The Case for Increasing Interest Rates & Depreciating the Dollar

JcollinsEconomics, Premium POM32 Comments

How the SDR Substitution Account will Facilitate US Foreign Debt Consolidation

By JC Collins

There are many reasons why the normalization of monetary policy will need to happen in the foreseeable future. This eventual increase in interest rates will be the turning point which sets off the next stage of the multilateral monetary transition. This is a transition which will address the balance of payments deficits and allow for the equal representation of the emerging economies.

The large accumulation of US denominated securities in the foreign exchange reserve accounts around the world needs to be reversed. This unwinding of the dollars primary reserve currency status must be leveraged against the losses associated with the depreciation of the dollar which will ensue as dollar demand decreases around the world.

De-Fang the Federal Reserve (FREEPOM)

JcollinsCultural, Economics, FREEPOM11 Comments

The Conspiracy on How the Fed is Being Integrated into the Multilateral Framework

By JC Collins

Sometimes the complexity and level of artisan skill required to engineer the multilateral monetary framework is staggering. The socioeconomic and geopolitical shifting which takes place behind the closed doors of think tanks and international institutions would make for intriguing spy-like novels on par with the tales of John le Carré.

Such stories would be reminiscent of the old movie the House of Rothschild where skullduggery and manipulation were used to increase the sovereign debt of European nations. The leaders and Kings of Europe refused to borrow money from Mayer Rothschild and in turn Napoleon conveniently escaped from exile on the Island of Elba in February of 1815 and began to wage war upon Europe again.

Introducing the Alternative SDR2

JcollinsEconomics, Premium POM20 Comments

The Parallel Potential of an SDR1 and SDR2 (Plan B)

By JC Collins

With so much political disagreement on the 2010 IMF Quota and Governance Reforms, as well as the convertibility of the Chinese renminbi and its inclusion into the Special Drawing Right basket, the Plan B monetary reforms are high on the agenda over the next few months.

Plan B action is meant to be implemented by December 15th of this year. That leaves very little time for some of the more complex and political issues surrounding the monetary reforms to be worked out. With the geopolitical stress points beginning to show signs of settling down in somewhat of a stalemate position in both Ukraine and Syria, we can expect that some alternative course of action will be taken in regards to both the 2010 Reforms and the inclusion of the renminbi into the existing SDR composition.

The eventual evolution of the Chiang Mai Initiative Multilateral will act as an Asian Monetary Fund, which will be the micro subservient institution to the International Monetary Fund. The post Meet the Asian Monetary Fund explains the relationship and probability of such an institution emerging in the foreseeable future.

Vietnamese Dong Appreciation & East Asian Exchange Rates (FREEPOM)

JcollinsEconomics, FREEPOM9 Comments

By JC Collins

Every once in a while we need to take another look at the Asian currency situation, and in particular the Vietnamese dong. Long-time readers will understand that the appreciation of the VND is something which I have focused a lot of time on in the past.

When I first heard about the potential of the dong appreciating, the field was trashed with so much misleading and unproven information that it was hardly worth the effort to read and consider. But there was something about the VND that struck a chord with me and I began to dig deeper and analyze the real potential of such a thing happening.

De-Americanizing America

JcollinsCultural, Economics, Premium POM40 Comments

The Cultural and Socioeconomic Interception of Exorbitant Privilege

By JC Collins

The once great American brands are struggling. The recent challenges which fast food giant McDonald’s is facing is representative of a larger trend which is picking up speed. The pace of change is difficult for many in the western world to understand. But only because we are on the inside and unable to grasp the full scope of the socioeconomic and geopolitical transformation which is taking place outside of our culture.

Back in December of 2014 I wrote a piece titled The Implosion of American Culture, where the following was stated:

“This implosion of culture can be seen in the recent racial and political divide which has been given focus in the riots and protests across the country. The media is doing its part to push the CSI engineering into the homes and minds of the disorganized masses. Many speculate that the riots have failed to spread as desired, but I reckon that they were extremely successful in that they leveled up the tension and pre-prejudice for a continuation of the slow motion implosion and transition to the international mindset collective.”

