On 16/05/2011 4:52 PM, *e#c wrote:

According to the News, they can borrow no more money...... Things
are going to get interesting.

It will. In theory this is where government shuts down. But unlikely.

But so much fraud in US Fed and DC right now. But they know the hammer
is on, borrow real money at real interest rates or watch hyperinflation
go to the moon. There is already talk of how to debase the US currency
as a world reserve currency. Dollars will become pesos if that happens.

And with the IMF criminal leader charged with sexual crimes, one corrupt
banker pocket boy is down.

This is about the time the US Fed should cease lending to government and
force them to borrow at market rates. Which means a rate hike. If the
USA does not pay people to hold its money, might as well buy Yuan, more
gold or more oil.

Congress people have to decide the future of the USA, bankruptcy or cut
spending for real. No arguments about $60 billion, gone. Or a
punishing message is about to be delivered.

For example, China. China could do as Obama asks, let the dollar float.
It would float down pretty darned quick and relieve Chinese inflation.
It would also devalue US deb China holds. But here is the kick,
overnight US inflation will soar to 20+%. Maybe higher. Liquidity
markets will dry up and US will be into a wild double dip.

Chinese would find oil cheaper, US would find it more expensive.

It would not fix the US economy as Obama/Bernanke fraudsters predict as
you never invest in a depreciating loser without one hell of a good
return. Bank fraudsters ignore, why invest in USA just to see it
depreciate.

In real terms, interest rates might have to rise 10% overnight to
stabilize the US currency. If they don't, people might start using dead
presidents as toilet paper. After all, US Fed now created more new
no-value inflationary money than Americans consume in toilet paper.

Interesting times, but like a puss filled zit, the US debt is coming to
a head.

--
Take a look at ANY country, more debt is more problems. So why do we
allow our governments more debt? Selfishness, greed, denial, ignorance?