buying? While the western bullion banks acted as “sellers of last resort” with unlimited fictitious supplies on the Futures market to keep the price under cap, so did Beijing act as “buyer of last resort” on the spot market with unlimited dollar supplies from their trade surpluses, thus uncapping the price. The relevance of this is apparent when juxtaposed to the BRI project.
It is estimated tens of thousands tons of gold were disappeared in China; that enters the border but never show up; neither in retails nor official reserves records, but instead just somehow vanish in thin air. At the minimum it shows they’re preparing for a post dollar economy. Then again the BRI makes no secret that it intends to make use of local currencies worldwide. There are two ways only to have any currency accepted. Either it is backed by the most powerful military, or alternatively it is referenced to gold. Anything else (eg. Petrodollar, Eurodollar…) is military backing under the guise of… and the BRI has also admitted its preferred option for trade account settlements.
Such monetary arrangement (no matter the exact actual architecture) would in short order annihilate any form of western prevalence and privilege on the global scene. In itself it would just be an ego bruise, but when added to the staggering debt levels, it translates to guaranteed decades of servitude. That my friends is the crux of the matter, the unfathomable horror the west is facing. It is what keeps their elite awake at night, while the population imperfectly senses a looming day of reckoning whether under the traits of a yellow slit eyed giant dragon, a monstrous growling bear, a flood of melted ice, or an amorphous unforgiving pestilence, when instead they should really fear Shylock’s lurking specter and past due pounds of flesh.
Now that the real motive for the Big Boys’ quarrels has been defined, how would a war with Russia or China, even if only through a proxy (Ukraine or whatever) fit in this equation. First of all the West or the US today is not comparable to say Napoleon’s France or Hitler’s Germany which “benefited” from industrial and military supremacy. It is those specific advantages that allowed them the privilege to make fools of themselves. Without them, neither Napoleon nor Hitler would have ever thought of heading East. And I might add, nor would have the US embarked on the last 50 years of hegemonic delusions. Today the latter has lost both trump cards, and with them, one might presume, the luxury to fantasize a swift military solution.
This leaves us with only a proxy war scenario. If realized, that option can only yield very short lived dividends that could never alter the natural course of the empire’s demise. After all once the Ukrainian army is spent, that card is gone. In fact the Ukraine holds value as long as the status quo last, once the situation is resolved (which ever way that may be) it looses any bargaining stock. The same holds true for the JCPOA, Syria, North Korea, Taiwan, Myanmar, Ethiopia, and so many others. And what bargaining may I be referring to? Well hold on tight: the West pushes for terms of a new partitioning of the world, while Russia and China expect its terms of surrender.
Sure, until say around 2018, all these pressure points were meant to force China and Russia reconsider the dollar’s role in the BRI and related projects. But then in March of that faithful year (if I remember well) Putin casually announced a panoply of hyper-sonic toys. If the subprime event was a “Wazari”, March 2018 was the “Ipon Seonage”, or basically a “checkmate”.
No doubt every general worth his salt must have raised an eyebrow or two, and every central banker realized the dollar was now naked, with neither gold nor the most powerful military on the planet to enforce it.
All the while Putin was giving his speech, the list of nations that were rejoining the BRI since its official launch and their commitment, were about to dramatically increase. The practical effect was a gradual and ongoing abandonment of dollars in cross border regional settlement of trades, particularly in South-East Asia were the doomed currency is now considered almost a dirty word among regional players. Consequently local currencies reserves are displacing US$, which are increasingly being spent on the acquisition of raw materials on the international market for infrastructure projects. If it sounds like “déjà vu” it’s because it is. The resulting inflationary pressure on the commodities’ market would again spill over to the interest rate market, triggering the September 2919 REPO event. Because of its brevity, I suppose, few realize how defining that moment was to what came next.
First the Fed met the burst from 0% to 10% on the overnight REPO rate with a 700+ billion US$ barrage within a matter of days to literally drown those darn, messy, uncooperative interest rates. Ever since that market requires a monthly 120 billion allowance just so banks may trust each other and perpetuate the myth of solvency. As the global economy stopped accumulating, or even off-loaded dollar reserves, the greenback’s velocity increased and soon will feel like hot potatoes. A rarely mentioned consequence of this phenomenon (at least I never came across it anywhere), is the severe restriction it imposes on newly printed dollar deployment outside US financial markets, lest it turns the already established price inflation into hyperinflation. Thus it renders the dollar useless as a tool for influencing foreign actors. Those loose dollars must be neutralized. A few months later COVID strikes in China.
Was it just one more sorry attempt to oblige China to reverse its “dollar policy” or whatever favorite narrative one may subscribe, isn’t as relevant as Beijing’s response was remarkable. There were several instances in the last 20 years when China had to suffer some suspicious biological outbreaks, yet none of the measures taken ever even registered in import/export figures, GDP, or in any other major economic indicator. Now suddenly under the pretext of one insipid flu-like germ, precisely when the West is shown at its most fragile financially, they decide to entirely shut down one major world industrial production hub. Again, regardless of one’s view on that epidemic, there’s not a point in the entire space/time continuum where Xi and his team didn’t foresee the consequences of such measures, both on their economy and those of the West respectively.
The West was totally taken off-guard; no point in calling China, the damage was already done, trillions would be needed to absorb the shock, and thus they took the path of least resistance. They doubled down on the COVID song, proactively shut down their economies to force unanimous political support for direct monetary support of the economy and markets. That the pandemic narrative also served as convenient cover for population movement control, was an extra bonus in an environment ripe for social unrest.
A few months later China unlocks and its economic indicators quickly resume to pre-pandemic levels, all while the US and Europe were still mired in frozen economies. This showed the world economy did not depend any longer on Western lead. In fact the world can now perfectly do without the West all together.
Now it may still be early to assess with any certainty how the game is being played at this very moment, but based on the evidence over the last 2 to 3 years, here is a proposition which hopefully might offer an answer to our starting questions.
The earlier Putin “checkmate” referred specifically to global dollar dominance. Preserving regional dominion for a little while longer however seems still possible, at least in the minds of the western elites. However such a region must be isolated from areas that do not submit to the dollar “order” (or whatever new cryptocurrency denomination they may come up with to implement their reset), since direct competition would instantly reveal the currency fraud that it is. Hence the necessary world partition. In this new context, those pressure points whose main purpose was originally directed against China and Russia, can easily be repurposed to mainly close the ranks in the “salvageable” portion of the world. That explains nicely the increased hysteria surrounding those sour points; not as means to strike fear in the hearts of Russians and Chinese (which is a ridiculous proposition when considering the ground facts), but to dig it as deeply as possible into their vassals’ hearts instead, with what military and economic might they still muster.
Then in order to preserve their currency’s “credibility”, at least within the remaining sphere of dominion, they need a replacement for the loss of those Central “dollar sinkhole” Banks and respective economies that are escaping to the multi-polar world. So they “repurposed” (or just upgraded, I’m not sure which) a favorite of theirs: Global Warming, from an obstacle to the BRI momentum, to a black hole for infinite currency issuance. The basic idea, apart from its green energy infrastructure component which at least is comprehensible to the mind, is to, through the carbon credit market, “financialize” various ecosystems’ contribution to decarbonization. Shares would be available for “investments”. It’s not clear who or how the book value of these shares would be calculated, but one can be excused for assuming that value will prove as flexible as a COVID infection count. I suppose the underlying logic goes something like this: ecosystems remove CO2 from the atmosphere, which saves our lives. Since we can all agree that our lives are infinitely precious, no amount of investments can possibly realize the full valuation of those shares. Et voilàààà, the inflationary dilemma once and for all, forever and ever, eternally and for perpetuity finally solved!
Is it delusional? Of course it is. But as some real wise man said: People rarely think what they must, instead they tend to think what they need to think, when they need to think it.
Obviously the “Grand absurdity” in which their “Great Reset” is being implemented is the sure sign of their impending capitulation. Hence Russia and China patiently awaiting their acceptable terms, which probably means unconditional rendition. The piper will be paid.
It doesn’t mean they want to destroy, humiliate, or otherwise submit to the West. It’s about facing responsibilities, and within this frame, figure out a convenient, or win-win agreement. In such an environment a war makes little sense because there is no military threat against western leadership, only military containment. In typical “Go” fashion, US and NATO bases that were previously seen as power projections enveloping the world, can increasingly be viewed as the boundaries of a shrinking space.
Funny thing is, Russia and China did try really hard to avoid this sorry state; the downright self-inflicted humiliation the West is facing. Ever since the 1997 Asian crisis, Beijing tried real hard to convince the US to a strategy to solve the Dollar’s paradox in world trades. During the first decade of the century as preparation for the BRI, they started heavily investing in global natural resources extraction. Aside from the obvious practical reasons (BRI would require humongous amounts of resources), there was also a financial/monetary aspect. The commodities sector was suffering from decades of under investments due to price suppression schemes by the usual suspects, in line with the gold price policies. The idea then was to increase production so that the manipulative Future’s shorts could be gradually unloaded without triggering the typical inflationary bomb and the ensuing interest rate response, and thus freeing the Western banks from exposure at no loss. At which point international dollar reserves could gradually be unloaded unto an increasing supply of commodities to the BRI, with also minimal (or at least manageable) inflationary disturbance. Of course it implied a parallel incremental retirement of international dollars to a level commensurate to the US’ economy true size, probably through a series of devaluations against mainly gold. That was China’s plan. Not a bad empire retirement plan when considering where the West stands now.
