It’s no secret, the U.S. Government created trillions of dollars over the last two years. $2 trillion during the Trump administration, and $1.9 trillion during the Biden administration. Those numbers are just the response to the COVID-19 pandemic.
Rest assured, billions more have been created for other pet projects.
Not to mention, the not-so-Federal Reserve added $3 trillion to its balance sheet during that time. That simply means, they purchased assets with these new bucks to prop up the markets.
Just have a look at the M1 and M2 money supply.
Comforting huh?
Contrary to what the media tells you, this is the primary reason for roaring inflation.
Now enter the present…
Economic Warfare
Devastating economic warfare has been waged against Russia due to the conflict in Ukraine. International sanctions have been placed on Russia which has locked it out of the international financial system.
Additionally, we have even witnessed the seizure of its assets.
In fact, the United States has seized $300 billion in Russian assets.
Russian Finance Minister Anton Siluanov has said that $300 billion of the country’s gold and foreign exchange reserves have been frozen due to sanctioning measures imposed by the US and its allies over the conflict in Ukraine, accounting for nearly half of the country’s total foreign exchange reserves.
Global Times
This is theft by another name.
Sure, Russia may get it back in the future, but they may not as well. It’s worth noting, due to these economic sanctions by the West, Russia is now facing default for the first time in 100 years.
The United States is using the dollar’s position as the global reserve currency to bully Russia. This is going to have devastating consequences for our nation and currency as a whole.
Everyone now recognizes that fact.
The actions of US politicians to freeze the national assets of Russia will cause serious damage to the credibility of the US government and even more damage to the post-war international financial order and the financial system. The backlash and consequences of these actions will be clear for all to see over a period of time.
Global Times
What sort of damage will it cause?
Nations Begin To Move Away From The Dollar
The nations of the world have witnessed what Western powers have done to Russia. They do not want to be the next victim should their own nation implement policy the West does not agree with.
So, the nations are considering diversifying out of the U.S. dollar.
Iran is likely to begin selling oil and gas in rials instead of US dollars, following the Russian example, which will most likely be bound to gold. The Iranian move would be a further setback for the US dollar, which has been the long-favoured currency for international commerce.
The Siasat Daily
There is a lot of ‘likelys’ in that quote, but you get the point.
Russia has already pegged their currency to gold. We don’t know how long it will last, but this is an unprecedented move in the modern world of economics. Now it seems that Iran is ready to join them.
This just might spell doom for the dollar.
Global Reserve Currency
The United States dollar has been the global reserve currency of the world since the now-defunct Bretton Woods Agreement in 1944.
The reason?
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At the end of World War II, the United States had most of the world’s gold. So nations pegged their currency to our own. The agreement said, the United States would convert dollars to gold. So the dollar was a safe bet.
The gold backing of the dollar vaporized in the 1970s.
Since then, the dollar has been fiat which has led to massive money printing policies that we opened this article discussing. This has provided an unfair advantage for the United States over other nations.
We not only have that issue to deal with, but now the dollar is being weaponized against nations that do not comply with U.S. policy.
We are on a dangerous cross roads.
With that bit explained, let’s look at another quote in the news.
Saudi Arabia May Sell Oil In Yuan
Saudi Arabia is reportedly considering accepting China’s currency for some oil purchases. The Wall Street Journal reported today that Saudi Arabia and China are in “active talks” to price some Saudi oil sales to the People’s Republic in yuan instead of the US dollar.
Al Monitor
These talks have been going on for six years.
However, these talks have kicked into high gear amid crushing economic sanctions on Russia, imposed by the West. It’s interesting to note, roughly 80% of international oil sales are conducted using the U.S. dollar.
More nations are going to be compelled to find alternative solutions to the dollar. No one wants to hold dollars in the Federal Reserve bank, only to have them confiscated as Russia’s were.
We should also note, China is already purchasing Russian oil and coal in the Chinese yuan.
No matter what happens, we clearly see a divergence from the U.S. dollar. Whether this will be complete or not, we do not know. However, we see doubt now surrounding our currency.
Major Economic Change Is Coming
There is no question that the world is on the cusp of a major economic change. This turning point will either lead to the complete destruction of the Russian economy, even if Russia achieves a quick peace with Ukraine and there is no Nato-Russia war. Or it will reconfigure a new economic order that has been in the offing: a world order with cooperative solutions instead of military and economic wars for resolution.
Mail & Guardian
These days, headlines are filled with phrases like “major change” whether it concerns society, politics, or finance. Everything is changing, we all see that. As a matter of fact, it was President Biden who just said, America Will Lead The New World Order.
I have to tell you, when I first read that quote, the first thing that came to mind was the book of Revelation.
And they worshipped the dragon which gave power unto the beast: and they worshipped the beast, saying, Who is like unto the beast? who is able to make war with him?
Revelation 13:4
Of course, we are a long way off from that moment. We have a lot of Bible prophecy that must still be fulfilled. Yet, in this verse, we see a united global order under the Antichrist. That’s why no one can make war with it.
In the last quote I cited, that was the same concept.
‘A world order without military and economic wars for resolution.’
There’s going to be a new world order. One day it will even be unified around the globe. This is why we hear so much about digital id and digital currency. This will further unify the world.
All signs of the Last Days.
Even so, always remember.
There can be no new world order, until the old world order is destroyed.
We are beginning to see that, even today.