There is something seriously wrong with the US Dollar. It has been refused by more and more countries as of recently. Dunno know exactly what's going on but its doesn't look good.
--------------------------------------------------------------------------
It seems something might be "in the works" according to some info that has recently surfaced....First it appears that Russia's Central Bank has ceased to support the US dollar!
Also an e-mail from a reader (below) is saying that this is just the tip of the iceberg and IF the information in the readers e-mail is correct, it very well may signal that an attack is coming upon the United States in the near future, or that the "attack" IS this flurry of activity to sell off US dollars in an attempt to "take us out" financially
Here is the story followed by the readers e-mail to RMN.
This was found on Old / Expired Link
source: Old / Expired Link
******************************************************
Central Bank Stops Supporting Dollar
Oct. 22, 2004
News From Russia
The weighted average dollar exchange rate was 29 RUR/USD in the first 90 minutes of trade at a special session today. Thus, the official dollar rate for October 23-25 will decrease by RUR0.12. This is the most considerable one-day drop of the dollar against the ruble since late April. The low on the deals was even 28.95 RUR/USD at the UTS.
According to commercial bank dealers, the Central Bank has not supported the dollar despite a large selling of dollars by market participants.
Banks sold over $436m at a special session at 11:30 a.m. Moscow time. Yesterday, the trade volume was just $19m at the UTS at the same time. The average lot of dollars to be sold was $1.7m in the first 90 minutes of trading.
A Bank of Moscow expert told RBC TV that the trade volume on MICEX including a special session for today deals almost reached $1bn in the first 30 minutes of trading. The expert said that the Central Bank's activities could be attributed to the dollar's decrease on international exchanges and growth in the gold and currency reserves in Russia. However, the Central Bank's leaving the market at the end of the week was quite unexpected. The specialist thinks that the Central Bank is currently concerned about its obligations on preventing inflation.
**********************************************************
From a reader....
U$D Selloff Continues in Eastern Bloc
Oct. 22, 2004
Many of you don't know I am a hedge fund trader specializing in currencies.
I talk to people from around the world every day.
This came my way the other day from a contact in the biz and I thought you
might be interested in it. The last time there was this much urgency to dump
the U$D in that area of the world was a few months prior to 9-11.
This could mean something and it could mean nothing....but we take notice in
my line of work.
Name Withheld
____________________________________
message:
Hey Name Withheld,
I just got another email from the guy I told you about before in Cz Repub.
who owns 3 money changing houses and is an FX Spot trader as well . This is
his broken email to me summarizing, the USD is flat out being dumped, still.
It isn't making headlines for some "reason". He, as you may remember I told
you, has a strong tie to a large bank in Cz...banker said they are flooded with
USD from people changing their accounts over to another currency...EUR, Cz
money etc...anything to get out of USD. The Chinese he says there are dumping
all their USD. We're not talking FX specs, we're talking mom and pop dumping
what they thought a month ago was a solid hedge…the USD.
The person has sent me two other emails in two weeks saying the same
thing..one of which you got already, evidently it is an ongoing thing to sell off
USD. I didn't know the Chinese are heavy into Cz but evidently they are and
dumping USD too. He says yards (Billions). After all, he's the one changing it!
Take it for what it's worth but be real quick with that close button on your
Euro shorts should the house of cards implode faster than we thought. It's
already jumped the gun 2-3 weeks in my book. Here is the letter from Prague
contact: Dear XXXXX! Thanks for ur advice..I'm too flat now just waiting. but
if we don't go back to 1.2450 (Eur-Usd) in the next 48 h, that meaning my
friend the crash is sooner then later...it seems something from the G7 to take
the usd down. I wana to be honest with u I dont like the rush from big Chinese
fish here they are selling the usd at this level and buying any thing
CZK..PLN..SFR...EUR..everything. they start from the morning ..and I‚m talking with
a huge number as real money..they are changing their USD accounts and
..XXXXX Im talking about yards (Billions) my friend here in the CZ say the Chinese
have a large biz..operation..our CB(Central Bank) today cant to hold the
crash. it was the first time when the usd in czk at 24,95. Good luck my friend
thank you once again luck see u soon....
End
____________________________________
Now the panic on the Chech guy is this....he sees Chinese dumping billions
of U$D a day through HIM, not caring about the rate. He has no option but to
facilitate the transactions. So he is now LONG a huge amount of U$D in a
market that has his Chinese customers freaked out so much they are totally
ditching the U$D for anything else they can get liquidity for. This guy now has to
go into the Interbank market and try to get rid of this huge U$D position,
but needs to ditch it ASAP to avoid taking a huge loss on it. But there aren't
many buyers looking to stock up on the U$D lately, so it starts to fall.
