Loading ...EU Bail-Ins Coming As Germany OKs Depositor Bail-In
Published in Market Update Precious Metals on 14 July 2014
By Stephen Flood
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The U.S. dollar as a reserve currency is increasingly under review. With the removal of dollar clearing access from parts of the French bank BNP the U.S. government has scored a spectacular goal. A cornerstone to U.S. economic strength is the reserve currency status given to the old greenback. By tinkering with the currency clearing for whatever reason the U.S. has opened Pandora’s box of uncertainty. The fact that these measures against BNP smack of nationalism, by conveniently ignoring the illegal actions of U.S. corporations in foreign jurisdictions over the last decade or two or three, is not even the biggest concern. No, the biggest issue is this; it creates doubt. Now every financial entity worth their salt will ask themselves “But what if?”