Adonis Diaries

Most of us, we barely manage for our salary to meet the weekly expenses and we surviving day in day out.  The lot of us think that the speculative games of the rich classes with currency trading is none of our concern.  When foodstuff prices increase (never to come down again), when utility bills increase so that a government pays a public debt due soon, and when most products and services (you are made to badly need) have increased while the paycheck  has been pretty “stable” for two decades then, you feel lost:  The first thing that comes to your mind is that wholesalers are retaining the goods in warehouses so that demand upset offer.

When your currency devalue, foreign merchants buy your export products to selling them to markets with over-valued currencies, and thus, making two kinds of profit:  One profit generated from difference in currency values and the other profit from trading the goods.  Wholesalers prefer to sell their products, in periods of poor rate of production, to buyers with stronger currencies than yours and also profiting in two ways.

However, if instead of foreign merchants making good use of your devalued currency, it is your rich citizens who are borrowing most of the money from your banks at reduced interest rates in order to transfer and deposit the money in foreign banks with high interest rate of returns then, you know that your economy is in terrible shape.  The money you deposited in the banks and the money that your government infused in the banks (your tax money) are not made to circulate to enhancing internal trade and supporting family and small enterprises but to enriching the richest classes quickly through financial speculation.

Consequently, when banks prefer to lend money to the rich (their own people of the financial oligarchy) you will be unable to borrow money to maintaining and developing your family enterprise; thus, the national production diminishes and it can no longer match with demand; the wholesalers tend to sell to buyers with stronger currencies and making substantial profits.

Currently, the US  is emulating England by printing money that internal trade does not need, but that the rich classes want to trading on stronger currencies in Brazil, India, Turkey, South Africa, and Russia with much higher interest rates.   Excessive printing of “useless money” for the common people and for the internal trade is labelled “financial quantitative easing” mechanism.    The financial “quantitative easing” mechanism is simply meant for encouraging the  international financial institutions to speculating on stronger currencies and ruining healthy emerging economies.

If you know that financial transactions around the world amount to 5 trillion per day (more than what all the global States managed to saving per year), and is cumulated with the irony that 95% of these transactions are speculative in nature versus 5% for exchanging goods  then, you know that healthy commerce in goods and services (other than financial gimmicks) are not going to increase the standard of your living or anyone among the common people on earth.

When the US starts the printing press of money full blast while the internal market is flooded with unused liquidity by the common people then, every normal citizen should brace for the worst case scenario:  The common people will end up paying the tab for all the speculative transactions trafficked by the richer classes overseas.   The US is not printing money to enhancing internal market trade or to encouraging small enterprises to get going.

By the time currency speculation war destabilizes world financial mechanism, the real tragedy will be felt by every one around the globe.  The only exit left, to resolving the excesses of jobless lower middle-income people among the superpowers, would be to arranging for a global war against common creditor enemies with rich reserves in natural raw materials. This cycle never failed so far, regardless of international institutions erected to ward off global wars.