FEB 14, 2011 - IMF Calls for Dollar Alternative is the news of the day over at CNN Money; which means, if you're a long-time regular, you read it here years ago - e.g. in my 2008 World Forecast Highlights: "Judging from past Trigonalis periods, I think the one we're in now will lead to a new currency regime. This time, it will be global, and it won't be based on one particular national currency." Yeah, the International Monetary Fund (IMF) is now eyeing using "Special Drawing Rights" (SDRs) as a replacement for the US dollar as the world's reserve currency. "In addition to serving as a reserve currency," the CNN article reports, "the IMF also proposed creating SDR-denominated bonds, which could reduce central banks' dependence on U.S. Treasuries. The Fund also suggested that certain assets, such as oil and gold, which are traded in U.S. dollars, could be priced using SDRs." My, my, where have we read that before? Oh yeah, it was in that same 2008 World Forecast Highlights: "I don't see a solution this year, mind you. Saturn and Uranus make their on-and-off opposition last until 2010, after all. The fix begins in 2008, probably after the US Presidential election, but it takes years until the fix is in. That's because just about everybody's ox is going to get gored, before this is done. And since the fix has always been and will ever be a hard money foundation underlying paper currency, you can expect that the international experts will ultimately agree on things like gold, silver, platinum and the like being basic to whatever solution arises. Other commodities will be argued for and accepted to some degree (oil, uranium, silicon chips, photovoltaic cells, etc.), but the foundation will be the precious metals because they are in fact a store of value: always have been, always will be. And, incidentally, an essential part of this restoration entails the price of precious metals skyrocketing in the process of liquidating debt. If that doesn't tell you what to do, you haven't been paying attention . . . " Welcome to the world, CNN!
