The US Dollar: Laughing Stock of the Global Marketplace

The Underground Investor's JS Kim is great; in reading him, one realizes that he probably wants to insert an expletive or two between his assessments but because he's a classy sort of guy, he bites his tongue and inserts snarky commentary on those who are methodically imploding our dollar instead. It's truly an art. Kim also gets the Jr Deputy Accountant stamp of approval for his position that fraudulent fiat money is the root of this crisis, going so far as to institute a gold standard for his own company. Now you're talking...

Via Kim's Dollar Chart Tells a Much Different Story Than Pundits Do (again, always glad when I'm not the only one calling BS):

CEOs from every industry imaginable are saying that the global economic crisis has bottomed and that the recovery will definitely be recognizable and reach a sustainable status by the latter half of this year. But in my opinion, every single one of these CEOs falls into one of either two categories. (1) CEOs that have zero understanding of this global crisis; or (2) CEOs that understand this crisis yet will unethically lie to the masses. Today, in my business travels throughout Asia, the US dollar is still only nominally stronger than monopoly money. Two years ago, when I spoke to a friend of mine whose family owns a large construction business in Dubai, when I asked him if his family business accepts US dollars for payment, his response was laughter. The truly ugly US dollar chart below also confirms the stance I take in this essay. It does not surprise me at all that the banking elites continue to lie about the true state of this crisis. In fact I would expect no less from this sector of society that former US President Andrew Jackson once labeled as “vipers” and “thieves”. However, I am still, at times, astounded at how easily the masses allow themselves to be manipulated by their nonsense.

The chart to which Kim refers:

I, too, find the dollar's weakness to be a tad bit suspicious.

And hey, dollars are down, oil and gold are up, commercial real estate is still threatening to break - what happened to that? Good morning, America! Our dollar is dead! (Bloomberg video on the "Great dollar sell-off")

Ready for more LOLZ? A blast from Ben Bernanke's past, a mash-up starting from 2005 discussing "the housing markets are frothy but safe, I believe in the fundamentals, there's plenty of liquidity, the auto companies are great" blah blah blah.


I am convinced at this point that about 70% of "experts" are liars, 20% are simply confused, and 10% are maliciously attempting to pass off a phony before the truth comes bursting forth. As if you couldn't SEE this? And maybe 2% of those "experts" are actually well-informed and entirely honest in their intention but who can possibly hear them above the noise?

Jr Deputy Accountant

Some say he’s half man half fish, others say he’s more of a seventy/thirty split. Either way he’s a fishy bastard.


W.C. Varones said...

Couple things:

1) Kim's chart is SOOOO Wednesday. Friday the DXY broke the "first line of defense" on the chart and traded below 80 intraday.

2) 100 Billion ZBD is SOOOOO 2008. I got a 100 Trillion note this spring on eBay for $8.


ha! thank you. I tried to figure out a creative way to use the content without referring to the chart (bah, charts? really?) but that would have required exceptional effort on my part. will be fun to watch next week...

And I'm so glad to hear about your Ebay find.

How long til you can get a 100 Trillion USD for €8?? wooooo!


I think of the "Addams Family" whenever you mention Andrew Jackson. Gomez used to love when Tish spoke French. Ah, to think of letting Old Hickory loose on Manhattan Island with a dozen flintlocks. Oh, the thought makes me so happy.


Jonny said...

Bernanke makes my skin crawl.

I've met his type over and over in my life - especially in business in dealing with VC's and PE people in New York. The trouble with Ben is that he thinks he knows. He thinks he has a corner on the market for smarts. But I'd bet my last dollar that Ben's 'clever' more than smart. He's not wise or genuinely reflective. He doesn't have the capacity for deep self reflection and honest self appraisal. He doesn't learn from the effect he has on people around him.

Simply not in his DNA.

It screams from his manner.

The slightly tilted back head - the old saying 'he's looking down his nose at us' didn't simply arrive out of nowhere and nothing - his slow and deliberate diction... this is as self-superior as George Bush's grimacing was pitiless on the world.

So, yeah, fuck the experts.

I've personally loved every minute of their downfall. And I'll keep on loving it too. It's not for nought that I've largely been an anarchist these past 30 years.



I have spent many an hour combing over Bernanke videos on the Internet trying to get his inflection down, wondering if he really is evil or just stupid.

As you are probably already painfully aware, the "central banker code" might work on others but sadly I'd debunked their little tongue and do pretty well dissecting what they mean vs what they say. This ability helps because I don't watch TV so I only catch their WORDS instead of being drawn into what they say out loud. You can really figure out what they're trying to do much easier this way...

...and having watching hour after hour of Ben Bernanke, going back to 2005 when he first set out on his journey to FAIL, I've concluded that he's smug and as you said, intelligent but not all that bright.

Being ranked up there with the geniuses myself (151, not to brag haha), I of all people understand that intelligence does not necessarily equal rational behavior. If anything, intelligence itself promotes moral hazard in that one can easily believe they can outsmart the entire fucking world.

Not only do Bernanke and I share a birthday, we likely share the same irrational tendencies. Except THAT dude is out of his mind and I'm just an occasional troublemaker. Big diff.

Glad you are loving it. I thought I was completely out of my mind for enjoying all of this so much!


p.s. I probably am out of my mind as watching these guys 24:7 will do that to you. Oh well.