CNBC: Dollar Will be "Utterly Destroyed"

[Nikki Stone1]

http://www.cnbc.com/id/33709379

The dollar will get "utterly destroyed" and become "virtually worthless", said Damon Vickers, chief investment officer of Nine Points Capital Partners.

"We don't have resources. Neither does a lot of Asia to be quite frank," Vickers said on CNBC's Asia Squawk Box. "Countries that have resources -- the Brazils, the Canadas, Australia -- their currencies are doing well."

Vickers noted that their stock markets have done the best year-to-date.

"They have stuff. They've got resources. They export real things. The United States exports 'promises' and 'pretty paper'," he added.

Due to the huge wage disparities between the United States and emerging markets like China, Vickers said that may resolve itself in some type of a global currency crisis.

"If the global currency crisis unfolds, then inevitably you get an alignment of a global world government. A new global currency and a new world order, so we may be moving towards that," he said.

Vickers added that this is the time where investors should be making money when the trend is developing.

"Oil looks higher, gold looks higher, currencies look weaker."

[fascisthunter]

1. congrats uppercrust shit holes

thanks for fucking up the country for the rest of us... enjoy your lavish lifestyles, because it won't last long.

[Nikki Stone1]

2. It was intended to happen.

Hence the withdrawal of protections.

The North American Union and the Amero are coming.

So is the third-world America, drenched in poverty with a drug based economy. (Pot will be legalized; we'll be Afghanistan)

[fascisthunter]

9. I don't place pot on the same level as heroine or poppies use to

make heroine.

But I do know why they are going to legalize it...

First reason, because pot is benign compared to most drugs out there.

Second reason, in hopes of pacifying people during tough economic times. It won't work, but I'm willing to bet that is a major reason they want to legalize pot, in hopes it will put us all into submission.

Third, it will be a boon for a new industry.

[G_j]

10. +1

[earth mom]

71. The North American Union & The Amero are coming. No doubt in my mind.

And what people aren't talking about is that Obama is not going to fight it.

[SoCalDem]

3. Gee whiz..spoken like a profligate blowhard.

Eventually we have to come clean before we can rebuild from the mess..

Stuffing the unopened bills in a desk drawer & lying about them, does not make them go away, and eventually a sheriff will show up on the doorstep.

[Adsos Letter]

6. I apologize for going off-topic, but...

THAT is an absolutely WONDERFUL sig pic! :rofl:

[SoCalDem]

8. got you humming the tune, eh?

sneaky rickroll:)

Thanks.

[closeupready]

4. He may have a point, but he is dead wrong that we don't have resources.

We may not use them and we may not exploit them to the fullest, but we do have resources.

[Subdivisions]

15. Really? Please do elaborate. And, while you're at it, perhaps you can

address the rest of what Mr. Vickers said?

[closeupready]

16. coal, gas, timber, oil, arable land.

Shall I go on?

[Hannah Bell]

37. minerals, science & other infrastructure...that guy is lying with some agenda.

slimy bankster.

[Kansas Wyatt]

60. The U.S. has the world's largest gold reserve.

As the dollar falls, the price of gold goes up.

Suddenly, cheap imports are not that cheap anymore.

The biggest problem for us will be the price of gas.

[roamer65]

66. No one really knows if we do anymore.

Good luck on getting accurate, dependable reports of the exact gold reserves in Fort Knox and other depositories. Personally, I think very little remains after 20+ years of coining gold bullion coins.

[natrat]

72. please, they won't audit the fed and these reserves have not been audited

america is so riddled with corruption

[Hannah Bell]

78. but brazil isn't?

[Jakes Progress]

76. You think a bankster might have an ulterior motive?

Gee. And they have always been so helpful.

You get more truth from rushed limbo than from anyone on wall street. Lying for money. Stealing from children.

[Shagbark Hickory]

5. And how did Brazil climb out of their seriously awful recession??? ....

Regu-freakin-lation.

And lots of it.

[DBoon]

13. and Canada has tha socialist medical program (nt)

[C_Lawyer09]

32. They also

Agreed to cut their export lumber to the Asian specs which is something we refused to do. This was during the period where a lot of timber jobs also started getting cut because of automation. The reason why the U.S. probably will not make a substantial economic come back in the manufacturing or med-heavy industry arena is because of all the super cheap labor being offered elsewhere, don't think we can turn back the clock on globalization. How about establishing a standard for our currency, like gold was prior to 1972?

[enid602]

17. Brazil

Having a $175/month minimum wage also helps.

[elehhhhna]

24. We'll have lovely favelas in the foothills of the garbage dumps. Can't wait!

[n2doc]

22. Having a lot of oil and biofuels helps a lot n/t

[C_Lawyer09]

38. Doesnt help developing countries

With weak political systems, the paradox of plenty axiom unfolds and those in power plunder through it, as other huge problems like deforestation and desertification unfold.

