Sunday, September 21, 2014

Supplanting America, BRIC by BRIC

It's been a very interesting year so far if you are following world news (note - following 'X-Factor' or the Royal Dutchess' pregnancy does not constitute 'world news'). One of the main hot topics this year is the ongoing conflict in the Ukraine, one that I've already addressed in previous posts but something germane to the ongoing 'repositioning' of global superpowers. You are probably hearing the phrase 'BRICS' if you are loosely following the global markets and the world's geopolitical landscape. Simply put, BRICS consists of Brazil, Russia, India, China, and South Africa, but also includes 130+ other nations quietly waiting to latch their wagon to whatever horse ballsy enough to supplant the United States and its western cohorts as the globe's new superpower. Anyone not drinking the Kool-Aid knows that we are slowly being replaced, and the watershed/Waterloo moment is the Ukraine Crisis. This post aims to distill, clarify, simplify, and inform the reader on what is really going on behind the scenes.

The Players

The West (primarily the United States, but also England, France and select others) - current world superpower. $18 trillion in debt, responsible (with London) for $1.5 quadrillion in derivatives exposure through sketchy, opaque financial instruments. Home to Citi, JP Morgan, Goldman Sachs, and the creature from Jekyll Island, the unaudited Federal Reserve. $3 trillion of Monopoly money printed since 2008. Trained, funded, and armed what we now know as ISIS. Funded the Ukrainian uprising aimed at making Russia Public Enemy #1. Lied about WMD's. Rehypothecated China's gold, Germany's gold. Took Saddam's gold, Gaddafi's gold, and Ukraine's gold to keep the scheme going. You get the point. This ain't Reagan's America anymore.

Russia - resurgent sleeping bear that Hussein Obama poked back awake (dumbass). Biggest energy provider on planet earth. Government-controlled Rozneft and Gasprom are some of the biggest energy companies in the world. While just as corrupt as any other leader, Putin has a 61% approval rating among his people (compared to Bathhouse Barry's approval of 41%). He also has his hand on the energy spigot and drooling at the prospect of a veddy veddy cold winter coming to Eastern Europe, who source about 75% of the their energy needs from Russia. Now phasing heavy sanctions (boomerang sanctions that also hurt Europe) from the West.

Ukraine - biggest free agent on planet earth now that Lebron went back to Cleveland. While they are not technically members of NATO or the European Union, they are a pivotal country that could make or break western dominance. Strategic gas pipelines go through Ukraine, reserves sit in the eastern regions, and they are split between pro/anti-Russian sentiment. See: Crimea, Donetsk, Luhansk. They are the main pivot point that has enabled BRICS nations to expedite their plans to supplant America as dominant superpower.

China - Crooked, corrupt, mischievous emerging superpower (based on sheer volume, size, and momentum). Limited transparency of GDP growth as advertised (averaging 7% over the past decade, while we putter along at around 2.5%), but noteworthy nonetheless. Ghost cities litter the landscape due to overbuilding, overmanufacturing, overindustrializing. Recent 'Holy Grail of Energy Deals' was signed with Russia a few months back. Russia and China, through the recent Russian sanctions, have now skipped the bilateral foreplay and are officially an item, attached at the hip. Also - 100+ countries are waiting in the wings to enter into swap agreements with China. Second biggest US creditor to the Federal Reserve. Victim of rehypothecated gold scheme of the 1990's. Placated with US real estate (including landmarks and JP Morgan HQ). The only thing stopping them taking over the United States is the unilateral disarming of US citizens (forthcoming).

Germany - the main adult in the room among the EU. While damn near close to a recession, they, along with faltering France, are the only ones holding up the European economy right now. Constantly asked to bail others out, their patience is wearing thin. An unspoken alliance to export vehicles, chemical products, and agricultural produce to Russia (a Top 10 trading partner) in exchange for continued energy from Gazprom persists. Germany is also pissed about the NY Fed dithering on the return of their 330 tons of already rehypothecated gold. In the two years since Germany request it repatriated, the US has returned a paltry 10% of it. Germany is now Free Agent #2 on planet earth, and if they join the BRICS, well, sayonara EU and USD/Euro two headed dragon.