Just as funny, had the US been agreeable to China’s and Russia’s proposal, better yet had they taken the lead after the USSR collapsed, to “resize” the dollar, neither of the Bear nor the Dragon would have developed their armed forces, instead dedicating their resources strictly to the economy. The US could have retained Military supremacy and acted as a true policing force of the world, with all the benefits and honors attached to this function, and the eternal gratitude and support of all. What a monumental waste those last thirty years indeed. Okay, maybe all wouldn’t have been as rosy, so let’s just say it could have been a great opportunity for a beautiful dream…
“Born in Lucerne 1966, raised in Tangier, Abidjan, Washington DC, Nice and Geneva. When Father said goodby, I decided I needed to save the world, and thought picking up a job in an Islamic financial institution (Private wealth management) was a good place to begin. Started in the back office learning the technicalities of money and its flow, then moved to another institution’s front office as technical analyst for the Commodities, Futures and US Option market. I later added Forex to my coverage. In parallel I self-educated in economics and monetary policies which promptly introduced me to geopolitics
I’m a Muslim at heart. Not necessarily a “good” one, but a Muslim nevertheless. And there’s only that much even an only mildly honest believer can compromise, till some existential limit is reached. And so, I decided to rather save my soul than the world, and left the industry for greener moral pastures, or so I hoped. The passion to decipher the world of Men though, never ceased. ”
the west but especially the usa exhibits as a cautionary tale played countless times over the past several millenia in every corner of the world always without exception ending the same way……..uncompromising unsupportable pride ………leaving its holder ultimately with nothing and no one!
human sentiments never change because the consequences are never humbly understood
“The USA exhibits as a cautionary tale played countless times over the past several Millenia in every corner of the world always without exception ending the same way.”
True but no previous Empire had the ability to destroy the world with it.
This capability decays if not maintained. Who is going to do it? The places formerly of strategical importance in USA are treated like this: https://threadreaderapp.com/thread/1296115228896182273.html
You don’t shoot down an opponents military aircraft over international waters. Russia might not even shoot a NATO aircraft down over Russian territory but try to force it to land.
>>” You don’t shoot down an opponents military aircraft over international waters….”
Thus the US and Israel opt for shooting down commercial/ domestic aviation……
You have a good sense of what is going on in the world.
But despite having worked in international Banking, you do miss a lot of important details.
You wrote: “Today there are only (point 1 or 2) accepted as currency”.
1) Either it is backed by the most powerful military,
2) Or it is backed by Gold.
3) How about being backed by the most sought after commodity (Oil)
4) Or how about it being backed by a fata morgana called bitcoin, only existing in cyber space.
5) Or how about a basket of many national currencies weighted and used for international settlements.
Yes, Gold has been the store of value for thousands of years.
And as such has been globally accepted as the foundation of most monetary systems, as a Gold Standard.
One such Gold standard was the Bretton woods Gold standard erected by Allied Nations at the end of WWII. During WWII many Nations all over the world face by war, had secured its Gold by sending it to America.
These major Gold deposits were accepted as the Gold foundation of the Bretton woods monetary system.
However as part of the agreement the Gold was to be returned after 50 years (1995), to its respective Nations, but the return of Gold was delayed until the millennium.
“To this day less than 1% of global private wealth is held in Gold”.
Since 1971 Gold has been hated and suppressed by Central Banksters and Western Politicians.
Because in a monetary system based on a Gold standard the Government or the Central bankers have to hold 25% of its printed currency in Gold reserves. This hampers Kings, Emperors, and Globalist Banksters from Taxing a Kingdom, The Empire, or the whole world via inflation, by printing more money.
But that is exactly what the US has done since 1971.
Back in 1971 the US was already Bankrupt by decades of wars, incl. the Vietnam War.
So the US President Nixon had to act.
1st: he made an agreement with the Saudi Kingdoms, to protect the kingdoms with the US military, under the condition that the Kingdoms demanded Dollars for sale of all their oil.
That secured the dollar a position as a de facto world trade currency.
The dollar could now be inflated globally, without debasing the US currency at home.
2nd: Nixon send Kissinger to China, in order to make trade relations with the communist they were actually fighting in South East Asia. Why? Because the US Deep Stated never intended to deliver the Bretton woods Gold deposits back to its respective Nations. Thus they had to come to an trade arrangement with some of the greatest depositors of Gold to the Bretton woods system, China and East Asian Nations.
3rd: After the above negotiations were in place Nixon took the dollar off the Gold Standard.
“From the late 90s (the end of Bretton Wood Gold deposit) the price of Gold went up from under 300 US$/ounce to 1900 US$ by 2010”.
In 1999, the Gold deposits from some European Nations were returned (not to their Nations) to the EU – European Central Bank. However Germany and Holland still did not receive their Gold deposits back.
In 2000 Al nations demanded their Gold deposits back from the US. The US still refused even though the demands were growing, and as a decoy the Bill Clinton Accepted China into the WTO.
However on 9/11 2001, all the Gold deposited in the basement of the WTC suddenly disappeared.
The rest of your article is almost correct except for:
Why so many Nations were attacked by the US+NATO, and plundered for their Gold Reserves like Libya, Afghanistan, Iraq, and Ukraine.
Why the Financial Crisis of 2008, were planned in the US, to plunder Western Nations, Pension and Capital Funds.
Why the Migrant crisis of 2015 was instituted by the US and NATO to overload European Nations with Migrants.
Why the Health crisis of 2019 was instituted to drive the whole world into Dictatorship.
And why Russia and China is still in the crosshair of the Globalist Central Banksters.
Since 9/11, China, Russia, And India have been buying Gold with its surplus Dollars, in mass from Western
Central Banks, and Soon Gold will revert to its former glory as the store of wealth.
And as the old saying goes: He who has the Gold rules.
“Central Banks, and Soon Gold will revert to its former glory as the store of wealth.”
Except that the Fed, back in 2013, was openly and illegally shorting gold to bring it back down to $1,750. It still hovers around that range today.
So using gold to store wealth is fraught while ever the US government can manipulate its value.
The text is separated in the wrong place.
the line should read:
Since 9/11, China, Russia and India have been buying Gold with its surplus Dollars, in mass from western Central Banks, and soon Gold will revert to its former glory, as the store of Wealth.
Yes, the FED and other central Banks + Goldman has been openly shorting Gold, to bring the price down many times. Some western Nations lease out their Gold holding and it is being used to short the price of Gold.
Every time Globalist traders have dropped the price of Gold in a coordinated attack, China, Russia, and India has been and are still buying up Gold for cheap.
For more than 10 years Russia and India have been moving steadily up toward being among the Nations with the largest Gold Reserves: https://tradingeconomics.com/country-list/gold-reserves
The US still refuse to Audit their Gold reserves, as former congressman Ron Paul has demanded.
The Gold reserves of China, Russia, and India, in combination with the US Dollars vanning status as World reserve currency, will finally secure Gold as its historical Position, and send America into Hyperinflation and the US into state bankruptcy.
Because a Gold stash of wealth does not need the same space of storage, as the equivalent store of wealth in Oil. That is why Nations allays have used Gold as the store of wealth.
Basel III takes place at the end of this month, and who wants to pay more for paper silver and gold on the way out?
Look for silver and gold to rise dramatically in the coming months as the stability coming from mkts determine the price, rather than some dudes in london each morning.
howdie, quick question.
If oil is “the most sought after commodity”, why do countries want gold to restore their wealths, and not oil?
A completely great video on the tragic, diabolical shoot-down of an Iranian airliner over international water. Almost 33 casualties I believe.
The internal rot of the US is in an advanced state. What is the endgame for America? I was born and raised here….My ancestors were born and raised here during the horse and buggy era.
If it reaches post-civilization collapse stage….will there be roaming bands of cannibals looking for sources of human protein?(Psychopath Mike Pompeo’s favorite kind of people).
The US Political System selects for grifters and psychopath-this is just another way of saying that the US Political system selects for fart jokes…George W Bush….and psychopaths…Bill and Hillary Clinton. And this system has given rise to homosexual-pederast rule in America in 2021(although noticeable early on during the early days of Reagan-ruled America).
Holy Canoly…We are doomed….
Of course, it is but don’t tell the people that it is for the woke mentality is like the red scare back in the 50s, and you know it’s got to run its course before any sanity can kick in, the question is will the sanity kick in before the missiles start to fly, will it kick in before the idiots up in Washington wake up I think he gives them way too much credit for they won’t surrender until everything around them is destroyed.
Thank you! It is the best article I read in a long long time. I understood it even though because of my limitations , I could use some developing on the “mechanics “ of economy. I will forward it as much as possible. It is Soul retreaving! It shines with Truth, and also, with the aura of who you are: you are a great man! It shows. Impeccable. You shine without ego show. You are a prophète. Much appreciated.
Very uplifting even if we, the west, are going down.
There is that paradox at play: Truth exposes our “doom” and free ourselves at once.
Because of the title, I was not expecting such a bomb! To be compared to a bomb might be highly offending in regards of all the people who got actually bombed. I meant it as a light joke and high praise. It is easy to be offensive without even meaning to. Consciousness rising isn’t necessarily grand. It is paradoxical, like the hanged-man upside down that looks at his reflection in the puddle underneath him and realizes the truth.
