John Kerry predicted it. He said that if we ever attempted to reimpose sanctions on Iran, our allies would work to ditch the dollar.
The truth is that the dollar has strengthened, not weakened, as President Trump has gone on an all-out, pro-America, economic offensive. This chart shows the trade-weighted dollar over the past year. President Trump decided in May to exit the Iran deal and the dollar has strengthened since.
We see socialist economies crashing in Venezuela, Turkey, and Iran. We see China punched in the mouth over trade. It is about time as they had been robbing us blind with IP theft and unfair trade practices.
We absolutely should expect to see a blowback. And, we are beginning to see it. While the Trump White House is under assault politically from all directions (Trump lawyer, Trump Inc. employees, Trump supporters in Congress), we are also witnessing an orchestrated plan to take away his strength–the economic expansion. On the domestic side, conservative voices are being silenced by the social media giants and conservative causes are being de-funded by the globalist banking cartels.
The domestic moves are one thing but the push by Europe in favor of a failing Iranian regime and against America is simply amazing. But remember, John Kerry predicted for it. And, there is some evidence that John Kerry has been lobbying for it.
So, while extraordinary that Germany threatens to exit a U.S.-led global payments system, it should not come as a surprise. From CNBC this week:
Defending Iran deal, Germany looks to bypass US payment channels
CNBC, August 22, 2018 Europe should look to bypass U.S. payment systems by creating its own financial channels, a European monetary fund and international bank transfer system like SWIFT, Germany's foreign minister has said.
Writing in the German Handelsblatt newspaper, Foreign Minister Heiko Maas called for the setting up of independent payment channels, largely as a way for European businesses to avoid U.S. sanctions targeting any firms — whether inside or outside the U.S. – that do business with Iran.
"As Europeans, we have clearly told the Americans that we consider phasing out the nuclear deal with Iran a mistake.," Maas said in an op-ed for Handelsblatt on Wednesday . . .
"It is therefore essential that we strengthen European autonomy by setting up payment channels independent of the U.S., creating a European Monetary Fund and building an independent SWIFT system. The devil is in a thousand details," he added. "But every day that the (Iran) agreement continues to exist is better than the highly explosive crisis that otherwise looms in the Middle East."
While the SWIFT system oversees international bank transfers, the creation of a European monetary fund would solidify the bloc's ability to assist countries hit with economic crisis. The creation of independent financial channels would allow it and its businesses to avoid prohibitive sanctions but would likely deepen an ideological schism between the U.S. and Europe that has grown during Trump's presidency. [TO CONTINUE READING at CNBC…]
The Chinese appear gleeful at the prospect:
Germany to explore creation of alternative to SWIFT payment system
BERLIN, Aug. 22 (Xinhua) — Chancellor Angela Merkel's CDU/CSU conservative alliance has welcomed proposals by Foreign Minister Heiko Maas (SPD) on Wednesday to shield German companies from the impact of U.S. financial sanctions by creating a European alternative to the SWIFT payment system.
"I think that the proposal is worth exploring," Juergen Hardt, the CDU/CSU foreign policy spokesperson told press in Berlin.
What the Chinese really want is for Europe to join their anti-American alternative known as CIPS. And they have been pushing for European support for Chinese-based alternatives to the IMF and the World Bank as well.
Of course, exiting the terrible Iran Nuclear Deal was the right choice. And the pressure is working. We may see a free Iran, which would be wonderful for the world. So why would Germany want to interfere and move the world away from the Western financial system we have built up over the past 75 years? The EU is filled with globalists who prefer a weak America.
The reality is that the protests at home, the social media censorship, the political and legal tactics unleashed, and the global denunciations are all tied to the RESIST movement. George Soros is connected to much of this. It is globalist vs. American individualism. It is Global Economic War.
Yes, the dollar's reserve currency status is under attack. But that has been true for quite a while. The difference now, however, is that the attack is now in the open. The good news, though, is that if we make the right moves, the dollar can not only survive but also prosper.