Honorable mention:
Saudi Arabia - pumping out 90% water instead of oil. Scared. Funding ISIS along with US, Turkey, Qatar. Free Agent #3 - want to keep things civil with Russia, despite destabilization efforts with regards to Chechen rebels under their control. Pivotal country rumored to be flipping East to the BRICS.
Turkey - Free Agent #4. ISIS benefactor and training post. Assessing current repositioning of global assets to the BRICS. Pivotal country rumored to be flipping East to the BRICS.
Syria - allied with Russia, Iran. Blocking Qatari pipeline to Eastern Europe. Wants to be part of Iran/Russia pipeline through Syria/Turkey/Jordan. Saudi Arabia says No. Victim of false flag chemical weapons attack via rebels, world doesn't fall for it in 2013. Cue up Saudi/Turkey/CIA-created ISIS to destabilize and allow a beachhead for eventual attack on Assad (next blog post).

The Timeline (skipping Arab Spring, Libya, Egypt, Yemen, etc disaster)

Fall 2011 - BRICS Forum held to build cooperation and chart united effort to supplant the current economic world order (40% of world's population, 20% of global GDP, but over 50% of the world's growth over the past decade!!!!)
Spring 2013 -BRICS Summit yields proposal for a global financial institution. Cyprus bank deposit confiscation. It's the 'Cayman Islands' for rich Russian oligarchs and billionaires. Subtle reminder to back off of the middle east and Ukraine. The first salvo lobbed against Russia.
Summer 2013 - botched Syria invasion. As mentioned repeatedly (and now on mainstream dinosaur media), the failed effort to villainize Assad in Syria still stings the globalists. Putin stuffs Obama at the one yard line. No invasion, no soup for you.
Winter 2014 - as the Sochi Olympics dominate the globe, Ukrainian protests persist, US/Soros-funded provocateurs stage a coup on the democratically elected government, President Yanukovych flees to Russia. Puppet regime installed.
Spring 2014 - Putin takes Crimea. Referendums in Donetsk and Luhansk follow. Russian sanctions. Putin now PE#1.
Summer 2014 - Sabre-rattling on the Ukraine border with the Russia-controlled separatists. More sanctions against Russia.
July 15, 2014 - $100 billion BRICS Development Bank officially created, led by Russia/China.
July 17, 2014 - MH 17 gets shot down (false flag if you ask me - aimed at tilting pubic opinion against Putin). Before final embers hit the ground, the world points its insolvent, fiat-currency tinged finger at Putin. Suspicious. More Russian sanctions.
August 2014 - David Cameron calls for the ceremonial removal of Russia from the SWIFT banking transaction system

How does the BRICS arrangement impact current geopolitics?

Current scheme: Middle Eastern nations, led by Saudi Arabia and OPEC, dictate world energy flow and are the anchor to the petrodollar arrangement forcing settlement for energy in USD. If that arrangement falls, the dollar falls, the west falls, WE fall.
Proposed BRICS scheme: Russia, Russia, Russia as new provider of energy. China, India, Eastern Europe, and secretly Germany/Turkey/Saudi Arabia on board for the big pivot. No longer mandated USD settlement. Remember - sanctions work on intended target, but can also boomerang and impact others (ask Poland, whose seen a 40% reduction in gas from Russia over the past month). When we sanctioned Iran over nukes, sure, they felt the pinch. They also emboldened Russia to circumvent the USD for energy settlement, which was brokered by Turkey via GOLD settlement. Beware unintended consequences. Look for gold/yuan/ruble settlement.

Current scheme: Eurasian nations under certain leadership can have censorship, and NSA has the power to enact the global internet killswitch, shutting out any country it wants from internet access. Just ask Syria what happened in 2012 for two days.
Proposed BRICS scheme: set up BRICS internet pathway to bypass NSA spying:

It also warrants mentioning Friday's largest IPO in NYSE history via the Alibaba (newest e-commerce juggernaut) launch. In one day, market cap of $220b surpassed Facebook, eBay, and Amazon. China's here to stay, independent of it's lack of financial and economic transparency. Some of our biggest hackers originate from Iran, North Korea, China, and Russia. A fortified BRICS cable blunt impact and leaves a flaccid western tactic to isolate.

