Breaking : China pulls the plug on Europe, especially on France, page 4

posted on Sep, 20 2011 @ 05:29 PM

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Get your food and supplies READY ALREADY!!

America can not pay this debt off we have been sold
out by TPTB global banking cartels.

When we default on the debt it will be SHTF for a while.
WELCOME to the AMERO hell they might go straight
to the one world currency.

edit on 20-9-2011 by popsmayhem because: (no reason given)

mbkennel

posted on Sep, 20 2011 @ 05:32 PM

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Originally posted by DragonTattooz

Originally posted by SweetT
We will not win this, we have dug a hole with no way out, unless we default on our loans, but even then if they have been given Imminent Domain, that means that they can come take what ever here in the US that they feel would be worth the amt owed, such as California, Texas, The Statue of Liberty, Long Island, or any number of companies, homes, businesses or any state or federal building.

Maybe in theory, but in reality, there is no way the people of the USA will let that happen. Mark my words- No Way.

It not a question of "let it happen", there is no way it could happen. U.S. Treasuries are backed by "The Full Faith and Credit of the US Treasury", which, in particular means that there is no collateral! It is unsecured debt, just like a credit card. Furthermore, there will never be an actual economic default (as opposed to a politically induced default, as threatened with the recent GOP fiasco) because the US can print money in the currency of its debt (unlike Greece). All Treasury holders will get dollars back, it's just a question of how much those dollars are worth. (In fact it's just paying bonds in bonds which the US can print. A dollar bill nothing but a zero-maturity zero-coupon bond---right now the Federal Reserve makes them but at one point the US Treasury also issued them directly, and could once again).

But China only has this huge amount of T-bonds because of their currency manipulation, to keep the dollar high compared to the renmibi/yuan. So if they want to stop buying T-bonds to "punish" the US, they'd have to abandon their peg, which they need for their policy. At best they can threaten to move their money in dollars from one Western bank to another, but overall they need to buy USD (and lesser EUR) for their peg. So if the US and Europe hang together, China doesn't actually have a big option.

China actually buying properties & US equities would mean that they would earn income streams from US workers, but they're not doing that---they're still buying Treasuries. I think they're foolish actually for both holding the peg and then for investing in treasuries.

edit on 20-9-2011 by mbkennel because: (no reason given)

MollyStewart

posted on Sep, 20 2011 @ 05:35 PM

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Wang Chaocai, a Ministry of Finance researcher, was quoted as saying that "what else we can buy if not U.S. Treasuries? It's more risky to buy into equities." You can buy gold...

reply to post by Vitchilo

I like the smiley face after, "You can buy gold." Because the Chinese have been bitten before by the US being repaid debt with gold plated tungsten. The market is flooded with it which is why the Chinese know for a fact they get stiffed on certain commodities.

viewzone2.com...

www.kitco.com...

SweetT

posted on Sep, 20 2011 @ 05:46 PM

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reply to post by mbkennel

Then why is the US pushing them to raise the value of their Yuan? They are doing it but slowly, agreed to it is what I read.

So if we all invested in Yuan, eventually we would be rich...

edit on 20-9-2011 by SweetT because: (no reason given)

Psychedelica

posted on Sep, 20 2011 @ 05:47 PM

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seems like Norway is still not affected by Money issues or reputation with China. except Nobel price tho..

but i believe all country will come back to their feet, keep thinking positive. ;D

soficrow

posted on Sep, 20 2011 @ 06:05 PM

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reply to post by Vitchilo

Great work Vitchilo. ...again. S&F&

Bump for 2nd line.

drakus

posted on Sep, 20 2011 @ 06:22 PM

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Hehe... you guys are soooo screwed...

Don't worry though, when SHTF you are welcome to come to our #ty thirld world countries, we have a looot of dishes to wash here too!

My advise: Either throw them elites away for once and for all or gtfo before everything goes to hell...
The Spaniards seem to have started to slowly wake up, I hear there are some people camping in front of the death sta... I mean wall street. Join them!
Kick all of them (not the same them as before

)out! Come on already!

SheopleNation

posted on Sep, 20 2011 @ 06:24 PM

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The International bankster swindlers will most likely start a war with Red China in the near future in order to get out of their debt to them. It will all be about the freedom of the chinese people, and the evil Chinese Regime. ~SheopleNation

edit on 20-9-2011 by SheopleNation because: TypO

mbkennel

posted on Sep, 20 2011 @ 06:28 PM

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Originally posted by SweetT
reply to post by mbkennel

Then why is the US pushing them to raise the value of their Yuan? They are doing it but slowly, agreed to it is what I read.

Because the US (at least Democrats, not Republicans) doesn't want as many jobs outsourced and it is causing global disruptions.

