Underemployment Crisis

This explains clearly why so many people are underemployed, in jobs that do not make use of their many skills. Desperation. From Dark-bid.com, Daniel Drew,  1/27/2015 The latest corporate scam is to blame workers for the high unemployment rate. They say there is a skills gap. Even President Obama is in on the joke. In his most recent State of the Union address, Obama called for … [Read more...]

Dollar Accelerates…Stuff Hitting The Fan

The dollar is accelerating in strength rapidly. Why? Several financial events rapidly come to mind. The falling oil price, the collapsing Ruble, and of course the most recent, the Swiss franc becoming de-pegged from the Euro. From zero hedge and Phoenix Dapital Research on January 26, 2015 "The world carry trade for US Dollars is over $9 trillion. "In today’s world of monetary … [Read more...]

Gold and Swiss National Bank De-Peg

The Swiss franc was unilaterally de-pegged from the euro last week causing major market upheaval and financial stress to multiple firms. From Sproutmoney, 22 January, 2015: "The historically ‘neutral’ Switzerland, a safe haven for large capital, is now a victim of the worldwide currency war. While almost every central bank across the globe is trying to devalue its currency, the … [Read more...]

US Dollar – Best Currency of 2014

Peter's Commentary: The US Dollar performs as the world's best currency during 2014. Not what I expected to happen at the beginning of 2014. From Bloomberg, Andrea Wong, December 27, 2014 Dollar stages historic 2014 rally as all top peers become losers. In contrast, the Fed ended its bond-buying under the quantitative-easing strategy in October and Chair Janet Yellen indicated after a … [Read more...]

Spare US Dollars

Peter's Commentary China has accumulated a large amount of US Dollars, almost $4 trillion. This article provides a "heads-up" about what China is doing to try to diminish its pile of dollars. From Goldseek.com, Alasdair Macleod, December 12, 2014 Last week I wrote that contrary to the prevailing mood US dollar strength could reverse at any time. This week I look at another aspect of … [Read more...]

Russian Banks Test New Payment System

Peter's Commentary Russia is testing a new payment system that will replace the International Swift system currently used for all international monetary transfers. This new system will stop Russia's reliance on a western system and having sanctions imposed. From RT.com, December 8, 2014: Russia’s Rossiya and SMP banks, which fell under Western sanctions, are among the eight lenders … [Read more...]

Bitcoin Is the Future?

Peter's Commentary John Mauldin has just published one of his letters for "Thoughts From The Frontine".  I advise everyone to read this article in full. I have included a couple of excerpts below: From: Thoughts From The Frontline, John Mauldin and Worth Wray, 12/2/2014 The Five Phases of Adoption In an effort to understand how Bitcoin could continue to mature, I sat down with Barry … [Read more...]

Russian Oil Sold To China Using Renminbi

Peter's Commentary There is a pronounced trend by Russia to receive payments in alternative currencies rather than the US Dollar. Direct transactions using Russian and Chinese currencies rose from $307 million in September, to  $5.2 billion in October. That's a large and fast increase.   Photo: Eric Mueller  From UPI.com, Ed Adamczyk, Nov 14, 2014: Russian President … [Read more...]

De-Dollarization Continues – Argentina and China agree to Currency Swap

Peter's Commentary There is a large trend towards US de-dollarization occurring. More and more countries are bypassing the dollar. Argentina has just agreed with China's central bank to receive the first tranche of a multi billion currency swap before the end of this year. According to Reuters: The swap will allow Argentina to bolster its foreign reserves or pay for Chinese imports … [Read more...]

Putin Wants Russia to Sell Energy in Roubles

Peter's Commentary One of the easiest ways for Putin to attack the US is to start selling energy without settling payments in the US dollar. If Russia starts to sell energy without the US dollar being involved, you can expect the US dollar index to drop significantly overnight. Remember that Russia sells gas to a lot of European countries. What if Russia made the transactions in German marks … [Read more...]