Zoltan Pozdar
Back in May 2022, Former Federal Reserve and U.S. Treasury Department authorities, Zoltan Pozsar, recommended that the present supremacy of the United States dollar remains in concern due to future conditions of the globalized economy.
Zoltan cautioned that of specific interest is the increase of China, the dispute in Ukraine and the subsequent sanctions, and the increase of cryptocurrency.
Zoltan likewise recommended we might be observing the very first shifts towards a multipolar world and deglobalization.
Zoltan Pozsar made comparable remarks in March 2022, including, ” We are experiencing the birth of Bretton Woods III– a brand-new world (financial) order focused around commodity-based currencies in the East that will likely compromise the Eurodollar system and likewise add to inflationary forces in the West.”
Zoltan stated this crisis is not like anything we have actually seen because President Nixon took the U.S. dollar off gold in 1971.
Confounded Interest has more on financial expert Zoltan Pozsar’s forecasts.
Credit Suisse’s Zoltan Pozsar argues Bretton Woods II collapsed when the G7 nations took Russia’s forex reserves. Keeping cash inside banks like the IMF was thought about danger totally free. That is plainly no longer the case. Bretton Woods I collapsed when Nixon took the United States of the gold requirement back in 1971 when dollars were convertible to gold at a repaired exchange rate of $35 an ounce. This resulted in Bretton Woods II, backed by “within cash” or the dollar, which itself is not connected to gold or any other product.
Now the basis of this system, which has actually run for the past 50 years, is being cast doubt on. The sanctions on Russia, which revealed that reserves collected by reserve banks can just be eliminated, raised the concern of “what is cash?”
That concern might describe why Pozsar thinks a substantial shift in the method the world arranges cash and reserves is now in progress, “producing a “Bretton Woods III backed by outdoors cash,” (gold and other products). Including petroleum and bitcoin.
At least petroleum has actually fallen listed below $100 as Biden happily drains pipes the Strategic Petroleum Reserve (SPR). Gas rates have actually fallen a little as this is being done prior to the midterm elections with political, not financial, intent. As soon as the midterms pass, will Biden continue draining pipes the SPR till there is little left requiring the United States to transform to “green energy”?
The post Economist Zoltan Pozdar Warns of End of the Current United States Dollar Dominance appeared initially on The Gateway Pundit
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