Friday, January 29, 2010

Financial Terrorism

When I worry about financial terrorism, I worry about 'legal' manipulation organized by those with supercomputer-managed trading platforms, proprietary software, 'dark pools' of liquidity and insider crony capitalism access. The US speculative markets have never seen a day when they weren't manipulated.

It didn't require 'Islamists' to shatter the monetary systems or create sovereign debt defaults in places like Russia or Argentina or Iceland or Dubai or Mexico in recent history. Nations are targeted and harvested by organizations capable of amassing the gigantic leverage necessary to move and break markets.

I don't know exactly what 'al Qaeda' is ( it seems to have grown out of the CIA's womb ), but I know that al Qaeda can't spark a run on a currency as large as America's. You need 100's of billions to play on that level, and you also need markets that will take your action. If there's a real run on the dollar, it will come from inside the network of high level finance that is already manipulating our markets every day. al Qaeda could at best piggyback on it.

The dollar is in fact built to be destroyed, like all fiat monetary systems, but the power to kill it lies in the hands of those who created it.

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