The Great China Investment Strategy

JcollinsEconomics, Premium POM9 Comments

Appreciation of the Emerging Currency

By JC Collins

With the inclusion of the renminbi being openly discussed and accepted by mainstream media all over the world, it is worth taking a few minutes to revisit the SDR Futures investment strategy which was started here back at the beginning of May. Media representatives in Hong Kong, and elsewhere, are starting to take notice that a fundamental change is beginning to take place regarding the renminbi, and a few have reached out to POM for more information and clarification.

Since May I have written very little on the SDRF as I didn’t want to give the impression that the purpose of POM was to get readers to invest in this specific strategy. Though readers could replicate the strategy themselves, the intent with SDRF was to address the demand from readers to know what they could do to protect their wealth and transition along with the multilateral adjustments.

The Coming Commodities Boom

JcollinsEconomics, Premium POM59 Comments

How Low Oil Prices Are Helping Re-Balance the International Monetary System

By JC Collins

The time is fast approaching when the normalization of monetary policy must coincide with the necessary adjustments to the international monetary system. Some of these adjustments have already been taking place behind the scenes with little acknowledgement or understanding of the full scope and scale of the transition.

There has been so much talk about the collapse and corruption of the international monetary system that we have failed to see the adjustments which have already been taking place. Each nudge and tweak takes place through the movement of markets and capital flows. What may appear to be happenstance is in fact a well-planned and orchestrated move to re-balance the international monetary framework.

Seven Confirmations of Seven POM Trends in Seven Days (FREEPOM)

JcollinsEconomics, FREEPOM, Geopolitical22 Comments

And it’s Only October

By JC Collins

“Somehow it seemed as though the farm had grown richer without making the animals themselves richer – except, of course, for the pigs and dogs.” – George Orwell, Animal Farm

Seven important stories emerged in the global media over the past week which further confirms the analysis presented here on POM. Though timeframes and specific data points may vary and fluctuate, such as interest rate movements, the overall trend is moving along the multilateral path which has been defined and discussed here through thousands of pages of research and laborious writing.

It was presented here back on March 25, 2015, in the post When Will China End the Dollar Peg that China would in fact be moving towards ending the peg which it manages against the US dollar. In that post I stated the following:

“One of the biggest questions which we need to consider as the world moves closer to the full implementation of the multilateral financial system is when will the RMB end its managed peg to the USD? Now that the official request has been made to the International Monetary Fund, for the yuan to be included into the SDR basket composition, it is only a matter of time before the ending of the peg occurs.”

The Cloven Hoof of American Politics

JcollinsCultural, Economics, Esoteric, Premium POM28 Comments

A Tool for the Transfer of Human Time and Labor

By JC Collins

The diametrically opposed mandates of America’s main political parties, the Democrats and the Republicans, are two halves of the same hoof. This hoof stomps all over domestic and international issues and serves to produce little of value for the American population. Both parties act as leverage against one another. A sort of political tug-of-war over public opinion, which can be better understood as a balancing of wealth between engineered demographics.

Global Debt Consolidation under New York Law

JcollinsEconomics, Premium POM17 Comments

Enhanced CAC’s and the Coming Sovereign Debt Courts

By JC Collins

Every once in a while I like to dig a little deeper into the complexity of the monetary architecture and the growing sovereign debt challenges which many nations face. These challenges are huge and will take a true multilateral approach to traverse the rugged terrain and reach sustainable solutions. The average posts here only deal in the broad strokes and are unable to transfer the full depth of the multilateral methodology.

The complexity itself can only be processed in stages and intervals. There are likely only a handful of economists and socioeconomic strategist in the world who can fully grasp the intricate mechanisms and related macroprudential policies which are required to address these challenges. There are also other weirdos out there (in addition to myself) who get their kicks from researching and pondering such things.

Perhaps you, the person reading this right now, is such a weirdo. Perhaps not. Perhaps you have stumbled into the POM (Philosophy of Metrics) maze of mysteries for the very first time and feel overwhelmed with the amount of information available here. Fear not, there are many readers and commentators here, in the POM family, who will help you along and assist in answering questions and directing a healthy flow of common debate.