In one of the comments, I saw “ i never underestimate the devil”. I agree , evil can be curbed but not eradicated. Anyhow, speaking of the devil, I am responding in particular to tedrichard comment: “uncompromising unsupportable pride… leaving its holders ultimately with nothing and no one”. “Human sentiments never change because the consequences are never humbly understood”. Yes! Indeed. What a great comment to that article. It brings it home. Regardless of the outcome, even regardless of the feasibility, each one of us can strive to radically “accept” (rather that really “understand”) the “consequences”, embracing our responsibility in creating our reality, forgiving, transcending the script, the narrative mostly unconscious which projects our unfolding reality. That “unsupportable pride” may be transcended with constant self-abnegation, persevering in being free of blame, not in denial of our responsibility, but in catching ourselves blaming and quitting that game, again and again. Jesus must have embraced and transcended the Devil until the end, his last breath anyway. That reminds me that the fact that on the cross, one usually dies of suffocation. In movies, there are more options, like in Pasolini’s short film about a poor Italian playing the role of Christ on the cross, who ends up dying for having stuffed his face with too much cheese during the break. Back to the article, I appreciate Mister P comment about the civil war scenario in which people realizes what the blame game is about, “focuses correctly upon the non virtuous parties”, and also understands the psychological play at the core of the vicious liberal capitalist system ( as Mandeville, nicknamed Man-Devil, exposed clearly in early 1700’s, allowing hypocrites like Adam smith and Weber to pave the way): reward the “honest” with ego flattery (air is free, so giving airs to pay those many to comply, content with pretend virtuous titles… cheap and it works).As far as the people who can’t repress their instincts and go for their desires against the Law, they cannot be fooled by being payed with flattery, so they have either to be used as paid factions to do the dirty work and eventually to be profitable as well in for-profit jails, which “virtuous” taxes pay for. Remains the dishonest who pretend to be honest, but don’t make a point to act honest. Those are the perverts that pull the strings, the leaders raking power. In short, in 3 words borrowed from western spaghetti movie: “the good, the bad and the ugly”.Thanks also Dr Seuss for “the sneetches”. We may learn our lesson after all…if only… as in “the Lorax”, we plant that one seed left, and follow up with care.
That seed might embody many virtues in the heart.
Much grieving in the process. Much crying indeed.
Just to repeat myself, I would like to wrap up my comments of comments with the 5 steps of the grieving process: denial, anger, bargain, depression and finally acceptance. Thank you everybody to reflect me who I am. Of course, it is pleasing when I hang around great people! The more difficult ones, the not-so-great, even the bad and ugly are all inviting me to love them, and so doing, love my Self.
Half a dozen years ago the answer was very obvious. This far down the Holiness Spiral road, the old map names the next stations clearly: Cromwell, Stalin, Pol Pot, Yellow Tiger. The travelogue suggests to stop the crazy train sooner rather than later, or even jump it if that’s impossible.
But now? It moves down another road: Cold Turkey, Brezhnev… The last one is a familiar place… but the direction is clearly not toward Gorbachev. So, who knows?
I think this is a well explained , succinct article on economics and geopolitics. Thank you.
Superb geopolitical analysis!
thank you for a brilliant, concise & easily accessible print out of what happened.
I’ll take a shot at the question. BTW excellent essay!
Assuming that as author says, the US and it’s cohort are going to surrender, the question he poses: ” Why is the West and the US in particular, so dead set on confronting Russia and China at every corner, short of direct military attack?” may be answered by recalling that a surrender without a defeat being seen to have taken place is politically untenable. There must be a deflection of blame. This in the view of powerful political figures. This to say that the institutional desire of the US, whatever the overt beliefs may be, is to be defeated so that it can surrender with a minimum of domestic reprisals against the figures doing the surrender. Lamp-post problem. We recall the problem of Imperial German defeat and the evolution of the stab in the back story.
This problem was in the defeat of the 3rd Reich, avoided by the agency of the Red Army and the allied bombing of German cities. If this thesis is valid, then the US will continue to provoke until it is defeated, presumably by Russia and China, or until collapse makes attempted provocations irrelevant.
Ordinary US persons do not yet understand that “their” State is no longer preeminent. Changing that to correct understanding while creating a deflection of blame for the condition onto an “enemy” takes time. We are in a period, thus, of hysteresis. Contra-wise, neither Russia nor China desires to be seen as an enemy (they’re not). The implication is that the US will collapse in civil war, and that is the preferred by China and Russia, outcome. Preferred to nuclear war, ahemmm. And that the ordinary people understand who’s actually responsible, and that blame for collapse and surrender be correctly focused upon the non-virtuous guilty parties. In the example the surrender accrues to, ultimately, lack of virtue amid intrinsic capitalistic contradictions.
“Why is the West and the US in particular, so dead set on confronting Russia and China at every corner,”
It is all a distraction from what is happening in the Southern District of New York Court. Maxwell is on trial. She knows an awful lot about many of the most powerful people in the USA – and elsewhere. Pedophilia and much else.
Don’t forget that Bill Clinton bombed Serbia to take attention away from his cock-sucking Israelite Monica. What is passes for Foreign Policy is nothing of the sort. Putin is happy to help protect these vermin.
@Alfred on 12 Dec who wrote
President Putin protecting these vermin?
Imnsho, President Putin is giving them the rope so that they can hang themselves.
My friend contrary to contemporary propaganda WW I and WW II were planned events. The so called Third Reich was created by American/British corporations. The objective is to create Empire American absorbing the residue of the British.
Having failed to conqueror Russia again, the vagabonds turn and destroy Germany suppressing its creativity colonizing it until today. The British most feared nation is productivity of Germany.
Lord Ismay od nation the focus of NATO is to keep the Russians out, American in and Germans DOWN’.
Another alternative for the US is the fragmentation of the Federation returning back to independent States as war is not an option against Hypersonic power of which the US have no answer.
“The so called Third Reich was created by American/British corporations. ”
There is no other conceivable explanation for Hitler insisting repeatedly to his generals that they must allow the British army to withdraw via Dunkirk. Something that the British to this day conceive of as a victory. LOL
THANK YOU for this essay! It is, to my mind, the clearest, most succinct overview of our current state-of-play in the world, with all its interconnected moving parts, that I have read. I, and others I speak with, have long had a vague sense that our response to the ‘pandemic’ is not really about a coronavirus but is part of a global financial reset, but we’ve had no way of connecting the dots that makes sense. You just drew the schematic for us. Bravo!
Very interesting article. Stimulating.
Though the proposition set is that military is too dangerous to actually use, when this article is really about the US dollar, gold hordes, and financializing ecosystems.
Let’s think about what is asserted here. S400s are the new nuclear weapons that change the unipolar to a balance, a new MAD. Not incorrect, but half right.
In reality, hypersonic missiles + S400 & S500 are the advantage that dictate submission to the Russian and Chinese should shooting begin. The only conflicts left are the proxy wars, of which not a one shows the West winning.
The remaining option of the West thus remains with the two dogmas of the Globalists–climate change (carbon) and democracy (their stooges and puppets winning rigged elections). These have powerful ideological swarms behind them, but the reality test for both options indicates Russia and China have insulation from both informational weapons (which is all they are).
The EAEU and BRI are well underway. The Great Reset has hit a Great Wall–the Double Helix.
The Euro flank represented by EU/NATO and the Pacific flank represented by AUKUS are constructs built on the sand of US naval power and the dollar. Neither can project geopolitical power any longer. Russian, Chinese and Iranian anti-ship missiles rule the seas. All the US military has left to project power that is usable (nukes are not such a tool) are Global UAVs with hellfire missiles. The vast submarine advantage the US has is significant, and when limited to conventional cruise missiles is appreciable, but not determinative. Missile defenses are determinative.
Financializing ecosystems will be an enormous boom for Russia. Already, the vast CO2-eating forests of Siberia and Far East offset all carbon Russia produces with a surplus.
Will the US finally abandon the dollar and move to a bucket of currencies (SDRs)? China wants that.
Will we see sovereign crypto currencies widely use very soon?
Or will we stage a gold-backed currency in China’s future and maybe Russia’s, too?
The US supposedly has the gold to match it, but does that gold exist?
The military calculus has been decided. Russia and China have the technology and the US doesn’t.
The financial calculus is in flux. This is the devil’s game board, and the devil wins just when you think the game is over.
I never underestimate the devil.
“Already, the vast CO2-eating forests of Siberia and Far East offset all carbon Russia produces with a surplus.”
This make me suspect that wildfires in Russia’s fsr east aren’t natural but man-made (eco terrorism).
USA is an Empire of Illusion. It puts great value on Illusion and is contemptuous of Evidential Reality. USA has mountains of pieces of Paper with promises of Gold.
NB: skill with material reality requires Integrity. Skill with Illusion requires Dishonesty.
Impressive analysis. Provides possible insight into much going on. Thanks.
“ Why is the West and the US in particular, so dead set on confronting Russia and China at every corner, short of direct military attack? “
Partly because they don’t perceive and cannot implement viable alternatives, and partly because they hold that other tactics including but not restricted to financial instruments will prove fit for purpose.
“Why Russia didn’t shoot anything down yet? “
The Russian Federation and its associates are aware of components of why the opponents are limited in tactics to confront them, and that Russia can use the opponents’ tactics to render them useful fools in furtherance of the purposes of Russia and its associates, and hence in present contexts the Russian Federation can be informed by Arachnology .
