• More on the upcoming Default.

    In response to a rumor that over 61% of Americans are in favor of Defaulting.

    Like the newpaper article indicates, there would be local effects:

    Click here to see better.

    However I suggest that you watch BRICS develop a sentiment toward the IMF going solely to SDRs for the international exchange rates globally.

    Click here to see better.

    Yesterday BRICS laid claim to South Africa swaying influence by becoming global (by continent count anyway) geographically, even with a claim in Europe there if you look real close. My point though is that you have to look at more than Wiki - which says nothing about SDRs at all. Look and listen to the BBC, and SDRs become first-paragraph stuff.

    The important thing to note though, is how so much Bailout Money went into bolstering SDRs in August of 2009.

    Since SDRs are a fictional basket of currencies that shows that China holds no real stock in the Bailout Money bolstering the SDRs. SDRs are actually a reflection of endorsement of private credit in the Fed or whatever central bank presides, and therefore shows how redemption of lawful money is taking effect. Look again at that map - even Australia honors restricted endorsement.


    David Merrill.