Church of God News

Notice that Justin Lin is calling for the replace of US dollar dominance with something that the Europeans will agree to.  This is consistent with biblical prophecy telling of a time when a European power will dominate the world economy.  While that time is not yet here, the reality is that more and more steps are being taken to prepare for this.  The call from Justin Lin is just one more step towards this happening.

There are many reasons that the USA has been shown to be an unqualified nation to lead the world’s financial system.  One to mention here is its massive accumulation of debt, especially in the past six or so years.  One person that encouraged this was outgoing Federal Reserve Chairman Ben Bernanke.  Today is his last day in office, and here is some information about that:

WASHINGTON — U. S. Federal Reserve Chairman Ben Bernanke steps down Friday after guiding the world’s largest economy through years of tumult.  Bernanke wins praise for crisis management and some criticism for unfinished reforms.  http://www.voanews.com/content/bernanke-steps-down-after-eight-difficult-years/1841007.html

Not everyone was a fan of his.  Under Ben Bernanke, the Federal Reserve pumped $4 trillion in by making it up in a program called “quantitative easing.’  According to a former Federal Reserve official this barely helped the economy at all in the short-run, seems to be causing its own risky ‘bubble,’ and ignored the real problems in the economy of the USA (see Former Fed Official blasts ‘quantitative easing’).

Furthermore, that pumping of money into the economy is setting the USA dollar up for the time in which it will really crash. Especially when this is combined with the deficit spending that the US Federal government is engaged in, as well as the USA’s trade deficits.

Quantitative easing is form of ‘money creation’ and is also sometimes called an “asset repurchasing” or “bond-buying-stimulus” program. Yet, this is mainly a sham operation that debases the value of the U.S. dollar (mainly the government prints up money electronically and the “asset” purchased is a U.S. treasury note, not a real asset like, let’s say, an oil well; yes there are sometimes also some mortgages purchased which have ties to real assets, but there are problems there as well). As I have repeatedly written, calling if counterfeiting is not too far off of a description of it.Quantitative easing will help destroy the USA dollar. As I mentioned before, the expected next Federal Reserve Chairman, Janet Yellen is in favor of continuing it (see Fed’s Yellen again signals her commitment to inflating US currency). Some believe that she will try to expand it.

Quantitative easing and debt increases are a form of “dishonest profits” that the U.S.A. is improperly reaping because of its position in the world, but that is not good:

13 “Behold, therefore, I beat My fists at the dishonest profit which you have made, and at the bloodshed which has been in your midst. 14 Can your heart endure, or can your hands remain strong, in the days when I shall deal with you? I, the Lord, have spoken, and will do it. 15 I will scatter you among the nations, disperse you throughout the countries, and remove your filthiness completely from you. 16 You shall defile yourself in the sight of the nations; then you shall know that I am the Lord. (Ezekiel 22:13-16)

US debt, combined with programs such as the Federal Reserves’ quantitative easing, are sending signals to the rest of the world that the US dollar needs to be replaced as the world’s primary reserve currency.

Justin Lin is not the only one seeing problems with the USA dollar.

From China to Russia to the Middle East to Europe and elsewhere, various world leaders are moving to replace the USA dollar’s position. This will hurt the economy of the USA much more than increasing debt has helped it.

Furthermore, there have been a lot of reports that Germany has had trouble getting its gold back. Here is one report from a week ago:

It transpired last week that of the 43-odd tonnes per annum the Bundesbank expects to be returned from the New York Fed only 5 tonnes arrived in 2013. Furthermore, of the 373.7 tonnes stored with the Banque de France only 32 tonnes was delivered. This is little more than a morning’s delivery in the London market, so it is hard to swallow the Bundesbank’s excuses about logistics.

The burning question is why is it so difficult to get its gold back? The most logical answer is that the Bundesbank’s gold is long gone, but without hard evidence this can only be conjecture. One would have thought that the New York Fed would have at least come up with closer to 40 tonnes if only to stop the rumour mill running.

There may be a risk that without clarification over the status of Germany’s gold at the New York Fed other central banks using the Fed or even the Bank of England’s storage facilities might decide to buy gold in the market, just in case. If that happens, bearing in mind that it is too early to think this is a real possibility, bullion prices could go much higher, given the lack of physical bullion available.  http://www.marketoracle.co.uk/Article44102.html