The New Monetary Reset
Before the Pandemic began and until February 2020 a few things occurred:
- End of the current debt cycle
- Low inflation
- Slow economic growth
- Major corporations borrowed cheap credit for expansion
Now during this pandemic:
- The Fed enacted ZIRP to lower interest rates
- Very low demand for products grew
- Personal spending collapse due to no real income generation
- Banks made it harder to borrow due to low-interest rates
- The 2nd wave began
All of these factors ushered in the reset or a rewriting of the rules that run society and the global economy. We are experiencing a changing of the value of various asset classes, and replacing it with a new model that is being played out with SPACS.
Major resets are event-based not time specific. Global reorderings take place for one main reason; they need to revalue all things linked to debt.
Debt is at a level where it can no longer be managed. Monetary (banking) and Fiscal (legislative) policy will consist of purchasing, repricing plans, and job initiatives.
As 2nd wave happens that’ll be worse than the other, we will see a halt to of real economic growth that is hidden by a surging stock market; governments will show inflated projections tied to disclaimer nobody will read.
Financial markets will freeze as they recalibrate to fit the new system standers. Gone are the days of the stock market being a vehicle of price discovery. We are now under the rule of algorithmic trading.
These AI bots will purchase the stocks we want to buy at a discount and sell it to us for a few cents higher before we can blink.
Debt jubilees, moratoriums (renter/rentee freeze), loan forgiveness, and mortgage right downs will become the norm.
Central banks will begin purchasing all assets (labeled toxic) at the market rate which is basically zero in order to prop up the banking system.
When al else fells, the global leaders and their bankers will conduct a Bretton Woods 2.0 meeting.
At this powerufl gathering, a new currency creation, consisting of a basket of currencies will be agreed upon. Countries with the most asset and commodities (gold, arable land, crypto) will keep or gain influence in international trade while less powerful countries will be prime for investment from the bigger players.
SDRs, or the money of central banks, will be issued to major financial institutions and central banks to rebalance and usher in a digital currency system.
Note: to know which countries will become power players look at which currencies are within the SDR pool.
Gold will hold no significant power because there is not enough gold to prop up a currency issued by a central bank. Gold and silver are only for individuals.
All regional national currency will be pegged to the new digital global basket of currencies.