What can happen is if he and others stop buying the U$D due to the risk, it
starts to fall and the Central Banks have to step in. last fall there was a
brutal U$D sell-off that lasted from Sept to Jan. The Bank Of Japan spent an
incredible amount of U$D (Trillions) trying to slow the fall. We made a huge
amount of $$$ off it too. The "fundamentals" don't say it should happen again
this fall but it is looking that it might anyway due to the above activities
perhaps.
In the FPT this could be a precursor to some kind of attack against
American interests.
Name withheld
--------------------------------------------------------------------------
Cuba Ends Use of Dollars in Businesses
Oct 26, 2:54 AM (ET)
By ANITA SNOW
(AP) Cuban President Fidel Castro, with his arm in a sling, is seen on Cuban TV, Monday, Oct. 25, 2004...
Full Image
HAVANA (AP) - Moving to wean its communist economic system from the U.S. currency, Cuba said that dollars will no longer be accepted at island businesses and stores in a dramatic change in how commercial transactions have been done here in more than a decade.
The resolution announced Monday by Cuba's Central Bank seemed aimed at finding new sources for foreign reserves and regain more control over its own economy as the U.S. government steps up efforts to prevent dollars from reaching the island as part of a strategy to undermine Fidel Castro's government.
Cuba's national currency, the peso, cannot be used with international partners.
"Beginning on November 8, the convertible peso will begin to circulate in substitution of the dollar throughout the national territory," Castro said in a written message read by his chief aide Carlos Valenciaga.
In his message, Castro asked Cubans to tell relatives living abroad to send them money in other foreign currencies, such as euros, British sterling or Swiss francs.
The move was likely to hurt mostly those Cubans who receive American dollars from relatives living in the United States.
Cubans and others on the island can still hold dollars in unlimited quantities and can change them into pesos before the new policy takes effect. But they will have to pay a 10 percent charge to exchange dollars afterward. There will be no such charge on changing other foreign currencies, such as Euros, into convertible pesos.
"In the short term, there may be a slip in the remittances," said John Kavulich, president of the U.S.-Cuba Trade and Economic Council, which tracks business between the two countries. Some estimates on annual remittances to Cuba are as high as $1 billion.
"But going into the holidays, people in Miami and New Jersey won't want the holidays for their families on the island to be even more miserable," he said, predicting remittances from those major Cuban American communities would pick up again, despite the difficulty of sending them and the 10 percent charge.
Kavulich said the timing of the announcement seemed aimed at drawing attention to Cuba shortly before the U.S. presidential election.
"The Cuban government is hoping that Kerry will win and that by announcing this a week before the election it will keep Cuba in the news and relevant," said Kavulich.
He said that because Havana is blaming this new economic measure on the American sanctions, the debate over the U.S. trade embargo will be in the public eye when the elections occur.
Cuba also has been seeking to draw attention to the U.N. vote scheduled for Thursday on condemning America's trade embargo against the communist nation.
"The trick will be to force Cuban citizens to accept the Cuban convertible peso and be just as comfortable putting them in their mattress as their dollars," Kavulich said.
The U.S. dollar has been a primary form of currency in Cuba since the early 1990s, when the island government was forced to implement liberal reforms to cope with the loss of Soviet aid and trade. The possession of dollars was legalized in 1993 to draw hard currency from tourism and from family purchases at state stores.
The government said the change is necessary to protect its economy as the administration of President Bush seeks to punish banks and businesses that ship American dollars to Cuba, which has been under a U.S. trade and financial embargo for more than 40 years.
Earlier Monday, the U.S. Treasury Department announced in Washington that it had identified an electronic money transfer business that it suspects is linked to Cuba and thus will not be allowed to do business in the United States.
It alleged that the company, Sercuba, allows people in the United States to send money to Cuban nationals via a third country or through Sercuba's Web site in violation of the U.S. embargo.
Castro looked animated, despite the bright blue sling he sported over his olive green uniform to support a broken right arm. Castro has made a point of remaining involved in government affairs since accidentally falling Wednesday at a speech, also shattering his left kneecap.
The measure was tied to the U.S. Federal Reserve's decision in May to fine Switzerland's largest bank, UBS AG (UBS), $100 million for allegedly sending dollars to Cuba, Libya, Iran and the former Yugoslavia in violation of U.S. sanctions against those countries. UBS agreed to pay the fine without admitting the allegations.
The U.S. embargo was imposed in 1963 in the wake of Fidel Castro's defeat of the CIA-backed assault at the Bay of Pigs two years earlier. Americans are barred from traveling to the Caribbean island nation except with a U.S. government waiver.