“If Russia shot down a NATO bomber or ship flying or sailing where it shouldn’t be (or even a US one), who would dare respond in kind? “
The Russian Federation and its associates are engaged in ongoing processes of transcending the coercive social relations self-misrepresented as “The United States of America” – which should not be conflated with a geopolitical construct with Canada to the North and Mexico to the South, nor should be restricted to an ideological notion of “AngloZionists”- not engaged in emulation of the coercive social relations self-misrepresented as “The United States of America”, excepting in regard to aspects of recently updated nuclear strategies in response to certain modes of attacks by opponents, whilst not “informing” strategic analyses by resort to hoped-to-be coercive illusions of some of the opponents such as “If Russia(The United States of America/NATO) shot down a NATO (Russian) bomber or ship flying or sailing where it shouldn’t be (or even a US one), who would dare respond in kind? “ are ultra vires.
In science the normal response to doubt is “test your hypothesis”, where, as as a function of facility, the normal response not always communicated to the “certainties” of “The United States of America” is “faites vos jeux” (place your bets).
As they say – money is the root of all evil, as is the lust for power and control. Combined, this voracious greed for both, plus USURY, it becomes truly evil.. as we are witnessing right now. The only hope for survival our human race has at present is for this particularly evil, parasitic CANCER to be cut out from our body and destroyed, once and for all.
It is actually a relatively small cancerous growth, but EXTREMELY malignant one – that Russia and China are dealing with. We are to assist them in every way we can. With God’s help.
Thank you Saker & Co for your valuable and timely contributions at this “Time of Troubles”!
Yes, and well said. I would remark> Cancers often are defeated by limiting their ability to “feed” off the host. By, it you will, starvation, and inducing pathogenic ketosis. Limiting the options of the cancer to all options except self-digestion.This, evidently, is, by major power of zone B, the preferred method for resolving the present dilemma. The alternative, which is possible, is to eradicate the cancer by chemical, kinetic, and radio-active agency. Of course this is a matter for the medical experts, ahemmm…and may create unwanted “side-effects”.
Not to indulge a prohibited topic…it might be that if suddenly there were a large die-off of the cancer, a ketosis, there might be a possibility that a few individual “cells” might hope to escape. If you get my way of speaking. Would those few cells plan and undertake a vast die off of their own cohort? Quiz Friday…
I think, alas, the once and for all is not achievable. Cancer happens. It’s an ongoing conflict.
“and may create unwanted “side-effects”.
Part of why a question from 1970 onwards was/is “How to drown a drowning man with the minimum of blowback ?”
“Cancers often are defeated by limiting their ability to “feed” off the host. “
The binary linear frame winning/losing inherent in notions of “defeated” inhibits perceptions which in turn limits strategic options and vectors of transcendence to test and activate/implement.
“Of course this is a matter for the medical experts, ahemmm “
Immersion within divisions of labour of present coercive social relations limits strategic options and vectors of transcendence of these coercive social relations.
As/was/is the case of the ongoing lateral process of the transcendence of “The Soviet Union” and of the coercive social relations self-misrepresented as “The United States of America” by the Russian Federataion and its associates, strategic options and vectors of transcendence are optimised through cooperation on the basis from each according to her/his abilities, to each according to her/his needs – the transcendence of cultures of “I” by the cultures of “we” (without holding these truths to be self-evident) – not “We are to assist them in every way we can. “ where the cognoscenti perform charitable tasks on behalf of others partly as a function of self-perceived “exceptionalism” including “orientalism”, which was part of the reasons why Mr. Gramsci’s notions of organic intellectuals proved not fit for context/purpose.
“I think, alas, the once and for all is not achievable.”
The conflation of “believe” with “think” is encouraged by the opponents in attempts/hopes to preclude their transcendence and should be avoided whilst being aware of the half-lives of ideological practices – an understandable lacunae in Mr. Kuhn’s veiws expressed in his 1971 publication The Structure of Scientific Revolutions.
Denial happens, it, also, is an ongoing conflict.
“Denial happens, it, also, is an ongoing conflict.”
As Mr. Suslov observed, it has been ongoing since at least 1922 mutating into various forms. although “denial” requires a notion of “truth”.
Hence Mr. Chomsky’s observation that “his” country doesn’t lie since telling lies requires a notion of “truth” which requires perception.
It is the love of money, not money itself, that is asserted to be the root of all evil. The Greeks and Christians were clear about this. Money is neutral.
As often happens here, unfortunately – managed to “show some knowledge but totally missed the point”.
Excelent article with not so misleading title.
UKUS economic supremacy is rooted in it’s long time supremacy in air and seas. Without military threat there wouldn’t be resources at zero cost for western industry nor “loans” returned 10-fold for banking system. No highly educated and dirt-cheap workforce from impoverished countries for high-tech and science.
Exporting multilayered air defence and anti-ship hypersonics to the unwilling allies will break all of that at the source. In the moment when enough former colonies cease to pay tribute to hegemon, hyperexpensive, overblown military will become huge liability.
Since military is not asset that can be simply fired and forget things will become messy in no time.
When enough vasals will flake?
My guess is that already happened. UKUS is living on credit they plan to repay with Siberian resources, when they grab it. Well, that sounds crazy, but look again creatures that represents western ruling class. Fits them perfectly.
So Russian missiles are deadly economic weapon, even when not flying.
The sensors in the Western MSM regarding Russia’s red lines, that means, reasonable requests, are unhinged.
No comment expressing even the slightest tentative to rationally explain the situation with the Minsk agreement, the two secessionist republics, NATO amassing troops close to Russia, Russia’s aspirations, etc., is permitted. My account was just deleted from the comment section of the National Post, a supposedly a conservative, right leaning, Canadian news outlet.
There are four layers to western hegemony : military, industry (which includes science and technology) , monetary and informational (as in propaganda, myth making and social engineering).
The first two layers have been shed. The industrial base has been sacrificed on the altar of monetization and off-shoring. The military has not adapted to new realities and was the first victim of a success obtained decades ago.
The third layer, represented by the dollar, sees its status updated with each passing day. Inflation numbers from the US, to give just a small piece of data, do not bode well.
Which leaves us the fourth layer, which is hell bent on shaping a new narrative of the apocalypse for which only western sages have a cure. It is this point we find ourselves at: the West trying desperately to market a myth to shape global consciousness.
What a wonderful piece of analysis you’ve provided here! You’re indeed moved forward by the passion to “decipher the world”, and the result is brilliant! It also proves that if the Muslim world would at last overcome the long trauma produced by the 1258 destruction of the Caliphate by Hülägü’s Mongol army ( the end of Ijtihàd!), by the murder of Ulugbek and of scientific thinking at the hands of stubborn clerics, by the colonizing of the Muslim world by the Ottoman imperialism, by the colonizing of the Muslim world by the European imperialism, and if that Muslim world would again unite in the building all over the Muslim world of new universities like Caliph Al Ma’mun’s “House of Learning”, the Zero Meridian would “come back from London to Baghdad” and the Muslim world would again take its rightful place in the building of a new world with China, Russia ant the other countries of the South willing to come out of poverty and submission. Take now the plunge to Ijtihàd without fear, you wonderful Muslims. No necessity of ISIS-like Jihadist and of fanatic mullahs for that! All one needs is intelligence. And intelligence is plentiful in the Islamic world. Just unite! Let’s use the coming years for a Muslim Renaissance!
The Ottomans ( Osmanli) did not colonize the muslim world. Let us not examine them through Russian lenses all the time. Give us a break.
The mullahs or Takfiris dont run the muslim world either. In fact it is liberals and the western inspired and placed families and military elite who have run the banking ponzy scheme for the west and run the muslim world with anniron fist since the downfall of the Osmanlis in 1909.
Any attempt at change is met with full economic sanctions and military might and onslaught from the west.
And dont even for one moment believe that China or Russia will be the saviors in any sense. Russia is run by a banking elite and oligarchs whose loyalties dont go beyond their own interests. China is run by a ruthless communist party that believes it had absolute authority over its citizens and even controls the number of times a woman may give birth to a child. No sir, these two nations with their systems wont be the refuge that mankind is looking for. Do not be deluded.
The refuge is yet to emerge although its birth is imminent. Watch out for the signs that will mark its emergence.
One massive counter-stroke that is often “forgotten” (kinder than saying overlooked) by analysts is the “securitising” of the Chinese holdings of US Securities and Treasury Bonds.
The US hold Saudi Arabia by the preverbials through the massive ($Trillion level) Saudi investments held inside US controlled institutions and US controlled foreign banks.
The Chinese got around this by using thier ownership of US assets including Treasury Bonds, as security for massive cash loans.
The cash is spent on massive quantities of resources and paying for massive projects such as BRI and even so called “Ghost Cities” (physical brought forward infrastructure project investment rather than cash in bank risk savings).
When the US tried to squeeze China in the proverbials, the US found that that the entire Western Financial system had exposure through the Banking and Treasury exchange markets (right term?, not sure, but principle is same).
Basically, if the US try to cut China out of the Western markets or renage on Chinese investments – they bring thier own instutions down.
The Art of War and a financial Chessboard Master class – brilliant. China now has the entire western financial system by the proverbials.
Some one said to a Banker (I paraphrase), “my $1000 debt is my problem, but my $1000000 debt is your problem”.
