First, I want to wish everyone a happy and a safe, Thanksgiving! For all those traveling, good luck and have a safe journey. This is a time to reflect on our good fortune in having been born citizens, or having the good sense to become citizens, of the United States. This country is the last best hope for freedom in the world and we have experienced freedom that exists no where else. It is now time for “we the people” to give back to our country and turn back the tide off Marxist/Socialism that has accelerated in in the last 2 years under “The Community Organizer in Chief”. It has fallen on our shoulders to live up to Ben Franklin’s words when asked “what kind of government have you given us?” “A Republic, if you can keep it,” was his response. I is our duty to restore the republic for our children and our grandchildren. If the U.S. falls to Socialism, where will people be able to go to escape tyranny?
The Biggest News Story You Never Heard!
Tuesday, November 23, 2010, the world change and hardly anyone is reporting it. The days of the U.S. dollar as the world’s reserve currency are numbered. The complicity of the U.S. press with the regime of “The Community Organizer in Chief” is unheard of and frankly disgusting. I read some where this week, I think it was a Rasmussen poll, that almost 70% of the public gets its news from the internet. This is a great thing, because the U.S. press is doing their best to beat the Pravda of old in reporting the government line. Sometimes, what they do not report is more telling than the misinformation that they do report. This story from, China Daily is, without any exaggeration, the biggest story of 2010!
China, Russia quit dollar
By Su Qiang and Li Xiaokun (China Daily)
Updated: 2010-11-24 08:02
St. Petersburg, Russia – China and Russia have decided to renounce the US dollar and resort to using their own currencies for bilateral trade, Premier Wen Jiabao and his Russian counterpart Vladimir Putin announced late on Tuesday.
Chinese experts said the move reflected closer relations between Beijing and Moscow and is not aimed at challenging the dollar, but to protect their domestic economies.”About trade settlement, we have decided to use our own currencies,” Putin said at a joint news conference with Wen in St. Petersburg.
The two countries were accustomed to using other currencies, especially the dollar, for bilateral trade. Since the financial crisis, however, high-ranking officials on both sides began to explore other possibilities.
The yuan has now started trading against the Russian rouble in the Chinese interbank market, while the renminbi will soon be allowed to trade against the rouble in Russia, Putin said.
“That has forged an important step in bilateral trade and it is a result of the consolidated financial systems of world countries,” he said.
Putin made his remarks after a meeting with Wen. They also officiated at a signing ceremony for 12 documents, including energy cooperation.
The documents covered cooperation on aviation, railroad construction, customs, protecting intellectual property, culture and a joint communiqu. Details of the documents have yet to be released.
Putin said one of the pacts between the two countries is about the purchase of two nuclear reactors from Russia by China’s Tianwan nuclear power plant, the most advanced nuclear power complex in China.
Putin has called for boosting sales of natural resources – Russia’s main export – to China, but price has proven to be a sticking point.
Russian Deputy Prime Minister Igor Sechin, who holds sway over Russia’s energy sector, said following a meeting with Chinese representatives that Moscow and Beijing are unlikely to agree on the price of Russian gas supplies to China before the middle of next year.
Russia is looking for China to pay prices similar to those Russian gas giant Gazprom charges its European customers, but Beijing wants a discount. The two sides were about $100 per 1,000 cubic meters apart, according to Chinese officials last week.
Wen’s trip follows Russian President Dmitry Medvedev’s three-day visit to China in September, during which he and President Hu Jintao launched a cross-border pipeline linking the world’s biggest energy producer with the largest energy consumer.
Wen said at the press conference that the partnership between Beijing and Moscow has “reached an unprecedented level” and pledged the two countries will “never become each other’s enemy”.
Over the past year, “our strategic cooperative partnership endured strenuous tests and reached an unprecedented level,” Wen said, adding the two nations are now more confident and determined to defend their mutual interests.
“China will firmly follow the path of peaceful development and support the renaissance of Russia as a great power,” he said.
“The modernization of China will not affect other countries’ interests, while a solid and strong Sino-Russian relationship is in line with the fundamental interests of both countries.”
Wen said Beijing is willing to boost cooperation with Moscow in Northeast Asia, Central Asia and the Asia-Pacific region, as well as in major international organizations and on mechanisms in pursuit of a “fair and reasonable new order” in international politics and the economy.
Sun Zhuangzhi, a senior researcher in Central Asian studies at the Chinese Academy of Social Sciences, said the new mode of trade settlement between China and Russia follows a global trend after the financial crisis exposed the faults of a dollar-dominated world financial system.
Pang Zhongying, who specializes in international politics at Renmin University of China, said the proposal is not challenging the dollar, but aimed at avoiding the risks the dollar represents.
Wen arrived in the northern Russian city on Monday evening for a regular meeting between Chinese and Russian heads of government.
He left St. Petersburg for Moscow late on Tuesday and is set to meet with Russian President Dmitry Medvedev on Wednesday.
Despite all of the nice rhetoric about “not challenging the dollar”, this is the initial shot across the bow that confirms the end of the dollar’s days as the world’s reserve currency. What we are witnessing is the changing of the guard in terms of leadership and world power. The minority party, the Marxist/Socialists, that are currently controlling the reins of power in the U.S. do not want this story out because it clearly demonstrates that their leader, “The Community Organizer In Chief” is an empty suit that is the least qualified man in America to lead this country into the future. On the other hand we are witnessing….