[Enthusiast]

74. Don't forget enforcement. nt

[KansDem]

7. Damn those subprime borrowers! They're responsible for this!

Someone actually said this to me recently when I mentioned the current economic meltdown...:crazy:

[laughingliberal]

64. Yes, according to the revisionist RW pigs the whole crisis was brought on by

1) People who bought houses they couldn't afford
2) Freddie Mac and Fannie Mae with the help of Barney Frank

30 years of deregulation and privatization along with the transfer of all the nation's wealth to the upper 1% had nothing to do with it.

[biscotti]

11. another dude on CNBC

just said he is looking for the dollar to strengthen and that gold & oil looks vulnerable.

[pampango]

12. CNBC has so many analysts saying so many things, you can always find one you like

and was right, at least in hindsight. :)

[Yavin4]

56. Watching CNBC Analysts Is Like Watching Those NFL Betting Experts

"Buy my Week 10 picks and my lock of the century for only $49.99!"

[Xolodno]

14. I call bullshit.

I'm thinking he wants to devalue the dollar further so he can pick them up at a bargain. At some point the gold bubble will pop. Nor do you need "exports" for an economy to survive.

[dschis]

i call on that

You stop making and inventing an economy might "float' for a while. It always goes downhill. Look at history not the math

[TheKentuckian]

18. We have resources. We ship them out to be manufactured into cheap

crap that we buy at WallyWorld and friends all the time.

We need to stop making and consequentially losing money from/into thin air. If we weren't on an almost wholly imaginary economy we'd find a nation rich in resources.

[XemaSab]

19. Since when is there more than one Canada?

:shrug:

[FatDave]

21. He's pluralizing countries to say "places like".

Not uncommon. You've got your Brazils, your Canadas, etc.

[pitohui]

28. but there aren't any places "like" brazil, there's brazil, it's unique

there isn't any place "like" canada

the guy's argument is just spewy bullshit to get himself on teevee and sell useless financial advice, head for the hills, buy gold, it can go nowhere but up because armageddon is hours away, wheeeeeee

[C_Lawyer09]

34. Dont know about heading for the hills

The price of gold and silver will continue to grow if we continue our inflationary practices, and/or don't audit or regulate the federal reserve

[FatDave]

44. Look, question the guys message all you want, but what's the point of attacking his semantics?

Is that going to help get us universal healthcare like the Canadas and Englands of the world? :P

[amborin]

20. that is a right wing mantra; reality is weak $ is good, and helps our exports & economy n/t

[n2doc]

23. I gotta wonder, just who does he think these companies are going to export to?

And frankly, even the EU can't agree on much. A "global world government" is a RW pipe dream.

[ArbustoBuster]

25. What drugs is this idiot on?

The United States has huge amounts of resources. We own half of a goddamned continent.

[pitohui]

26. australia??? their currency is doing well???

their currency collapsed last year, i guess when you're starting from that far down any improvement looks good



us dollar is doing shit because interest rates are shit, there's no use buying treasuries or i-bonds that are paying nothing, i can get nothing by sticking my money under the bed

it isn't australia dollar that's doing so well, it's GOLD

this guy is just talking out his ass and giving some sound bites that sound like he's saying more than he is

[marmar]

30. selfdelete, responded to wrong post

[depakid]

52. Smart people who saw the fundamentals and put their money into Aussie dollars (or certain assets)

Did very well last year.

And it's got a LOT more to do than with gold.

[AusDem]

75. actually against the pound and USD, the aussie

dollar is at the moment close to or at record highs. yes the dollar collapsed earlier this year (i travelled to the US when it was 65cent :( )

but right now its around 92cents.

if only the Chinese would delink their currency, America would see a huge benefit from Chinese tourists, capital inflows, etc, etc.

its something they should have done ages ago. This artificial imbalance is not healthy, and exacerbates a problem that's already causing major headaches, which is the trade imbalance.

[aint_no_life_nowhere]

27. I thought we were supposed to become a nation of savers, not borrowers

The dollar has already taken an incredible beating. I've been concentrating on trying to save instead of going into debt, but my saved dollars seem to be worth less and less with each passing day. I guess you can't win.

[C_Lawyer09]

39. Printing

money when there is a lack thereof causes inflation and weakens the dollar

[Warren DeMontague]

29. I think a lot of these guys deliberately use the phrase "new world order" now just because they know

it makes whack-a-doos of all stripes pee their respective pants.

[roamer65]

31. You cannot triple M1 money supply and run $1.4T yearly budget deficits...

and not expect an eventual dollar crisis. If one thinks that things will just go merrily on in spite of these monetary and fiscal facts, they are really fooling themselves.

[C_Lawyer09]

36. Very lucid

and neccessary response. I've noticed basic economic realities don't get a lot of traction in here. People think you're a troll or against policies that help people.