So if we all invested in Yuan, eventually we would be rich...
edit on 20-9-2011 by SweetT because: (no reason given)

Right, but the Chinese know this and that's why the 'capital account' is also closed. Foreigners can't directly buy Yuan. Otherwise it would be a great investment--- Chinese government bonds yielding ~5% in a near guaranteed-to-rise currency? Every fund on the planet would invest if they could (which would also result in the Yuan shooting upwards if were free-floating).

It is why there is a massive property bubble in part too, Chinese disaspora are sending money home to relatives to buy Chinese properties. Of course foreigners can't easily do this (Chinese economy is designed to make Chinese rich, not foreigners. US economy is designed to make rich people rich, not Americans).

edit on 20-9-2011 by mbkennel because: (no reason given)

mbkennel

posted on Sep, 20 2011 @ 06:32 PM

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Originally posted by SheopleNation
The International bankster swindlers will most likely start a war with Red China in the near future in order to get out of their debt to them. It will all be about the freedom of the chinese people, and the evil Chinese Regime. ~SheopleNation
edit on 20-9-2011 by SheopleNation because: TypO

How exactly does this work?

I'm going to welch on my debts so I'm going to beat up on my bookie? It's the other side who hires the thugs usually.

MarkScheppy

posted on Sep, 20 2011 @ 06:57 PM

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``Good news`` for the US.

China, the largest foreign holder of U.S. government debt, will keep buying U.S. Treasuries, the official People's Daily, the ruling Communist Party's mouthpiece reported on Tuesday, citing government researchers.

But don't fool yourself into believing them. Art of War my friends, Art of War.

Wang Chaocai, a Ministry of Finance researcher, was quoted as saying that "what else we can buy if not U.S. Treasuries? It's more risky to buy into equities."

You can buy gold...

Time to print ECB! Or let the big banks fail, which will be epic... since the banks are bigger than almost every country in the EU they are in.

Switzerland is the worst, with banks holding 594% of GDP in assets... good luck bailing them out...

UPDATE :

Well apparently it didn't take long for the US to respond to protect their friends in the EU...
U.S. to announce China trade enforcement action
-------------------------------------------------------------------------------------------------------------------------

But the funniest thing about all this is that China is in a big bubble too and their banks are in big trouble too!

edit on 19-9-2011 by Vitchilo because: (no reason given)

Let them all eat Cake!

Funniest thing is that the world is heading towards a 1300's style dark age, a collapse of culture -- very opera bouffe.
Whodunit, is actually in the dictionary. It means "detective story." It isn't hard to figure out who the villains of this worldwide scandal are.

Our media people have become poster children for silly putty. Anything that the mainstream wants them to say they say. The mimic like Parrots. Look Karl Rove, the Obama's (Michelle Obama mimicking Marie Antoinette, but instead it is "Let them eat fries!"

Makes you wonder how these countries, Greece Portugal Spain can afford to even do their laundry! There is no production going on in Greece. Helga Zepp Larouche said Germany is bearing the burden of all Europe, because there are still some productive parts of Germany left. The Uncle Scrooge of the British empire hasn't nulified all of Europe yet. Maastricht Treaty: Led to the development of the currency the EURO.
Europe is going broke which means that the EURO is going to be useless. Cheer up Charlie brown that [the Euro is useless] is actually a good thing. extra DIV

SheopleNation

posted on Sep, 20 2011 @ 07:04 PM

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reply to post by mbkennel

Nah, that's in the movies bro. Fact is usually stranger than fiction. Think about it, They start a war with them in the name of human rights and they get completely out from under China's thumb. And as a bonus, The swindlers get control of the vast Chinese markets and economy. They will be able to influence their hand picked puppet chinese government to also relax all of the regulations China has set up for foreign investors, not to mention trade. I am telling you man, a conflict with Red China is coming because there can only be one big dog on the street. Just wait, when it does happen you're gonna think to yourself "wow, that SheopleNation dude from ATS was right!". ~SheopleNation

edit on 20-9-2011 by SheopleNation because: TypO

syrinx high priest

posted on Sep, 20 2011 @ 07:07 PM

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china is only single A rate in their own debt, I think they are pulling back on loaning money due in part to their own vulnerabilies, specifically a real estate/building bubble of their own

DamaSan

posted on Sep, 20 2011 @ 07:18 PM

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reply to post by Vitchilo

Excellent post! S+F

Terrible news.