Vladimir Putin: Russia’s Ronald Reagan
Having recently traveled to Moscow, I can bring a different perspective to what may at first seem an odd comparison. You can see and feel capitalism taking hold in Moscow. The younger generation is a child of the internet and when they see opportunity they do not want to see it slip by. Don’t get me wrong, Russia has a long way to go in restoring freedom and capitalism, but there is a palpable undercurrent amongst the youth that urgently wants it to succeed.
Vladimir Putin is in touch with this sentiment and knows that it will benefit Russia in the long run. In a word, he is capable of seeing the trend and willing to act on it in order to see Russia prosper. This realization of what was wrong with Russia and what is needed to move Russia forward in the future is why I say that he is Russia’s Ronald Reagan. Vladimir Putin personifies leadership.
Compare Putin’s leadership with Obama’s lack there of and you will see why this story is so important. Putin sees a world that has been shackled by socialism and sees the opportunity that capitalism brings to his country. “The Community Organizer In Chief” sees the opportunity to destroy U.S. freedom and replace it with government control that will benefit the unions and all of the ideological leftists that he has surrounded himself with. He thinks that he and his party will be the ones to bring Marxism to its “golden days” while all before him have failed and brought only poverty, oppression and death. Obama is not a leader, he is a follower of the discredited philosophy that is Marxism.
People with no control over their lives tend to be despondent and have no hope. People that have property rights and a government that gets out of their way, look toward the future, work hard and prosper. Putin is trying to change the coarse of the Russian ship towards capitalism and progress, while Obama is steering the U.S. ship onto the rocks. This was exemplified by Putin’s warning to Obama about moving towards socialism. Unfortunately our president does not represent the American people, but rather caters to the ideological minority that is the Progressive Party in America.
This Decision Threatens The Dollar While Underpinning Gold
Vladimir Putin’s and Wen Jiabao’s agreement to settle their bilateral trades in their own currencies is but the first step towards establishing a new reserve currency for the world, but it is the step that sets the coarse for the future of the dollar. Once traders realize that the dollar’s rise is but a temporary aberration due to fear, .72, .62 and eventually .52 will come into play. Gold can only rise, over time, in this environment.
Leadership is about seeing the future and boldly going there when the opportunity arises. Putin has done this with a new alliance with China, who is rapidly becoming the world’s next economic super power. While Putin establishes strategic alliances, Obama travels the world apologizing and hobbling America every where he goes. President Obama is truly the most inept man in any group that he happens to be meeting with.
Vladimir Putin has the ability to adapt and think on his feet as he demonstrated yesterday.
Tough-guy Putin calls DiCaprio ‘a real man’
– Wed Nov 24, 8:34 am ETMOSCOW (AFP) – Russia’s tough-guy prime minister Vladimir Putin called Hollywood heart-throb Leonardo DiCaprio a real man after the actor’s plane had to make make an emergency landing on the way to a summit on tigers in Putin’s native Saint Petersburg.
Putin was reading from prepared remarks on tigers when he suddenly spotted the “Titanic” star in the crowd.
The Russian leader then revealed an uncanny knowledge of DiCaprio’s difficulties in getting to the conference and described him as a hero who made the tiger cause proud.
“I would like to thank you for coming despite all the obstacles,” Putin told DiCaprio, who also pledged one million dollars to the campaign to save tigers from extinction.
“A person with less stable nerves could have decided against coming, could have read it as a sign — that it was not worth going,” Putin said during an extended departure from his address.
The Russian prime minister said DiCaprio had “literally torn his way through to Saint Petersburg”, calling DiCaprio “a real man” (or “muzhik”) for his persistence.
Putin’s comments were briefly interrupted by shouts of “Bravo!” from the audience, forcing a brief smile and acknowledgment from the film idol.
The Russian prime minister then asked DiCaprio, dressed sharply in a black suit and tie, if he spoke any Russian — to which the Hollywood star replied no.
But DiCaprio revealed that two of his late grandparents were Russian, and that he had always wanted to bring his grandmother to Saint Petersburg.
DiCaprio then called himself half-Russian, the state-run RIA Novosti news agency reported.
“Well, you will get to know Saint Petersburg tomorrow and grow proud of your Russian roots,” Putin replied.
He ended his speech by walking off the stage and through the aisle to shake a visibly delighted DiCaprio’s hand.
DiCaprio was among the passengers on a Delta Airline jet that was forced to make an emergency landing in New York on Monday after losing an engine.
His second plane faced strong headwinds and was required to make an unscheduled refuelling stop in Helsinki, Putin told the audience.
“This is not even funny,” said Putin with a smile.
“In our country, they have a saying — a real man,” he concluded.
The ability to be secure, honest and direct in your belief’s is a required trait of a “good leader”. Putin shows these characteristics in his day to day dealings with power. Compare his style with Obama’s inability to talk in front of grammar school students without a teleprompter. It is very hard to stay on point when you are constantly lying to everyone that you speak to. At some point you forget what lies you told to the previous group. Take health care as a case in point. The Russians are far better served by Putin who has the power of his convictions!
Stay the coarse with your gold investments in both stocks and physical gold. Putin and Jiabao have just cemented a new base for the precious metals.
Once again, Happy thanksgiving to all.
Till next time, good luck and good trading!
More Gold Market Analysis:
- A Matter Of Leadership: Putin Vs Obama
- Russia, China United?
- “The Russian Winter”
- Putin Can Collapse The Dollar
- Strong Action Taken In Ukraine Will Shake the Dollar!