By now anyone with sense knows that fiat "monie" is doomed. Sarkozy spent a brief moment in front of the Davos crowd and said last year a new reserve currencie was needed. Before that, Medvedev issued the same claim, and held up some golden coin he probably got from his tungsten reserve. Even Geithner has mentioned a move away from the dollar. He said, "We have considered the SDR.." as a way to stabilize the dollar. Lately many monie managers have joined the rhetoric, and even the MSM is pimping the idea. So what is taking so long for the new world currencie to be instituted?
This coordinated event has many levels. One is that the global governments want to make sure that gold reserves are balanced out across the spectrum accordingly. Russia and China for example have been buying double fisted for the last decade. The other factor is that the rich of the rich are doing the same. Along the way, Goldman and the House of John Pierpont Morgan collect fees telling the dumb rich which way to lay down their wealth.
I am reminded of a brilliantly boring movie made by the inheritor of the Johnson and Johnson corporation. It is titled "The One Percent" and was made by Jamie Johnson. It is a much watch, and details just how stupid most rich people are. They are no different from you and I, and in fact, because they are spoiled, are probably more ignorant than average. Many of the people who hold a majority of the wealth have no idea what to do with it, and along the way, they lose a good portion of it.
So while cash sloshes around the economy like a beer held by a drunk, Lloyd and Jamie and Bernanke collect their fees. It is a giant game of musical chairs. Some people buy the dips, and some people just hold on. Buffet was a dip buyer in '08. Carlos Slim just bought the dip this month. China is buying the dip today.
We do know how this ends though, just not when. Soon what the MSM has been pimping to the populations of the world, that a new reserve currencie is needed, will come to fruition. Until then, the chairs on the deck will be rearranged over and over, and the big dippers will continue to buy all dips in hope that the end means what I call a Corporate Takeover. I say to get off of the fiat boat and steal a life raft. The life raft is physical precious metal.