Nonetheless, as the majority work unconsciously toward retirement, the goal is to earn as much money as possible. Too many people live to work rather than work to live. Our economic system is based on money that is issued and backed by the government of the nation as a debt for the services rendered. This is referred to as ‘legal tender. Did you ever think to yourself what is the money we crave actually supported by? You might read the words, ‘In God We Trust and say to yourself it’s issued by the Almighty, we are safe? 

When the Central Banks were created, the shares issued were purchased by taking loans from the government, funded by the taxpayer and eventually controlled by a private family,  known as the Rothschilds. The father had many sons and eventually, they were divided around the world to establish Central Banks within diverse nations.  These Central Bankers financed wars to advance the ego of leaders like Napoleon whose intentions were to rule by conquering the world. The growth of Empires like the Romans, British and Americans all needed money to expand. No money, no honey, sounds more like my love life?

The money issued was based on the amount of gold that was held within the treasuries, therefore, limiting the amount of money released into the economy. This control preserved the VALUE.

Later in time as the economies grew and consumerism developed even before the Industrial Age, the introduction of fractional lending allowed the Central Bankers to print more money. For example, let us say for every 1oz of gold 1 unit of currency was issued. As the economy grew they would issue 5 units. They would lend it to the banks, which would lend it to the consumer. In return, the Central Banker would receive interest and the cycle would continue by enriching the Central Bankers who now owned the shares.  They controlled the wealth accumulated at the expense of the People (taxpayers).

Fast forward to the present, the emergence of China as an economic Super Power was the result of a decision initiated by President Bill Clinton in 1999. Along with his Key Central Banker, Alan Greenspan guiding the economy(eventually leading to the Subprime Lending debacle), they introduced China to the World Trade Organization (WTO). The Chinese were given a special status referred to as a ‘Developing Nation’. As such their exports were taxed at 1% whereby imports from other nations into their country were taxed at 25%. This ultimately destroyed the Middle Class in America, sending manufacturing jobs, patents and sensitive technologies to China with little or no security concerns. It was strictly designed to enrich large Corporations by severing ties with employees’ high wages and benefit obligations.

Consequently, today China has displaced America as the #1 economy and Russia has been empowered. Recently, the Russians are being enriched by the backward policy of economic sanctions over Ukrainian which is hurting Europe economically. These two Nations combined have actively built their reserves of precious metals, openly.  This past week, with no media coverage or concern from sovereign nations,  the Chinese and Russians have issued a New Reserve Currency backed by Precious Metals, Rare Earths and Minerals. The type of resources the world needs to maintain the production of almost every consumer product and technology.

Click here (Worth Watching) and listen for yourself:

https://www.tiktok.com/@itsfl1ppa/video/7124683943814745349

Meanwhile, The American Dollar which is still considered the Benchmark currency of the world could be jeopardized? In the early 1970s, the Nixon Administration abandoned the ‘Gold Standard. As a result, the government started printing money freely on a whim. This caused hyper-inflation with interest rates soaring above 20%. There were all kinds of shortages, rationing of gas and a similar scenario as we see today. The Biden Administration has printed more than $7 Trillion Dollars within the last two years. Nazi Germany did the same and eventually, their currency became worthless.  In my opinion, printing money is a deliberate attempt to induce an implosion in the economy through hyperinflation. It is very important to manage your expenses and differentiate between a necessity and luxury. It will be a rough ride either way and understand food and water are a priority to sustain life. 

We look toward the Federal Reserve meeting and their interest rate decision. The official inflation rate is above 6% in reality much higher. It is most likely they will raise rates, remaining vigilant. The real concern is how aggressive will the decision makers be without shattering the lives of real people dependent on credit. The USD Index remains buoyant around the 107.0 level and currencies are weaker overall. The Price of Oil remains stable at around $96/B while Precious Metals are firm but overall weaker. Gold above $1710/oz and Silver around the $18.70/oz level. Durable Goods were up (0.7%) expected (0%) but USA Pending Home Sales dropped <8.6%> vs <2%>, expected in June. This could be a result of people losing employment or not being able to qualify for a mortgage. The Canadian Dollar as usual a by-product of USD strength or weakness presently sits around the 0.7750 level as all prices are based on the USD and indications only. The fireworks are about to begin! Call me direct for pricing and your foreign exchange needs!