Evergrade is just part of this.
“The Art of War and a financial Chessboard Master class “
Although the opponents apparently don’t agree, Chess like Go is an illustration of game theory, where as The Art of War like any interactions are lateral processes where in Tsun Tsu and Mr. von Neumann have been transcended.
“Some one said to a Banker (I paraphrase), “my $1000 debt is my problem, but my $1000000 debt is your problem”.
“Evergrade is just part of this.”
It is no longer 1998 but a different moment in lateral processes, but as above the opponents apparently don’t agree.
Very good article! Clear picture on why we are where we are. Yes painful to see what’s going on in the west and us who are living in it.
“We, the Jewish people control America, and the Americans know it.” (Statement of Ariel Sharon, former prime minister of Israel, Oct. 3, 2001.)
If the US were to take a war nuclear, bearing in mind the above statement, which Putin would be well aware of, where would his first target country be?
Forget the nuclear option, and the conventional option, the west cannot wage war on either China or Russia.
The dollar cannot be propped up by force nor does the West have enough gold to transition onto a good standard. CBDCs have to have a reference point to work, otherwise the digital dollar ends up being as worthless as the paper one, though minus the cost of paper.
China will be the one to pull the chain on the giant toilet called inappropriately the Federal Reserve Bank. Xi is just choosing the time when he will wipe and flush.
@Keith: “If the US were to take a war nuclear, … which Putin would be well aware of, where would his first target country be? ”
Which is why Uncle $cam will not start a war that might go nuclear.
“Lay a finger on me and I’ll sue you for every penny you’ve got” — The Man from Uncle
And look at me wrong and i’ll punch your lights out….. thought the man with no money
“The dollar cannot be propped up by force nor does the West have enough gold to transition onto a good standard. CBDCs have to have a reference point to work, otherwise the digital dollar ends up being as worthless as the paper one, though minus the cost of paper.”
There are some back-up plans for quick gold grab: in Romania there is a region, located in Transylvania, very rich in gold and other rare minerals; for the moment, the current Romanian government put the extractions on hold, but most likely, if it wont comply, the country will be split akin to Yugoslavian model. Most likely there are similar regions in other parts of the world put on stand by.
The USA dominates payload to low earth orbit. No less than US 1600 US satellites in LEO . US dominates LEO where low latency is available for pulsed beam weapons. Now most US LEO satellites are Starlink but there are many that are not. Pulsed laser weapons in LEO can dominate the space below. Individually removing 1800 LEO satellites is not feasible without the use of 1800 conventional ABM. When the ability of LEO pulse weapons is considered, the US dominates what is below their LEO satellites. All the US military capabilities have not been fully disclosed. Doubtless, Russia and China have secret abilities of their own. US military capabilities at least in LEO are second to none.
To Steven Mark Hayden
The rotting, collapsing USA has absolutely nothing left that is “second to none”, but keep dreaming for a little bit longer. “Pulsed laser weapons” in earth orbit, first of all, are totally prohibited, (which of course would not stop rogue USA from stupid attempt to try), secondly, do you really think that Russia has not developed something quite sophisticated and effective to neutralize such threat? Don’t forget who was first in space and whose space station was in orbit first. Such advanced space development has never stopped in Russia, accelerating especially of lately. Whose rockets USA was using for the last few decades to launch anything into orbit? What have they got now – a fake “genius”, Elon Musk, with “his” rocket engine which is a total rip-off of the Russian one that they have been using. USA “space force” is like the rest of their military – suffers from self-delusions of being something “exceptional”, but totally corrupted from within (F-35 or Zumwalt, anyone?) and definitely second rate to the more advanced peers.
Read S.M.H. ^ comment. I reflexively and figuratively grabbed the popcorn.
I knew one or several commentators [better versed than myself] would be along to disavow him of his delusions.
What and why was Russia being chastised for causing dangerous space debris last month?
Yeah. They were shooting down a satellite.
To White Whale
That shootdown of the old decomissioned Russian satellite, which was overseen by Sergey Shoigu himself and who expressed satisfaction at the total precision with which it was carried out, must have caused quite a lot of butt-hurt in Pentagon. Not only the strike was precise, the low earth orbit was just a “walk in the park” for the missile, (specially developed Zircon), which apparently is capable to deal to anything FOUR times that altitude. Yep, one could almost feel the palpable pain in their wailing and gnashing of teeth! : )
Good point Katerina
I have had a gut feeling that this recent Russian action was much more significant than we were told. The Chinese also have the capacity to take out satellites- they did it 5 or so years ago.
>…”All the US military capabilities have not been fully disclosed. Doubtless, Russia and China have secret abilities of their own. US military capabilities at least in LEO are second to none.”<
I can´t claim the knowledge or expertise to judge who really has the strategic upper hand in the current struggle. The one thing I DO know for sure is that the moment one side becomes certain that they have achieved a first-strike knock-out capability, they WILL use it. In fact, they MUST use it, and quickly, lest it evaporate.
According to Andrei Martyanov, the A-235 Nudol can easily take out satellites which are positioned ~650km above ground and that’s the disclosed range of these missiles. Besides, nobody knows how many of them are in the hands of the Strategic Rocket Forces.
To simply put it, the US doesn’t dominate the low earth orbit at all. NYET!
Comrade Brother Mercouris seems to say that the dilemma is moving toward demands and ultimatum. Actually at the demand level… If y’all ever been to a gun fight… We’ll, lets hope it settles down. See>Russia Hints at Pending Ultimatum to West on NATO & Ukraine, West’s Resolve Crumbles or in the neighbourhood Removed. Please stop promoting other sites as per site rules. Make your own comments.
Do not underestimate US as long as there is enough East European cannon meat. Ukrainians, Poles, Croats, Romanians even younger Serbs would engage against Russia like rabid dogs.
Russian leadership was quite naive, hoping that somehow the colonial west would accept Russia as an equal partner. That is not going to happen.
The West respects only power and fear.
Now, enemies are too close to Mother Russia. It is to late.
“Russian leadership was quite naive, hoping that somehow the colonial west would accept Russia as an equal partner.”
Calling someone “partner” and having trust in him is not the same thing. It can be good manners. It can be utter sarcasm.
Who told you that Russian leadership HOPE that anything good will come from the West? After millenia of only $#!¥storms coming from the there? No one is that stupid.
Except, maybe, hopelesly naive folk who believes in Western oversimplyfied narative.
“ It can be utter sarcasm. “
It was used ambigously by design to facilitate simultaneous “interpretations” through simultaneous translations facilitating conflations in description of complicities by design not necessarily with “agreement”.
Vi Absolutno ne razumete jednu bazičnu stvar : Rusija može da uništi ceo svet. Zaključak…. Nikad nije kasno… Makar oni stigli do Moskve. Nikad ne zaboravite to!!!!
You absolutely do not understand one basic thing: Russia can destroy the whole world. Conclusion…. It’s never too late… At least they got to Moscow. Never forget that !!!!
“Romanians even younger Serbs would engage against Russia like rabid dogs.”
If only they had competent militaries. Even if they had, they’d be annihilated within minutes.
As far for Romanians, the vast majority of them have no stomach for a Stalingrad-type 2.0 event.
”… even younger Serbs would engage against Russia like rabid dogs” – 1. Serbia is not a member of NATO; 2. Serbia is the only European country that has not imposed the current sanctions on Russia; 3. Serbia and Greece were the only European countries that did not join German attack on Russia in WW2; 4. Serbs have never in their history fought against Russia; 5. A few months ago a large sum of money by USA/UK was allocated for propaganda in Serbia. Did you get any, or you work for free?
“Did you get any, or you work for free?”
Naaah… Stockholm syndrome strikes again.
Tarik, I have been intrigued about the the third tier of Trumps trade war with China.
I’m wondering if you can offer some insight…
A lot of newsprint was expended on increasing China’s purchases of pigs and soy beans, but the third tier (which barely got any oxygen, but which interested me the most) was the demand to allow access to the domestic Chinese FIRE (finance, insurance, real estate) market by Goldman Sux, JPM, KPMG and the rest….
Do you have any info on this… I did see a brief sentence once on ZH(😏) that Goldman were now “offering services” within China, but no details about exactly that meant.
In my [admittedly simplistic] view, opening the door to the Vampire Squid of financial underworld would be an idiotic move by China, and thus, far they’d seemed smarter than that.
Reading the tea leaves…. As the propaganda and military pressure against China has not abated, I deduced that was a sign China had not surrendered her markets sufficiently to satisfy the Vampires.
Can you comment?
This article connects all the dots beautifully. Thank you.
Russia doesn’t need to do anything yet. It only needs to ‘shoot stuff down’ when it matters and that is war. They can roll up OTAN in a fortnight and end US hegomony. Ukraine? a weeks stand off weaponry work. The West are an embarassing mess held aloft by a compliant press and an ignorant (beyond belief) public. Trust Putin, trust Lavrov and trust Shoigu.
Thank you Tarik for an enjoyable, relatable and informed article.
Your field is at heart of current world war, everything else is a pawn.
You nailed the bitter conundrum of those who played in a rigged game for too long. To answer your question, they are dead set on confrontation because China and Russia are existential threats to the usurious fiat dollar system, the unearned golden goose of the West..
They’re checkmated economically by productive and disciplined China and militarily by implacable Russia, and to their horror, both are coordinating against them..
