Business

China has vowed to plunge the world into an economic crisis by crashing the stock markets by 75%, which will be worst felt by Britain and America, a financial expert has warned.  The West is feeling the negative impact of the sinking value of the Chinese currency already, which has almost crippled British industry which can’t compete with China’s cheap exports. Experts are now predicting a financial “ice age” for the global economy which they say is coming soon.

Back in March of last year we noted, with some incredulity, that some 30% of China’s newly-minted day traders had an elementary education or less. Even more incredible, we learned that nearly 6% of the country’s new “investor” class were illiterate.

Submitted by Nick Giambruno via InternationalMan.com,

The chaos that one day will ensue from our 35-year experiment with worldwide fiat money will require a return to money of real value. We will know that day is approaching when oil-producing countries demand gold, or its equivalent, for their oil rather than dollars or euros. The sooner the better. - Ron Paul

Ron Paul is calling for the end of the petrodollar system. This system is one of the main reasons the U.S. dollar is the world’s premier reserve currency.

Having made its warning to the Fed loud and clear ("if you hike or otherwise push the USD any higher, we will crush your markets by devaluing the Yuan against everyone but mostly the USD"), the PBOC continued the fragile ceasefire between the world's two most powerful central banks, when moments ago it kept the onshore Yuan virtually unchanged, by weakening today's fixing by 0.03% to 6.5637. However, as can be seen on the chart below, this has barely even registered.

Submitted by Lance Roberts via RealInvestmentAdvice.com,

Peddling Fiction

On Tuesday, as I watched the President’s State of the Union Address, the President made the following statement.

“Anyone claiming that America’s economy is in decline is peddling fiction.”