Afghanistan UN elections approval unit breaks up under fraud pressure; Gold explodes as foreign banks start pacing back from the dollar!

Gold busted up and out of the old confines as good ol' snarly British antiwar journalist Robert Fisk broke the big news: the Petrodollar cycling system is finally going off the rails as the world's central bankers start digging for a new solution. [This Petrodollar system was the big achievement of the Bush-Kissinger-era big players, they just can't cook stuff up that good anymore. Sorry guys...]

These people are in no mood for all their oil dollars to get devalued by the inflation disaster cooking in the Federal Reserve System, so why not make a new basket currency?! I kind of thought that the "COMEX paper gold" racket would unravel before Petrodollars. Shows what I know :-P

The demise of the dollar

In a graphic illustration of the new world order, Arab states have launched secret moves with China, Russia and France to stop using the US currency for oil trading

In the most profound financial change in recent Middle East history, Gulf Arabs are planning – along with China, Russia, Japan and France – to end dollar dealings for oil, moving instead to a basket of currencies including the Japanese yen and Chinese yuan, the euro, gold and a new, unified currency planned for nations in the Gulf Co-operation Council, including Saudi Arabia, Abu Dhabi, Kuwait and Qatar.

Secret meetings have already been held by finance ministers and central bank governors in Russia, China, Japan and Brazil to work on the scheme, which will mean that oil will no longer be priced in dollars.

The plans, confirmed to The Independent by both Gulf Arab and Chinese banking sources in Hong Kong, may help to explain the sudden rise in gold prices, but it also augurs an extraordinary transition from dollar markets within nine years.

......The Chinese believe, for example, that the Americans persuaded Britain to stay out of the euro in order to prevent an earlier move away from the dollar. But Chinese banking sources say their discussions have gone too far to be blocked now. "The Russians will eventually bring in the rouble to the basket of currencies," a prominent Hong Kong broker told The Independent. "The Brits are stuck in the middle and will come into the euro. They have no choice because they won't be able to use the US dollar."

Chinese financial sources believe President Barack Obama is too busy fixing the US economy to concentrate on the extraordinary implications of the transition from the dollar in nine years' time. The current deadline for the currency transition is 2018.

The US discussed the trend briefly at the G20 summit in Pittsburgh; the Chinese Central Bank governor and other officials have been worrying aloud about the dollar for years. Their problem is that much of their national wealth is tied up in dollar assets.

"These plans will change the face of international financial transactions," one Chinese banker said. "America and Britain must be very worried. You will know how worried by the thunder of denials this news will generate."

Iran announced late last month that its foreign currency reserves would henceforth be held in euros rather than dollars. Bankers remember, of course, what happened to the last Middle East oil producer to sell its oil in euros rather than dollars. A few months after Saddam Hussein trumpeted his decision, the Americans and British invaded Iraq.

Reuters covers the shockwave of fallout over this report, which left gold prices spiking up and out of previous containers.

Meanwhile in Afghanistan the UN Mission is breaking up & having mass epic fail resignations over the failure of a massive election fraud coverup, which was necessary to continue the fiction of Hamid Karzai's 'widespread popularity.' So sad! No, really, though, a lot of people have died to bring things to where they are today -- now the 'State,' such as it was, is further hobbled & ready to be displaced by the Islamic Sharia structure & local ethnic warlords that has only gotten stronger in the region since 1979.

[If the U.S. banking system loses its grip on the opium money, another nail in the coffin there as well.]

UK Times:

The head of the UN mission in Afghanistan has been accused by his former deputy of ordering a

In an attack on the role of the UN in the elections on August 20, Peter Galbraith, who was sacked as Deputy Special Representative to the UN mission in Kabul last week, says that Kai Eide ordered him not to reveal evidence of fraud or to pass it to the authorities.

As a result, he said, the elections had handed the Taleban “its greatest strategic victory in eight years of fighting the United States and its Afghan partners”.

He says that the UN collected evidence that a third of Mr Karzai’s votes were fraudulent. If the claim was found to be true it would push Mr Karzai below the 54 per cent that the preliminary election results give him, necessitating a second round of voting.

Another note -- the radically fuzzy nature of Federal law, which can let people get prosecuted for truly nasty and open-ended reasons. US Attorneys have so many options, their whole layer of the law enforcement system needs further examination...

All credits on these links to Cryptogon.com, which is terrific for all matters along these lines.

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