Covid was found in European sewers and treatment plants months before China (i.e. March 2019 in Spain, etc) and likely caused the “vaping” epidemic in the USA of summer 2019. The Wuhan Military World Games of October 2019 likely seeded China, eerily rhyming with the 1918 Fort Riley, Kansas troop movements leading to the “Spanish Flu.”
Just prior to the VIP Repo meltdown was the August 2019 Wyoming US conference of Banksters where the decision was made to pull the current dollar system and initiate the Going Direct Reset, a la Building 7, given the reasons you eloquently listed. The pandemic was partly cover for collapsing the older order, as well as an elaborate ritual for instructing in the submissive behavior and mindset for a totalitarian New Age.
The covid which hit China (and Iran and northern Italy) may not have been an insipid flu-like illness. They remain wrapped in mystery and may have been hit hard, requiring the draconian responses seen.. Researchers and investigators continue to argue how many were really affected; perhaps those regions were seeded with such biological warfare agents (BW) in contrast to other world regions. Certainly the precautionary measures by China were prudent given, as you noted, the 20 year history of near continuous BW attacks. Even during covid era China experienced at least another 3 bird/pig flus, which devastated their food supply. Nevertheless, like you I consider that China may have taken advantage of the evil hand they were dealt by helping US / intransigent West collapse further by their zero-tolerance covid policy, which impacted the supply chain.. From the Chinese end, the combination of disrupted just-in-time inventories and no longer accepted USD has been catastrophic. At the US end, transportation and ports logistics shenanigans has been the coup de grace. Weimar/Zimbabwean hyperinflation is now possible.
The story of the US and West’s gold horde is very interesting one.. Fort Knox was supposedly last audited in 1953. Has most been redeemed for USD per Bretton Woods agreements before Nixon ended the USD-gold convertibility in 1971? Or sent to Israel in anticipation of Western collapse and a rebuilding there? If the gold closet is truly as empty as it appears, it may inform even greater Western desperation, consistent with recent rumours of certain US cities or parts thereof sold to Asians, as payment by the bankrupt!
Re: “There are two ways only to have any currency accepted. Either it is backed by the most powerful military, or alternatively it is referenced to gold.” Could a third way be via powerful mind-control technologies augmented by blanket propaganda in a hermetically-sealed zone of control? That appears to be the current project in Zone A..
Lastly, your point “In fact the world can now perfectly do without the West all together” raised a memory of Mr. Putin’s that “as a citizen of Russia and the head of the Russian state I must ask myself: Why would we want a world without Russia?” As this sinks in, their vanities and supremacist mindset clearly will find it intolerable, nevermind a future of semi-bondage to Asians. We should perhaps expect neither the surrender hoped for by Russia-China or a redivision of the world, but a despairing West lashing out in a suicidal Hail Mary gambit, to regain lost glories or at least to again delay Shylock for a while. In the corporatist-Fascist worldview of the Western elites, the horizon is merely the next quarter.
In communication the conflation of interpretation with translation is popular.
In “language studies” primacy is often given to language/register instead of culture, including connotations/contexts.
All of the above limit communication/understanding.
“….a memory of Mr. Putin’s that “as a citizen of Russia and the head of the Russian state I must ask myself: Why would we want a world without Russia?” “
Well remembered – that was/is a very important statement.
The context/connotations as a function of culture were very important but likely opaque for those immersed in conflations of interpretation with translation.
Mr. Putin was introducing the updated nuclear policies of the Russian Federation including but not restricted to the enhancement of Mutually Assured Destruction in conjunction with other responses to threats, including but not limited to “soft power” from the 1970’s onwards.
These were not held to be self-evident to we the people – in the period from February until June 2014 in relation to Ukraine, through this portal many believed that Russia should engage militarily in Ukraine otherwise “The United States of America” would think them weak, and that Russia should create public relations facilities by emulating their opponents who were held to be “hegemons” in such matters.
I have just noticed this article written by F. William Engdahl titled, “Colossal Financial Pyramid: Black Rock and The WEF “Great Reset”. Was it Black Rock you were alluding in your article to in relations to their ‘Great Reset’.
Article so needed and so good, just could not refrain to add one more thankx. Sequencing of events (geostrategy, political but also economic or sociologic) is very helpful. We may check, but we have to bookmark absolutely.
From the author’s comments the US plight fault lies with Clinton and W Bush who were both corrupt and largely incompetent and more interested in pursuing domestic and oil policies respectively. Then Obama grandstanding doing a mix of both.
The whole Middle East focus from 2000-2020 has been about sureing up the US$ via control of oil. Even though their attacks on Iran have failed. But oil isnt the supreme commodity now. Others have taken a large chunk of the monetary $ flows – gold, iron ore, coal, food commodities etc…. with their prices rising due to Asia demand. And services payments too – even tourism.
This idea there should be one dominant currency is dangerous anyway giving too much influence to one entity where evil people can misuse it as seen in recent times. All the nuke Russia talk would appear to be coming from puppets of those like Soros and Davos who want to control everything around the globe but realize the game is up or close to it, with both Russia and now China doing with what they want, not what they are told.
The mass spending in US by the insane Biden Admin and corrupt Democrat & RINO Reps and Senators would appear to about destroying the US$ and Chinese/foreign holdings of it by devaluing it by mass printing of it. And on its demise also implement an new monetary system again which the same corrupt elites control, but it would appear Russia and China and others don’t want to be part of it.
Hence the war talk.
There may be a case of a world currency as a means of store of value & exchange but it should only exist as an extra unit on top of each country having their own currency for their own domestic control.
The defacto world currency up to 100 years ago was the British pound and then the US dollar but perhaps with world economic changes now, that one currency perhaps should not be from a particular country or region (like the Euro) but something else everyone has agreed on which is based on something tangible and cannot be controlled and manipulated by elites in any country or region for their own ends.
Everything since about 1979 when the Shah exited Iran and more so since 1990 has been a money war going on. Because of bad management by the US of its trade and money flows which is a direct result of allowing EU & UK interests control its monetary position since 1913.
Additional to my other comment is the fact Russia realized it shouldnt pander to the EU elites controlling it via monetary means. The Czars resisted it for centuries and the last one was removed in 1917. Lenin I don’t think didnt realized he was being used for that purpose, but Stalin did. As does Putin and his team.
If there had been strong leadership in US instead of an ill academic called Woodrow Wilson allowed to be elected in 1912 the current situation wouldnt exist. Then there was was another colluder in their crimes called F D Roosevelt.
Thank you for this article Saker, it was a very good read.
Shooting down aircraft depends on what you shoot down.
Iran downed a UAV, $48 million dollar platform. The US did nothing in response. There was no loss of life.
So, should Russia down a UAV? Plenty of them fly right to the borders, some drift over, as if tempting Russia to turn on those missile defense electronics.
These recon flights aren’t muscle flexing. They are reciprocated by Russian recon flights. We don’t hear much from the Americans about recon. We hear when Russian bombers fly near US turf. Those are muscle-flexing flights. The US does some of those also.
The reality is most of the flights are not dangerous to starting a war. If a war were to begin, the manned planes would stand far off, hundreds of kilometers away and launch cruise missiles. Bombers and fighter planes are platforms for missiles. And whoever starts a war will want to launch thousands of missiles not 90 or 100. There will be swarms of drones trying to get closer with their missiles, while the manned planes will be far off launching theirs, and subs and ships launching theirs.
The signs from the Russian side to the Americans has been very clear. The Russian electronic weapons have cut off the American ships’ and planes’ communications and navigation equipment, leaving them lost in space and alone, separated from their base and command and control. It’s better than downing them or sinking them. No loss of life, no permanent loss of plane or ship. Just a message of dominance that signals how swiftly they will be eliminated if shooting starts.
But the need to talk about shooting and sanctioning never seems to end.
And some of these congress critters need to have their heads examined, but the doctor is also absent and abject in this regard.
That one way street needs to end with a jailhouse.
There is no military solution to the financial problem of usury!
It is time for Tariq to create an article upon the Islamic solution to the financial problem of ‘money, bearing interest’!
Our banks have been given the God-like power to create bank capital, from nothing, using the bank’s license to create bank credit. The banks, operating as pawnbrokers, use this power by valuing their customers’ collateral, and then conjuring the loan funds into existence. ‘Customer collateral, creates bank capital’!
In asset banking, the banks operate as a profit-free financial service to the nation.The loan funds are created as interest-free customer assets, and our nation’s monetary supply arises as an asset lake, our nation’s greatest treasure.
In debt banking, the private banks create the loan funds as interest-bearing debts, owned by the banks, and our nation’s monetary supply arises as a dark well of debt, our nation’s greatest poison!
We need to be taught that banking, during loan creation, is just pawnbroking, on steroids!
Islam also still seems to be hypnotised by the power of money creation, and the Islamic financial classes, still cannot surrender their opportunity to seize the nation’s monetary supply, as debts, bearing compound interest? Or is this my misunderstanding? And where are those who promote asset banking?
From Vladimir Putin on Heroes of the Fatherland Day:
Dear citizens of Russia! Dear friends!
Congratulations on the Day of Heroes of the Fatherland.
This holiday is inseparable to the history of the country. He marks the achievements of both our ancestors and our peers – all of them who, by their deeds, deeds, with their lives, showed an example of genuine service to the Motherland.
