Grant Williams: The Death Of The Petrodollar, And What Comes After

[old steel]

Best article i have read on zerohedge for a good while.

Very good explanation with lots of charts.

Once that Russia/China pipeline is completed look out below.

http://www.zerohedge.com/news/2017-02-09/grant-williams-death-petrodollar-and-what-comes-after

[cheka.]

he may be right...after so many have been wrong. it's my view that the frn is the one world currency - backing all others..minus a few terrist states

thus there is no alternative coming (or even available). the bailout and swap orgies that frbny engages in to prop up all of its faux competitors prove my point. trillions and trillions to save the competitors? absurd to claim currency war/etc if one knows this

when the f-16's and marines are mobilized against a real competitor....that will legitimize alt currency talk. until then -- add another one to the pile of 'experts' that continue to get embarrassed by predicting frn demise

scammers have sold a lot of books pushing end of frn crap...rickards, etc.

[old steel]

No one is buying US debt anymore, in fact US treasury bonds are being turned in at an ever increasing rate. Who is holding all that debt?

Lots of the major players in oil and gold etc are trading between themselves thus circumventing the petro dollar.

Boomers are retiring and looking for all their entitlements which will continue to balloon the debt skyward.

Saber rattling won't work, Russia and China are not Iraq and Libya. They have nuclear weapons too.

Best for Donald Trump to declare bankruptcy and start over but it's going to be a brutal few years ahead of us.

[cheka.]

No one is buying US debt anymore, in fact US treasury bonds are being turned in at an ever increasing rate. Who is holding all that debt?

Lots of the major players in oil and gold etc are trading between themselves thus circumventing the petro dollar.

Boomers are retiring and looking for all their entitlements which will continue to balloon the debt skyward.

Saber rattling won't work, Russia and China are not Iraq and Libya. They have nuclear weapons too.

Best for Donald Trump to declare bankruptcy and start over but it's going to be a brutal few years ahead of us.

all great issues to bring up. but frn backs everything and everybody. their tax base and influence is over every person/org/corp on earth. when frbny dilutes, they steal from all of them. it is folly to compare frn to US activity only. must compare to world

[ximmy]

No one is buying US debt anymore, in fact US treasury bonds are being turned in at an ever increasing rate. Who is holding all that debt?

Lots of the major players in oil and gold etc are trading between themselves thus circumventing the petro dollar.

Boomers are retiring and looking for all their entitlements which will continue to balloon the debt skyward.

Saber rattling won't work, Russia and China are not Iraq and Libya. They have nuclear weapons too.

Best for Donald Trump to declare bankruptcy and start over but it's going to be a brutal few years ahead of us.

I would think the least painful thing to do is default on the debt... only a few rich entities would suffer. ???

[cheka.]

I would think the least painful thing to do is default on the debt... only a few rich entities would suffer. ???

they prefer to avoid the drama and dilute it. few complain about the theft

[old steel]

I would think the least painful thing to do is default on the debt... only a few rich entities would suffer. ???

Unfortunately as usual the people will have no say in the matter, it will all be decided at the top of the pyramid.

I am of the opinion that decision has already been made and we are witnessing the fallout.

It is about to accelerate now.

Since there are so many stackers here we will fare far better than the average Joe and Jane doe.

Oh and while i'm at it who is that dude in the background of this photograph with Henry the draco, tricky Dicky and the raghead?

Someone in the comments section says, it's the joker.



http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/12/23/petrod%20petrod_0.jpg

[Jerrylynnb]

"...both Mother and daughter,
working for the YANKEE DOLLAR."
(Rum and Coca Cola, Andrews Sisters, 1944)

https://www.youtube.com/watch?v=WiayZdPESno

I agree with Cheka - lots of folks have been harping on the death of the yankee dollar since I was even a teenager - ain't gonna' happen until somebody, somewhere, somehow, comes up with a military force that can whip the US military.

Don't count on it. Ordered to go all out, ain't no force on earth that can stand up to what the US military can dish out.

