Helicopter Ben Officially Begins Cluster-Bombing World with Dollars
Thursday, November 4, 2010 at 3:42PM Remember WKRP in Cincinnati? One of the funniest sitcom episodes in the history of television is the episode of WKRP in Cincinatti where Arthur "Big Guy" Carlson and Les Nesman have a thanksgiving day promotion and decide to "let loose" turkeys out of a helicopter above a supermarket parking lot. As anyone who has seen the episode can attest, chaos ensues!
As WKRP fans know, Arthur Carlson only ran the radio station because his mom owned it and while a nice, lovable man, he had no clue how to run a business. That's a lot like Ben Bernanke. Bernanke's never had a job in the real world and spent most of his life playing with theories in an academic setting.
Yet, here is the difference between Arthur Carlson and Ben Bernanke. Only Ben Bernanke, after having tried to do the turkey promotion once would try again! After QE I was a failure, as predicted and stated here, he has decided to once again try to make turkeys fly. Oh the humanity!
The market woke up this morning after initially thinking what they heard from the Federal Reserve was just a bad dream and realized that this nightmare is real and began to panic sell out of US dollars.
Anything denominated in dollars was up substantially on the day. Gold, the ultimate measuring stick of any currency, rose a whopping $43.95, or 3.26%, to settle at a new all-time high of $1392.50, $7.50 from hitting Ed Bugos' 2010 target price of $1,400.
The Dow was up 219.71 points, Nasdaq up 37.07 points and oil neared $90, a 6 month high.
Even before Ben's grand announcement, agricultural commodities had been spiraling out of control in recent months. In the last two months alone, corn prices are up 29%, soybean prices are up 22%, orange juice is up 17%, and sugar prices are up 51%.
And that was before Ben even started his dollar cluster bombing.
As we stated yesterday, this great devaluation of the US dollar had to have caught the attention of the US' creditors, not least of which are China and Germany and today they both expressed grave concern for the Fed's actions.
An advisor to the China central bank stated in a Reuters article today, "As long as the world exercises no restraint in issuing global currencies such as the dollar -- and this is not easy -- then the occurrence of another crisis is inevitable, as quite a few wise Westerners lament."
In Germany, Economy Minister Rainer Bruederle said on Thursday he was concerned at U.S. efforts to stimulate growth by injecting liquidity into its struggling economy, stating, "I view that not without concern."
Our TDV portfolio has skyrocketed in recent months but at a time when many of our subscribers are literally making fortunes we are certainly not thrilled that we are making these great gains at a time when so many are and will be suffering from the actions of the Federal Reserve - something that, if not ended soon, could result in mass starvation inside the continental US as many find that their dollars no longer buy very much of necessary food items - and if this continues much longer, and there is no reason to think it won't, a complete collapse of the dollar will leave millions penniless and jobless and the government itself will also be bankrupt and even food stamps will not be worth anything.
We may be within months of a serious crisis inside the US caused by the collapse of the US dollar. Subscribe to The Dollar Vigilante today for only $15 (Basic) or $25/month (Full Subscription with stock recommendations) to keep abreast of all the news and analysis you need to survive and prosper through the coming currency collapse.
Jeff Berwick
Chief Editor
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