Have to wonder... Is this an engineered collapse? Timing sure is interesting...

edit on 20-9-2011 by DamaSan because: (no reason given)

SweetT

posted on Sep, 20 2011 @ 07:18 PM

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Originally posted by SheopleNation
reply to post by mbkennel

Nah, that's in the movies bro. Fact is usually stranger than fiction. Think about it, They start a war with them in the name of human rights and they get completely out from under China's thumb. And as a bonus, The swindlers get control of the vast Chinese markets and economy. They will be able to influence their hand picked puppet chinese government to also relax all of the regulations China has set up for foreign investors, not to mention trade. I am telling you man, a conflict with Red China is coming because there can only be one big dog on the street. Just wait, when it does happen you're gonna think to yourself "wow, that SheopleNation dude from ATS was right!". ~SheopleNation

edit on 20-9-2011 by SheopleNation because: TypO

They wont do that, to take on China means to take on Russia, USA will not take that risk. Remember we don't take on nations that have nuclear weapons, and Russia and China have huge armies.

edit on 20-9-2011 by SweetT because: (no reason given)

SweetT

posted on Sep, 20 2011 @ 07:24 PM

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Originally posted by mbkennel

Originally posted by SweetT
reply to post by mbkennel

Then why is the US pushing them to raise the value of their Yuan? They are doing it but slowly, agreed to it is what I read.

Because the US (at least Democrats, not Republicans) doesn't want as many jobs outsourced and it is causing global disruptions.

So if we all invested in Yuan, eventually we would be rich...
edit on 20-9-2011 by SweetT because: (no reason given)

Right, but the Chinese know this and that's why the 'capital account' is also closed. Foreigners can't directly buy Yuan. Otherwise it would be a great investment--- Chinese government bonds yielding ~5% in a near guaranteed-to-rise currency? Every fund on the planet would invest if they could (which would also result in the Yuan shooting upwards if were free-floating).

It is why there is a massive property bubble in part too, Chinese disaspora are sending money home to relatives to buy Chinese properties. Of course foreigners can't easily do this (Chinese economy is designed to make Chinese rich, not foreigners. US economy is designed to make rich people rich, not Americans).

edit on 20-9-2011 by mbkennel because: (no reason given)

edit on 20-9-2011 by mbkennel because: (no reason given)

edit on 20-9-2011 by mbkennel because: (no reason given)

I've read about their massive housing bubble, and their huge ghost cities that noone can afford to live in. Interesting. My friend is Chinese and went there just last yr, had been gone for 14 yrs but went to see relatives. He was in shock at the amount of money and wealth that his friends and family had acquired since he was last there. And the amount of privately owned vehicles, which they do the registering of so that you can drive them on an auction type basis, the highest payer wins the right to be able to drive their car..registar it. But like I said he was in shock at their new wealth.. When he left he said everyone was so poor. 14 yrs is not that long of a time for such huge changes if you think about it. I told him then when he left to get his relatives to let him buy some Yuan as it will make him rich, he is thinking about doing it.

wlord

posted on Sep, 20 2011 @ 07:43 PM

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Well from what I've seen there is a lot of poverty, 4-5 people crammed in one small room.

jonnywhite

posted on Sep, 20 2011 @ 08:02 PM

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Originally posted by trollslayer
reply to post by Vitchilo

So do i understand this correctly, China is witholding trade to prove a point to Europe so America is witholding trade to prove a point to China? I find it difficult to see a positive outcome from punking out your bookie...

Keep going...

So who is going to prove a point to the US now that the US proved a point to China?

(and remember, China proved a point to Europe)

edit on 20-9-2011 by jonnywhite because: (no reason given)

JohnPhoenix

posted on Sep, 20 2011 @ 08:08 PM

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Originally posted by diddy1234
I am sure one country (like USA) will end up turning round at some point and wipe all debts off.

Then other countries will follow suit.

Other countries will just get fed up with it, but what can they do.

If one country has the balls to write off debt then no one can do anything about it.

Not Ever gonna happen. The People would needto radically overthrow the US government and then make serious changes then wait years for the changes to take effect to be able to do that.

It cannot happen now with our type of corrupt system because this debt has been mounting for years with no end in sight and no money to pay it off with.

The US is Not world leader anymore people. China is the richest, strongest most powerful super power on Earth. The USA seeks aid from them like a 3rd world country used to seek aid from US. We are not IT anymore. We have to humble ourselves and act like the defeated people we are instead of pretending we are still #1. Only when we do that can we find solutions for our problems.

edit on 20-9-2011 by JohnPhoenix because: sp

ironbutterflyrusted

posted on Sep, 20 2011 @ 08:58 PM

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The Chinese have another reserve to fall back on...rhino horn...worth more than gold they say. Expertly poached in Zimbabwe by armed gangs and smuggled onto a slow boat back to China. The number of kills has risen 400% in just a few years

...barbaric traders supplying the elite.

...sorry about off-topic, it just really annoys me