PREPARE For 90% Correction? Currency War Escalating But Inflationary Targets Will Fail – World Stuck In Deflationary Super-Cycle And There’s A “Financial Catastrophe On The Horizon
January 22nd, 2013
Jens Weidmann warns of currency war risk
Loading central banks with more tasks and pressing them to pursue more aggressive monetary policies could risk a round of competitive devaluations, European Central Bank policymaker Jens Weidmann said on Monday, citing pressure on the Bank of Japan.
Weidmann is the latest in a string of policymakers worldwide to warn of the threat of a “currency war” as central banks pump out cash to support their economies, reducing their value in the process.
He said the pressure that Japan’s new government has put on the BOJ to deliver bolder monetary easing endangered the central bank’s independence, as did the actions of Hungary’s government.
“Already alarming violations can be observed, for example in Hungary or Japan, where the new government is interfering massively in the business of the central bank with pressure for a more aggressive monetary policy and threatening an end to central bank autonomy.”
Gold Climbs Toward One-Month High as BOJ Expands Asset Purchases
Inflationary Targets Will Fail – World Stuck In Deflationary Super-Cycle
True Wealth Pie Decreasing
Japan came out with their long awaited 2% inflation target,
and currency devaluation scheme, but it is doomed to fail. It will fail like
all these government and central planning currency devaluation schemes because
the one point that nobody gets right now is that the entire world is in the
middle of a twenty-five year Super-deflationary cycle because there is a
depreciating pile of total wealth in the world. In short everybody is broke!
Mature Governments all in Debt