[crimethink]

Best for Donald Trump to declare bankruptcy and start over but it's going to be a brutal few years ahead of us.

Ain't gonna happen.

#1) Goldman Sachs is in charge of the Treasury Department.
#2) "The validity of the public debt of the United States, authorized by law...shall not be questioned."
#3) We've already seen that "the courts" will rule against the best interests of the American people.

[Hitch]

No one is buying US debt anymore, in fact US treasury bonds are being turned in at an ever increasing rate. Who is holding all that debt?

Lots of the major players in oil and gold etc are trading between themselves thus circumventing the petro dollar.

Boomers are retiring and looking for all their entitlements which will continue to balloon the debt skyward.

Saber rattling won't work, Russia and China are not Iraq and Libya. They have nuclear weapons too.

Best for Donald Trump to declare bankruptcy and start over but it's going to be a brutal few years ahead of us.

Good points, but a couple of things. Boomers retiring, they aren't expecting entitlements. Social security is not an entitlement, they've paid into it their whole working lives. They want, and deserve, their money back taken from them.

Also, Donald Trump is all cock and balls. No way he'd declare bankruptcy, that is viewed as a LOSS, and he doesn't like to lose.

This was a very good article. Trump has his challenges ahead of him.

[crimethink]

Also, Donald Trump is all cock and balls. No way he'd declare bankruptcy, that is viewed as a LOSS, and he doesn't like to lose.

Aside from what I just posted, Trump does not see bankruptcy as a "loss," but as a "restructuring of a business plan." He's made clear he likes to avail himself of all business tools, including tax breaks - and Chapter 11...four times ("legally," these were "reorganizations," not liquidations).

(Personally, I have no problem with his bankruptcies. He's always taken risks for high stakes, and out of all the hundreds of corporations he's created, only four were "reorganized.")

[Hitch]

Aside from what I just posted, Trump does not see bankruptcy as a "loss," but as a "restructuring of a business plan." He's made clear he likes to avail himself of all business tools, including tax breaks - and Chapter 11...four times ("legally," these were "reorganizations," not liquidations).

(Personally, I have no problem with his bankruptcies. He's always taken risks for high stakes, and out of all the hundreds of corporations he's created, only four were "reorganized.")

For some reason, I just think Trump would see the damage of a "currency bankruptcy" on the American people, how it would harm your average guy, as a person loss on his part. He's gambled taken high risks in business, true, but I don't think he wants to do that now with our country at stake.

[old steel]

Even if he chooses QE to infinity we will still experience hyperinflation.

You cannot fix a debt problem by creating more debt.

[crimethink]

For some reason, I just think Trump would see the damage of a "currency bankruptcy" on the American people, how it would harm your average guy, as a person loss on his part. He's gambled taken high risks in business, true, but I don't think he wants to do that now with our country at stake.

I'm not at all convinced he cares about the "little guy," or even understands the little guy (beyond knowing what to say to get votes). He's never been a little guy. Like being a parent, it's not something you can book learn.

My friend said last night Trump would not know what to do with $1s and $5s, and there is wisdom in that.

[crimethink]

Even if he chooses QE to infinity we will still experience hyperinflation.

You cannot fix a debt problem by creating more debt.

The Fourteenth Amendment makes debt repudiation "illegal," so it limits options greatly (arguments that "the Fourteenth Amendment is not valid" aside).

The only practical way to eliminate the debt is to hyperinflate...or destroy the creditor(s) in warfare. I recall there have been proposals of minting trillion-dollar coins. Tillerson has already explained how to ignite the latter.

[woodman]

The only practical way to eliminate the debt is to hyperinflate...or destroy the creditor(s) in warfare.

Or destroy the 'debtor' that being the American people. Subjugate and force them into slavery and take everything they own including their children as collateral on said debt. It could be argued, and very effectively that these things have already largely been done. Where does that leave us? Trump may certainly have been retained as a liquidator. Time will tell.