The heroism of these truly great citizens of the Fatherland, their valor and courage reflects the will and character of our people. This character in all times and eras has helped and helps to stand through the most difficult challenges, to strengthen the independence of our state, with honor to stand against anyone who tried to invade our land.
However cruel, merciless the threat may be, defenders of the Fatherland, soldiers, officers have always shown exceptional courage. This was the same in the battles of 1812 and on the fronts of the First World War. During the years of the Great Patriotic War, an insurmountable obstacle for the enemy became mass, in fact, universal heroism. It was he who broke, crushed the plans of the invaders, the illusion that our country can be conquered.
The Soviet people demonstrated unprecedented courage and unity, the power of spirit. We bow before those who 80 years ago, in December 1941, stopped and broke the enemy at the walls of Moscow. We bow before all those who brought the Great Victory closer, without sparing themselves, defended our Fatherland with their lives. Each one of them is a hero.
And, of course, today we express our appreciation to our peers, all who have been awarded high state awards for their outstanding actions – the titles of Heroes of the Russian Federation, the Soviet Union, the Order of Glory and St. George.
We are proud of those who have multiplied and multiplied power, the power of the country with its mobilization, selflessly, regardless of the risk, saves others. Special words – to medical workers, representatives of many other professions, to everyone who now, nowadays, continue the great traditions of bravery, loyalty, and selflessness with dignity.
It is very important that such succession is seen by young people, understand that for them love for the Fatherland, for their motherland, for their people becomes a reliable and strong foundation in life.
In Russia, people of different nationalities and religions, views and beliefs live, but respect for the Heroes of the Fatherland, for their feat unites all of us, gives strength, energy, desire to go forward, strengthens our unity. Convinced, it will be like that all the time.
Happy holiday to you! Happy Fatherland Heroes Day!
Let us remember that out of almost 27 million Soviet citizens that died in the Great Patriotic War almost 14 million of them were from Russia.And almost 7 million were from Ukraine,and over 2 million were from Belarus.
“And almost 7 million were from Ukraine”. Were all of those seven million against the Nazis?
Like in almost every country in German occupied Europe (and even some that weren’t occupied), there was always some members of the populace that supported the Nazis. The only country that did not associate with the Nazis was Poland.
Not true: https://en.wikipedia.org/wiki/German%E2%80%93Polish_declaration_of_non-aggression
The Poles were the FIRST to seek and alliance with Hiter
Andrei, that was not an alliance but a non-aggression pact. The Soviets also signed a non-aggression pact with Hitler, the infamous Molotov-Ribbentrop Pact…and then the Soviets took advantage of Hitler’s invasion of Poland to secure some Polish territory for themselves, as per the secret protocol in the pact which came to light at the end of the war.
In any case, I stand by my point that unlike other European countries, there were no organized Polish Nazi groups during the war.
I think the Ukrainian fascists are included here. This only lists the number of dead.I’ve heard before, though I can’t verify it, that the Germans recruited around 200 thousand Ukrainians in all.
“Russian historian Grigoriy Krivosheyev puts the losses of the “Vlasovites, Balts and Muslims etc.” in German service at 215,000.”
ok, so my point is that I’m never comfortable when the total Soviet war dead is tallied under the descriptor “Great Patriotic War”, as you do. The Russians are entitled to call it such. Their losses were staggering. But they are referring to an existential defense of their homeland. Not all of the Soviet “victims” were engaged in that defense. Some/many(?) were on the side of the Nazis, especially in places like Ukraine. And many/most(?) of those were victimisers prior to becoming “victims”. So if you want to tally the Soviet dead under the descriptor “World War II”, fine, no argument there. But I defer to the Russians on the appropriate deployment of the term “Great Patriotic War”.
North stream II is effectively stopped. Russia does not have to hope any more. The collective west does not need Russia. This exclusion is a causes big pain for liberal Russian elite and the young, westernized generation. They don’t understand yet what is happening.
Thank you from the bottom of my heart for all the kind comments, the feedbacks, points raised, and the generally super positive reception of my musings.
I’d also like to apologize for not answering in kind, but this public exposure is totally new to me and I feel totally overwhelmed at this moment. I’ll need some time to get rid of the dopamine in my system and hopefully ground myself.
Until then, again a big thank you to all.
Thanks also from me Tarik. This is an excellent analysis – and quite fresh. I did not comment because the only way to do so would have been a detailed set of extra questions – because the article was so enlightening.
Maybe the only way to reduce corruption in host countries is to stop dollar trading. I mean who wants to work hard just so some guy w/a printing press can purchase your products for basically nothing.
Why host a military is so many said countries? To “verify” that the country is still circulating dollars and yes, the verbal controls that go w/them.
I say war is now inevitable in the Russian speaking parts of the Ukraine, Putin wants the corruption gone, the west wants the strength of dollar trade, but doesn’t have the muscle, or morals, to back it up.
Is the author Mr. Tarek El Diwany?
I don’t know if you know but Serbs are not part of Nato. Serbs are fighting for Russia in the Donbas.
Spouting nonsense. Perhaps the mods can attend.
Relax. Go have a cup of tea. Everyone can see it’s nonsense.
Not if we want to either regain or hold up our status of having the absolute best commenting for sites of our size and type on the internet :-) Tea Later for sure!
I was so impressed by the quality of the commenting on this writing. It really made my heart glad. Also for a first-time writer for the Saker Blog, it is wonderfully encouraging.
Well done! everyone!
I attended myself :-)
He is banned.
This writeup by Tarik is one of the better and remarkable explanations, providing crystal clear views, about the barely visible economic wars being played out in our midst. I wish to comment about these parts in inverted commas.
QUOTE…a “Wazari”, March 2018 was the “Ipon Seonage”, or UNQUOTE
A second Waza-ari and Ippon Seonage was I believe, delivered by China two months ago. The Waza-ari was the destruction of the bow section (front) of the American SSN Connecticut submarine, and the Ipon Seonage was the overflying of hypersonic missiles over the accumulated Western navies assembled in the ocean, east of Taiwan. A shock and warning delivered by China.
QUOTE“……..Preserving regional dominion for a little while longer however seems still possible, at least in the minds of the western elites. However such a region must be isolated from areas that do not submit to the dollar “order”….UNQUOTE
To preserve regional dominion over Australia, the west cut into the submarine pact Australia had with France. Instead US nuclear subs will be provided. The US submarines will take a very long time to be produced, but the moneys flowing into the US economy from Australia will be immediate and consistant. So also is the premature ditching of the fleet of Australia’s functioning MRH-90 helicopters from the Eurocopter company, to purchase 47 new US Blackhawk Helicopters.
These are fundamentally monetary injections deals to keep the hegemon alive. But for how long? These deals isolate Australia, and could prevent Australian elites wanting to arrive at a decision to join the Asian economy. Symbolically this the West “Circling the Wagons”.
May Tarik continue to decipher the world of men for us.
In fact, Putin is destroying the movements with lies, and he is using the concessions of lying leaders to build his own, which he immediately throws at the liars and deals a devastating blow from which they cannot recover. The stronger the enemy attacks, the stronger Putin becomes. America has lost the ability to address major domestic and foreign issues, and finds itself in a supremely destructive problem. China is extremely stable and secure, and so is Russia, which is much more militarily superior.
Back in my Cold-War-I days, anti-air missile systems, both airborne and ground mounted, used easily recognized fire-control radars to lock onto potential targets, part of medium-range sweep radars, as I recall. (Not my specialty.) Locking on fire-control radar signaled a readiness for action, essentially locked and loaded, and was only done in emergency situations. It strikes me that one deterrent to simulated bomb runs might be a Russian declaration that:
1. Beginning in a few days (3, 5, 7 at most) Russian anti-aircraft missile systems, airborne or ground, would lock onto potentially-hostile aircraft when they came within interception range.
2. Potentially hostile aircraft would include B52’s, B1’s, B2’s, plus nuclear-capable fighter bombers from any country.
3. Anti-air missiles would be launched at potentially hostile aircraft both when
(a) they entered Russian airspace, or
(b) when they entered the range of any missiles or glide bombs that they could carry.
This should have a deterrent effect against simulated attacks, perhaps after a potentially hostile aircraft or two were. shot down.
Absolutly mind blowing piece! Thank you dear friend! I am very glad the Saker introduced you to us!
A) There is an impression that the economic view is strongly influenced by neoclassical theory. This is a fundamental problem, since its validity is extremely doubtful, although it is of course taught from Harvard to Berlin. Equally (or therefore) problematic is the unclear separation between micro- and macroeconomics.
B) Gold-based economics? Really? Like 200 years ago, pre-technologically, at the Emperor’s court with horse-drawn carriages? Why not tantalum?
C) Russia does not shoot down NATO planes for other reasons. 1. escalation brings uncertainties and dangers. 2. provocations want to provoke psychologically and are otherwise no real danger. So the best response is on psychological level. Stay calm.
This article is so good it deserves a long commentary, if only so i can get it properly into my head.
“When Kissinger invited China into the western world economy, it was understood that it would eternally accumulate dollar trade surpluses, and over time, become another EU or Japan. In the case of the EU, the US had NATO, and for Japan they had their military bases to make sure these two would dutifully stockpile every dollar that comes their way. But nothing of the sort existed for China. To make a story short; in the early nineties they took over the largest stash of natural resources that is Russia. With that in hand they thought they now held China on a tight leash.”