Financial Institutions and Mechanisms of Transacting
Current scheme: the IMF (International Monetary Fund) and World Bank both serve to foster global monetary cooperations, facilitate global trade, and promote economic growth. They are dominated by pro-Western leadership aimed at preserving the USD as world reserve currency but also ensuring the Euro is a stable backup currency. Primary transactions occur through the SWIFT banking transaction, of which over 200 countries conduct confidential financial telecommunications. This is the default medium for institutional and sovereign transactions. To be excluded from SWIFT is a death sentence.
Proposed BRICS scheme: Due to the recent Cameron proposal to boot Russia from SWIFT, along with NSA having unfettered access to every SWIFT transaction, Putin has proposed that Russia create it's own national payment settlement system. These national settlement mechanisms have already gained traction in China and Japan, and should there be closer cohesion among BRICS nations, a BRICS-based SWIFT equivalent would undoubtedly create global economic upheaval. From a financial institution perspective, the $100b BRICS development bank will rival the IMF (growing over time), and the BRICS Emergency Fund will rival the World Bank. They are starting small with $50b, but will ultimately increase steadily over time.

Death Knell: The Gold-Backed BRICS Currency
Current scheme: As mentioned earlier, the USD is the default global reserve currency. Severed from the hard-asset of gold backing in 1971 by Nixon, the impact was seismic to the dollar stability, which resulted in severe devaluation over the subsequent decade until interest rates were juiced to the ceiling by the Volker/Reagan administrations. Luckily, globalist pig/former Sec of State Henry Kissinger brilliantly negotiated a decades long petrodollar scheme that basically forced the world to settle only in dollars, which meant continued interest in US treasuries. It's now widely assumed that Fort Knox and the NY Fed are either empty (in Ft Knox' case - by empty I actually mean 'nerve gas pumped into vaults in the off-chance people want to know the real truth'), or running on empty (in NYFed's case, by empty I actually mean 'underground tunnel system to JPM's recently sold HQ to China real estate company).

Proposed BRICS scheme: It's no secret that the vast majority of any above-ground or currently-mined gold is going STRAIGHT to the East (has been for the past decade, but accelerating since 2011). China/India have a culture of precious metals accumulation, and Russia is loosely behind, albeit at a slower pace. They are hoarding as <3% of Americans invest in precious metals. Cause it's evil to not rely on King Dollar around here. Anyhoo, the ultimate nail in the coffin to the USD is the announcement of a gold-backed yuan or ruble or new currency altogether. This brings the post home - Putin (energy), Saudi Arabia (petrodollar), China (largest sovereign US investor) all have the ability to press the 'Eff You' button and sink America. They are biding their time, and once the alternative institutions are set up, the alternative transacting systems are set up, and the alternative currencies are set up, the world will pivot to the BRICS nations. And we'll be stuck with our trendy iPhone 6's, insurmountable debt repayments, hyperinflation, and a crappy Fantasy Football roster.

I realize this sounds harsh - after all, China and Russia are immature economies without a stable currency that the world can trust (I get that). Their military isn't as good as ours (I get that). Their leaders are corrupt (I get that). But for the love of God, stop being a 'homer'. You know the people who never think 'their' team can lose? 1998-2001 Yankees fans, 2007 Patriots fans, 2013 Broncos fans, you know what I'm talking about. Stop thinking we are unsinkable like the Titanic. Stop thinking we can't crash the economy (psssst - we never recovered from 2008). We are basically Johnny Football Hero that returns to his old high school to sling passes to sophomore wide receivers thinking we've 'still got it'. Everyone acts polite, gives Johnny Football the microphone, let's him think he still has the stuff, but when he leaves, they exclaim to one another, "He's lost some zip on his throws (lower GDP growth). I heard he's a drug addict now (QE/debt addiction) and gets in barfights all the time (foolish wars in Iraq/Afghanistan/Libya, and now the looming abortion that is the rebel-arming to stop ISIS). He doesn't work well with the new guys (BRICS) and has a real big ego and worships himself instead of God (insert any narcissistic American you know here)." The show is about to conclude. Still remember our great country for what it was, not for what it's about to become.