By Benjamin Fulford
Last week Zhou Xiaochuan, the head of China’s central bank, announced, in a jargon filled technical interview, that China would no longer be pegging its currency to the US dollar. Instead, the Chinese yuan will be linked to a broad basket of currencies, Zhou said.
This seemingly arcane shift could trigger a collapse in the US dollar, which, as economist Peter Schiff put it “will be the single largest event in human history.”
The fact is that 84% of the US workforce is in the service sector (banking, government, retail etc.), meaning they do not actually make anything. In other words, the Americans do not make enough stuff to pay for the stuff they are getting from the rest of the world. The corporate propaganda media still cling to the lie that the US is the world’s biggest economy and China is number two. That is outright fiction. The Chinese, for example, produce 11 times more steel than the US and, in the last 3 years alone, have produced more concrete than the US used during the entire 20th century. The Chinese have decided enough it enough and demanded real payment for their goods, not so-called US dollars.
The significance of the shift has been underlined by the double digit collapse in world trade in January and the shutting of US ports. Chinese exports in January fell by 11.2% year on year while imports fell 18.8%. Most of this was related to the US. The message was clear, the US was not going to be allowed any more to pay for stuff with money printed out of thin air.
This Chinese move is what prompted US Corporate Government Presidential spokesperson Barack Obama to ask Chinese elders and the Rothschild family for permission to devalue the US dollar, which was, as reported here last week, denied.
The failure to get permission to devalue the US dollar prompted Obama’s handlers to call an unscheduled emergency summit meeting of ASEAN heads of state last week in California.
In fact, the real meeting that took place in California was between General Joseph Dunford, head of the US military and General Mulyono, chief of staff of the Indonesian armed forces. The purpose of this meeting was to discuss gold, lots of gold, according to US based Pentagon sources and Indonesian based CIA sources. As a result of this meeting, the US was given the right to finance itself by exporting gold to China from the gigantic Freeport McMoRan mine in Papua. According to the CIA source, the gold ore is turned into slurry and pumped straight into ships that take it to Hong Kong for refining. The amount is unknown but apparently enough to keep the US government functioning.
Furthermore, at this meeting the US military was given permission to develop a massive new platinum and gold deposit and set up bases on Indonesian islands near the South China Sea. The Indonesians will get a large piece of the action, plus protection, in exchange for their cooperation, the sources said.
The bigger story behind all of this is that the US military has been building a global military alliance to make sure we do not end up with a one China world…
The full report will be posted on Thursday…
Benjamin Fulford has worked in Japan as a correspondent for Knight Ridder, the International Financing Review, the Nihon Keizai Shimbun English edition, and the South China Morning Post before moving to Forbes magazine, where he was the Asian Bureau chief from 1998 to 2005. His investigative reports pursued scandals in the Japanese government and business world. After leaving Forbes he wrote a series of books in Japanese some of which became best sellers, and began publishing on the internet.