How clear, concise and compelling
“Late nineties the Asian economic crisis hit; Beijing was livid.”
So was this perhaps the trigger for the shift in China? It makes sense in terms of China. If my memory serves me right, it was about 2008/9, that the US started to worry about China- I recall some sort of a white paper and US panic about the number of Chinese submarines. I recall it because it was the first time I had been aware of the issue and there was a white paper of a kind written here in Australia. So I guess that if it takes 5-8 years planning, that Asian economic crisis may have been the trigger for the Chinese growth in power projection.
“2000 Putin takes over Russia’s natural resources, unleashing China. The later enters a global buying spree of natural resources through its huge accumulated dollar reserves. Commodities’ prices shoot up, interest rates follow suit and triggers the subprime implosion and all its aftermath.”
This is a fascinating new perspective. Please tell us more. I was not aware of the importance of China or Russia in the Subprime crisis.
“Such monetary arrangement (no matter the exact actual architecture) would in short order annihilate any form of western prevalence and privilege on the global scene. In itself it would just be an ego bruise, but when added to the staggering debt levels, it translates to guaranteed decades of servitude. That my friends is the crux of the matter, the unfathomable horror the west is facing. ”
Surely there will be some economic action that the US will take. I have always thought that the USA may wish to provoke China to do something such that they can renege on their debts ie not pay China back for the money loaned. Has China developed any strategy to address this risk.
“It is those specific advantages that allowed them the privilege to make fools of themselves. Without them, neither Napoleon nor Hitler would have ever thought of heading East. And I might add, nor would have the US embarked on the last 50 years of hegemonic delusions. Today the latter has lost both trump cards, and with them, one might presume, the luxury to fantasize a swift military solution.”
True enough but I worry firstly that not enough senior members of the US elite actually accept this reality and/or that there are some who see this coming but still think that the US has the edge, provided they act immediately.
“Well hold on tight: the West pushes for terms of a new partitioning of the world, while Russia and China expect its terms of surrender.””
Wow!!! Brave statement.
“Sure, until say around 2018, all these pressure points were meant to force China and Russia reconsider the dollar’s role in the BRI and related projects. But then in March of that faithful year (if I remember well) Putin casually announced a panoply of hyper-sonic toys. If the subprime event was a “Wazari”, March 2018 was the “Ipon Seonage”, or basically a “checkmate”.
I think I agree with another commenter that the recent take out of the satellite by Russia ans possibly the Connecticut accident “may also be a big wake up call.
“Consequently local currencies reserves are displacing US$, which are increasingly being spent on the acquisition of raw materials on the international market for infrastructure projects. If it sounds like “déjà vu” it’s because it is. The resulting inflationary pressure on the commodities’ market would again spill over to the interest rate market, triggering the September 2919 REPO event. Because of its brevity, I suppose, few realize how defining that moment was to what came next.””
I would love some references for this. It is fascinating
“First the Fed met the burst from 0% to 10% on the overnight REPO rate with a 700+ billion US$ barrage within a matter of days to literally drown those darn, messy, uncooperative interest rates. Ever since that market requires a monthly 120 billion allowance just so banks may trust each other and perpetuate the myth of solvency. As the global economy stopped accumulating, or even off-loaded dollar reserves, the greenback’s velocity increased and soon will feel like hot potatoes. A rarely mentioned consequence of this phenomenon (at least I never came across it anywhere), is the severe restriction it imposes on newly printed dollar deployment outside US financial markets, lest it turns the already established price inflation into hyperinflation. Thus it renders the dollar useless as a tool for influencing foreign actors. Those loose dollars must be neutralized. “”
Fascinating – please give some references if easy
“”A few months later COVID strikes in China. Was it just one more sorry attempt to oblige China to reverse its “dollar policy” or whatever favorite narrative one may subscribe, isn’t as relevant as Beijing’s response was remarkable. There were several instances in the last 20 years when China had to suffer some suspicious biological outbreaks, yet none of the measures taken ever even registered in import/export figures, GDP, or in any other major economic indicator. Now suddenly under the pretext of one insipid flu-like germ, precisely when the West is shown at its most fragile financially, they decide to entirely shut down one major world industrial production hub. Again, regardless of one’s view on that epidemic, there’s not a point in the entire space/time continuum where Xi and his team didn’t foresee the consequences of such measures, both on their economy and those of the West respectively.””
I think you hit the nail on the head here. Whatever was the actual cause of the COVID pandemic, China treated it as if it was a biological weapons attack. Once convinced they had an issue they reacted with amazing speed and efficiency. it has not significantly hurt their economy.
“The West was totally taken off-guard; no point in calling China, the damage was already done, trillions would be needed to absorb the shock, and thus they took the path of least resistance. They doubled down on the COVID song, proactively shut down their economies to force unanimous political support for direct monetary support of the economy and markets. That the pandemic narrative also served as convenient cover for population movement control, was an extra bonus in an environment ripe for social unrest.””
I think this is a bit of a stretch. I think the west was totally blase about COVID, but it turned around and bit them on the backside. Thing is that in many western lapdog nations government stimulus of the economy has pretty much stopped and they are all about living (or dying) with COVID. The question I ask is why was the west so unprepared. Did they somehow assume that the virus would be much, much more severe in a densely populated country like China and totally underestimated the Chinese capacity to respond?
Why is repatriating jobs from China systemically incompatible with dollar hegemony?
“Why is repatriating jobs from China systemically incompatible with dollar hegemony?”
For the same reason (one of many reasons) the US off shored manufacturing & associated jobs to China in the first place, beginning in the 1970s & accelerating in the 1980s & 90s. Wall St demanded that it no longer provide credit for industry, providing it with greater control over monetary policy. It is a long story, Anglo finance has historically been very hostile to manufacturing & the banks do not like crediting it, you will note that in the financial press one of the reasons they make for preventing wage increases is the effects on inflation.
This is an extraordinary piece that comes from a different perspective than the bulk of articles on this subject. Thus, it puts things in an entirely new view than the normal ‘great reset’ explanation. Kudos to Tarik. Please publish more of your work!
Crucially the author addresses the underlying economic logic of the current geopolitical crisis focusing on that apotheosis of instrumentalised greed the global system of Rentier or Financialised Capitalism. Importantly his analysis highlights the deep inbred irrationality of this exploitive system and its dangerous and destructive convulsions when limitless expansion is contained and hegemony frustrated. Predictably the Masters of the Universe in their fetid parlours and casinos in Wall St and the City of London recoil from this portrait of their nemesis and solicit their kinetic counterparts in Washington and London to respond with aggressive and provocative actions that invite the destruction of all they cannot have or control.
I am surprised that this article no where mentions Michael Hudson and his seminal book exposing the inner workings of American Dollar Imperialism, which is fundamental to understanding both how the world financial system *really* operates and how the American Empire is able to extract imperial tribute from the world through this system.
American Dollar Imperialism is the quintessential Gorilla in the Living Room that many people (including mouthpieces of both the mainstream and so-called alternative media) simply refuse to admit.
Instead, weasel word euphemisms like the “US Dollar reserve currency” or “Nixon taking the US off the gold standard” are peddled to obfuscate and downplay the significance and predatory nature of American Dollar Imperialism.
Incidentally, an updated version of Hudson’s book, _Super Imperialism: The Economic Strategy of American Empire_, has recently been released.
As the former US nuclear war planner Herman Kahn put it when Hudson’s book was first published decades ago, the “United States has run rings around Britain and every other empire-building nation in history. We’ve pulled off the greatest rip-off ever achieved.”
Super Imperialism: The Economic Strategy of American Empire is now available.
Excellent article Thank you !
Thank you Tarik, profoundly grateful for your enlightening essay. You’re doing more than “saving your soul”.
And heartfelt thanks to the Saker for hosting this platform of information, discussion and learning. It’s become increasingly essential to me in recent times, as our media in Canada have become suffocatingly insular (re @ Bolgaris).
“At the minimum it shows they’re preparing for a post dollar economy….There are two ways only to have any currency accepted. Either it is backed by the most powerful military, or alternatively it is referenced to gold.”
To nullify US/Western sanctions and help free up world trade, Russia and China ought to quit the IMF and back their currencies with gold. Gold has been internationally acceptable for centuries. Russia & China could make their currencies internationally acceptable by issuing bills/coins that are printed/engraved in English on one side and, respectively, Russian or Chinese on the other side. English is the common language of international trade and there is little sense in trying to change that. Other countries, tired of being under the thumb of the US, could follow and do the same.
Moreover, they ought to give this new international currency a name which suggests the amount of gold the bills/coins are worth, e.g., ‘Augram’ (gram of gold). This name/value would be put on the English side of the currency with the equivalent amount of Rubles/Yuan in Russian/Chinese, on the other side. This would help make it a universally accepted currency.
Just imagine – a new international currency printed in English on one side and the issuing country’s language on the reverse side. Maybe doing this would start a stampede out of the dollar. As long a the dollar remains the world’s primary reserve currency, the US will rule.
China was buying gold for a while. For example: https://www.theglobeandmail.com/report-on-business/international-business/china-leads-the-goldbugs/article620710/
This appears to accelerate after Taiwan. That is, after their moves were answered only by yapping lapdogs and no snarling rottweilers, they quite reasonably expected the death of Petrodollar will follow soon.
Nice writing, great angles, thank you