--------------------------------------------------------------------------
It seems something might be "in the works" according to some info that has recently surfaced....First it appears that Russia's Central Bank has ceased to support the US dollar!
Also an e-mail from a reader (below) is saying that this is just the tip of the iceberg and IF the information in the readers e-mail is correct, it very well may signal that an attack is coming upon the United States in the near future, or that the "attack" IS this flurry of activity to sell off US dollars in an attempt to "take us out" financially
Here is the story followed by the readers e-mail to RMN.
This was found on Old / Expired Link
source: Old / Expired Link
******************************************************
Central Bank Stops Supporting Dollar
Oct. 22, 2004
News From Russia
The weighted average dollar exchange rate was 29 RUR/USD in the first 90 minutes of trade at a special session today. Thus, the official dollar rate for October 23-25 will decrease by RUR0.12. This is the most considerable one-day drop of the dollar against the ruble since late April. The low on the deals was even 28.95 RUR/USD at the UTS.
According to commercial bank dealers, the Central Bank has not supported the dollar despite a large selling of dollars by market participants.
Banks sold over $436m at a special session at 11:30 a.m. Moscow time. Yesterday, the trade volume was just $19m at the UTS at the same time. The average lot of dollars to be sold was $1.7m in the first 90 minutes of trading.
A Bank of Moscow expert told RBC TV that the trade volume on MICEX including a special session for today deals almost reached $1bn in the first 30 minutes of trading. The expert said that the Central Bank's activities could be attributed to the dollar's decrease on international exchanges and growth in the gold and currency reserves in Russia. However, the Central Bank's leaving the market at the end of the week was quite unexpected. The specialist thinks that the Central Bank is currently concerned about its obligations on preventing inflation.
**********************************************************
From a reader....
U$D Selloff Continues in Eastern Bloc
Oct. 22, 2004
Many of you don't know I am a hedge fund trader specializing in currencies.
I talk to people from around the world every day.
This came my way the other day from a contact in the biz and I thought you
might be interested in it. The last time there was this much urgency to dump
the U$D in that area of the world was a few months prior to 9-11.
This could mean something and it could mean nothing....but we take notice in
my line of work.
Name Withheld
____________________________________
message:
Hey Name Withheld,
I just got another email from the guy I told you about before in Cz Repub.
who owns 3 money changing houses and is an FX Spot trader as well . This is
his broken email to me summarizing, the USD is flat out being dumped, still.
It isn't making headlines for some "reason". He, as you may remember I told
you, has a strong tie to a large bank in Cz...banker said they are flooded with
USD from people changing their accounts over to another currency...EUR, Cz
money etc...anything to get out of USD. The Chinese he says there are dumping
all their USD. We're not talking FX specs, we're talking mom and pop dumping
what they thought a month ago was a solid hedge…the USD.
The person has sent me two other emails in two weeks saying the same
thing..one of which you got already, evidently it is an ongoing thing to sell off
USD. I didn't know the Chinese are heavy into Cz but evidently they are and
dumping USD too. He says yards (Billions). After all, he's the one changing it!
Take it for what it's worth but be real quick with that close button on your
Euro shorts should the house of cards implode faster than we thought. It's
already jumped the gun 2-3 weeks in my book. Here is the letter from Prague
contact: Dear XXXXX! Thanks for ur advice..I'm too flat now just waiting. but
if we don't go back to 1.2450 (Eur-Usd) in the next 48 h, that meaning my
friend the crash is sooner then later...it seems something from the G7 to take
the usd down. I wana to be honest with u I dont like the rush from big Chinese
fish here they are selling the usd at this level and buying any thing
CZK..PLN..SFR...EUR..everything. they start from the morning ..and I‚m talking with
a huge number as real money..they are changing their USD accounts and
..XXXXX Im talking about yards (Billions) my friend here in the CZ say the Chinese
have a large biz..operation..our CB(Central Bank) today cant to hold the
crash. it was the first time when the usd in czk at 24,95. Good luck my friend
thank you once again luck see u soon....
End
____________________________________
Now the panic on the Chech guy is this....he sees Chinese dumping billions
of U$D a day through HIM, not caring about the rate. He has no option but to
facilitate the transactions. So he is now LONG a huge amount of U$D in a
market that has his Chinese customers freaked out so much they are totally
ditching the U$D for anything else they can get liquidity for. This guy now has to
go into the Interbank market and try to get rid of this huge U$D position,
but needs to ditch it ASAP to avoid taking a huge loss on it. But there aren't
many buyers looking to stock up on the U$D lately, so it starts to fall.