[anigbrowl]

50. Except that temporary fiscal measures are not meant to become the norm

A Keynesian stimulus is meant as a shot in the arm to the economy, to be paid back when conditions improve. It's like if a business decides to modernize and buys new equipment or computers, one may make a loss that year due to the large capital spending, but that has to be examined in the context of future profit potential vs the opportunity costs of doing nothing and subsequent lack of competitiveness.

We are running a large deficit, but not with an administration that claims deficits don't matter, as if we were going to going to pump out a giant fiscal stimulus every year from now on.

[Deja Q]

33. Well, keep bailing the swindlers out and what do you think will happen, eh CNBC?

A one-world currency and the rest wouldn't be as bad if it were ran by decent people instead...

[Hannah Bell]

35. "We don't have resources." bwah-ha-ha! he's a frigging liar, & there's your first clue.

[malaise]

40. When you borrow money for illegal wars,

allow robber barons to steal gazillions and give remove taxes from the rich expect your currency to crash.

[roamer65]

41. Bingo.

[Dreamer Tatum]

47. Yeah, if those wars were only legal, we'd have a rock-solid currency

:eyes:

[malaise]

62. No yuo don't borrow money

to fight any wars but the Iraq war was illegal.

[Prometheus Bound]

42. "Currencies look weaker." What the hell does that mean?

They only weaken in relation to each other, so if one weakens another must strengthen in relative terms.

I'm afraid the man is drunk in this interview.

[unaffiliated liberal]

46. I believe he means in relation to oil and gold, real commodities, not "pretty paper"

[Prometheus Bound]

48. Okay, that makes sense.

Basically he means inflation I guess.

[SOS]

43. Check out this graph...

The monetary base from the St. Louis Fed. (M-Zero)

"The monetary base is a term relating to the money supply. The monetary base comprises only coins, paper money, and commercial banks' reserves with the central bank. Broader measures of the money supply include the public's bank deposits. These measures of money are classified as levels of M.




I'm no economist, but it would seem that if supply triples, the value will go down.
And if there's three times as much cash in the economy now than last year, how come none of it comes our way?

[unaffiliated liberal]

45. We are royally screwed

Another huge bubble, this time a currency bubble, is about to burst.

[Prometheus Bound]

49. I take it the cash is being used for speculation.

Which is why oil, gold and equities are rising so fast.

We have the same problem over here in China. All this money is being made available to keep things going, but it is being used for speculation, so the stock markets and housing prices are booming, making a lot of billionaires in the last six months, but a bubble's a bubble. It can't last. That's for sure.

[roamer65]

65. A good chunk of it is going to the "dollar carry trade".

Nouriel Roubini calls it the "mother of all carry trades" and when this bubble bursts, it will be very ugly.

[Blue_Tires]

51. isn't CNBC getting tired of being wrong about damn near everything?

[Yavin4]

53. Well, That's One Sure Way To Defeat Outsourcing

If the dollar tanks, then we will officially become a cheap labor market to the rest of the world.

Hooray!

[RagAss]

55. I love it...and so well deserved too...Now the shithead CEO's will beg Americans to work

[depakid]

54. People who listen to or tout CNBC deserve to lose their money

[bobbolink]

57. That stampede you hear is all the poor and homeless people running out to buy gold.

:crazy: :(

Will anyone remember us in this crisis?

Yeah, right.....

[dschis]

58. Thank you

The ranks are growing by the hour, too. To borrow someone's saying, we've got an imaginary economy. We're just interested in war making

[Unvanguard]

59. So? n/t

[jpak]

61. Invade Canada and take what we want - it's the American Way

:evilgrin:

[amandabeech]

68. We tried that twice, and the Canadians (who then were one with the British) whooped our asses.

It used to be much simpler to just buy their stuff.

Actually, though, the U.S. has commodities, too. We have a lot of coal, which I expect will be used eventually. We still have some copper and iron. We still have some phosphorus. We still have a little oil and gas. We have some timber. We have areas with good supplies of wind and solar energy.

We share a huge freshwater resource with Canada.

We have large areas of relatively fertile farmland (which could be made much more fertile with a little work) which require little or no irrigation at this time.

If we're careful and don't pave over everything that's left (we appear to be turning some former urban populated zones into urban forest), we aren't as bad off as many places.

[Nikki Stone1]

63. Notice that they are harping on "huge wage disparities"

Hang onto your wallet...and your unions.

CNBC has declared war.

[Blue_Tires]

67. kick

[Echo In Light]

69. What?! So, ya mean, All *isn't* Well, after all?

[Odin2005]

70. Typical right-wing Libertarian hysteria.

Libertarians are always neurotically screaming about immanent hyperinflation that never happens.

[Feron]

73. Great except for one thing...

you have to work gold in there somewhere. LOL

[Jakes Progress]

77. Plus he makes his money selling made up crap.

First you warn of impending snake rain. Then you sell snake oil.

Lying bastard.