China happened. And now ... importantly:
In other words, for once Goldman is speechless, however it is quick to point out that what traditionally has been a major source of reserve reflow, the Chinese current and capital accounts, is no longer there. It also means that what may have been one of the biggest drivers of DM FX strength in recent years, if only against the pegged Renminbi, is suddenly no longer present.Again, to channel A and FOA, and of course the direct implications from FOFOA, structural support for the dollar is over.
The FED and its dollar faction proxies will absorb the outflow no doubt and QE.x will not only resume but accelerate exponentially. Good luck to our astute new Michigan / Yale FX academic on the Fed Board and her YouTube baby-talk to the sheople. She will no doubt earn her first global stripe over the next three years. The math here is simple: at a trillion in dollar denominated paper debt dump per year, how long to burn 3 trillion??
The above video, though it might be taken as "radicalized sentiment" by NeoCons like Wesley Clark are merely a window into the global realities that our own mainstream ministry of propoganda refuses to present. As long as a Roacheforque is not placed in an internment camp for thinking "politically and socially incorrect thoughts" there will always be an alternate view which expresses the thoughts of other countries, other peoples and other classes who deserve a seat at the table which represents the populations of the world who have enabled the US trade deficit for so many years.
In deference to the current state of affairs, the political cover for China, if it was not purely incidental, would be brilliant. How convenient to dump the trillions it wants to (primarily exchanging for gold accumulated in dollars) because it appears to HAVE NO CHOICE ... due to it's equities rout?
Amazing how some inexplicable events that seem to arise out of sheer necessity were always baked in by design. No doubt many from within the 99% will leap from the rooftops as our three year journey begins, but it will not be the 1%.
They are the authors of "surprise" and never victims of it. But rejoice my fellow Americans. Not ALL of the 1% are evil and self-serving to the exclusion of all else. Even the Roacheforque elders, as time and events proceed, have gradually come to accept my love for the little people, and how that love will eventually save them from themselves ...
Change for the better is coming ... as it must ... by design.