What can happen is if he and others stop buying the U$D due to the risk, it
starts to fall and the Central Banks have to step in. last fall there was a
brutal U$D sell-off that lasted from Sept to Jan. The Bank Of Japan spent an
incredible amount of U$D (Trillions) trying to slow the fall. We made a huge
amount of $$$ off it too. The "fundamentals" don't say it should happen again
this fall but it is looking that it might anyway due to the above activities
perhaps.
In the FPT this could be a precursor to some kind of attack against
American interests.
Name withheld
--------------------------------------------------------------------------
Cuba Ends Use of Dollars in Businesses
Oct 26, 2:54 AM (ET)
By ANITA SNOW
(AP) Cuban President Fidel Castro, with his arm in a sling, is seen on Cuban TV, Monday, Oct. 25, 2004...
Full Image
HAVANA (AP) - Moving to wean its communist economic system from the U.S. currency, Cuba said that dollars will no longer be accepted at island businesses and stores in a dramatic change in how commercial transactions have been done here in more than a decade.
The resolution announced Monday by Cuba's Central Bank seemed aimed at finding new sources for foreign reserves and regain more control over its own economy as the U.S. government steps up efforts to prevent dollars from reaching the island as part of a strategy to undermine Fidel Castro's government.
Cuba's national currency, the peso, cannot be used with international partners.
"Beginning on November 8, the convertible peso will begin to circulate in substitution of the dollar throughout the national territory," Castro said in a written message read by his chief aide Carlos Valenciaga.
In his message, Castro asked Cubans to tell relatives living abroad to send them money in other foreign currencies, such as euros, British sterling or Swiss francs.
The move was likely to hurt mostly those Cubans who receive American dollars from relatives living in the United States.
Cubans and others on the island can still hold dollars in unlimited quantities and can change them into pesos before the new policy takes effect. But they will have to pay a 10 percent charge to exchange dollars afterward. There will be no such charge on changing other foreign currencies, such as Euros, into convertible pesos.
"In the short term, there may be a slip in the remittances," said John Kavulich, president of the U.S.-Cuba Trade and Economic Council, which tracks business between the two countries. Some estimates on annual remittances to Cuba are as high as $1 billion.
"But going into the holidays, people in Miami and New Jersey won't want the holidays for their families on the island to be even more miserable," he said, predicting remittances from those major Cuban American communities would pick up again, despite the difficulty of sending them and the 10 percent charge.
Kavulich said the timing of the announcement seemed aimed at drawing attention to Cuba shortly before the U.S. presidential election.
"The Cuban government is hoping that Kerry will win and that by announcing this a week before the election it will keep Cuba in the news and relevant," said Kavulich.
He said that because Havana is blaming this new economic measure on the American sanctions, the debate over the U.S. trade embargo will be in the public eye when the elections occur.
Cuba also has been seeking to draw attention to the U.N. vote scheduled for Thursday on condemning America's trade embargo against the communist nation.
"The trick will be to force Cuban citizens to accept the Cuban convertible peso and be just as comfortable putting them in their mattress as their dollars," Kavulich said.
The U.S. dollar has been a primary form of currency in Cuba since the early 1990s, when the island government was forced to implement liberal reforms to cope with the loss of Soviet aid and trade. The possession of dollars was legalized in 1993 to draw hard currency from tourism and from family purchases at state stores.
The government said the change is necessary to protect its economy as the administration of President Bush seeks to punish banks and businesses that ship American dollars to Cuba, which has been under a U.S. trade and financial embargo for more than 40 years.
Earlier Monday, the U.S. Treasury Department announced in Washington that it had identified an electronic money transfer business that it suspects is linked to Cuba and thus will not be allowed to do business in the United States.
It alleged that the company, Sercuba, allows people in the United States to send money to Cuban nationals via a third country or through Sercuba's Web site in violation of the U.S. embargo.
Castro looked animated, despite the bright blue sling he sported over his olive green uniform to support a broken right arm. Castro has made a point of remaining involved in government affairs since accidentally falling Wednesday at a speech, also shattering his left kneecap.
The measure was tied to the U.S. Federal Reserve's decision in May to fine Switzerland's largest bank, UBS AG (UBS), $100 million for allegedly sending dollars to Cuba, Libya, Iran and the former Yugoslavia in violation of U.S. sanctions against those countries. UBS agreed to pay the fine without admitting the allegations.
The U.S. embargo was imposed in 1963 in the wake of Fidel Castro's defeat of the CIA-backed assault at the Bay of Pigs two years earlier. Americans are barred from traveling to the Caribbean island nation except with a U.S. government waiver.
