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I have tried to figure out where all of the geopolitical events have been pointing to over the last several years and more so this past 12 months.  As you know I believed that China has been positioning herself as the “financier” and Russia as the “muscle.”  Just over the last 2 months this courtship has flourished and gone way past just “kissing.”

The situation in the Middle East has gotten sideways as ISIS is now altering and testing so many of the past allegiances.  The Syrians, Iraqis, Saudi Arabians, Egyptians and Iranians are all affected by the ISIS movements.  The Syrians and Iraqis are currently at battle with ISIS while the Egyptians and Saudis have mobilized personnel and equipment at their borders in anticipation of need.  The Iranians and Russians have pledged support in protection of Iraq, so far 5 promised Russian MIG fighters have arrived.  Iran has warned Washington to stay out of it, yet President Obama has asked for $500 million from Congress to supply the Iraqis.

The situation is very confusing because in reality the U.S. is funding (has funded) both sides.  ISIS is an offshoot of Al Qaeda.  Unbelievably the U.S. gave them funding and arms to wreak havoc in Syria, they have now turned, decimated and claimed parts of northern Iraq.  They previously abolished Saudi, Prince Bandar warned about this situation several months back.  He is now back as a (the) top advisor in Saudi Arabia and is warning that ISIS will turn toward the Saudis.  Please understand how convoluted this has become because the Saudis are mainly Sunni, so is ISIS.  The point that I am trying to make here is that previous alliances and grievances are changing and even switching sides; the situation is very volatile and let’s not forget the “business side” of it.  This warfare is taking place in and around oil fields and pipelines which is why any of the large powers have an interest in the first place.

With the above in mind, ask yourself what the Chinese and Russians must think of what is happening.  What must they think of U.S. stance and policy?  Do they even know which side we are on?  Do we?  Does Washington?  My point is this, they do not know what to expect out of the U.S. anymore.  It used to be that the world knew exactly where we stood and what we would do if crossed, this no longer exists.

OK, we also know for a fact that the Chinese/Russian alliance is planning a push to unseat the dollar as the world’s reserve currency.  We just got this news out of Russia that a “World Bank” is planned by the Chinese before the end of the year.  We have seen energy deals, currency swap deals and even physical gold exchanges being created to compete directly with the COMEX and LBMA paper “comic” exchanges.  It is clear that this is happening, being done on purpose and has been in the planning stages for quite a while (probably since 2008).

I have a theory that makes sense even if you do not understand the geopolitics of it all but makes perfect sense when the geopolitical background is known.  I believe that the Russians and the Chinese are fearful of how the U.S. will act in the Middle East.  Who will we side with?  Will we try to secure oil production and delivery (as we have for 70+ years) via proxy or outright aggression?  If the situation were to go against our wishes would we use (again?) tactical nuclear weapons?  Could a nuclear war go full on foolish?  I don’t believe that China or Russia really knows the answers to this because there probably are no correct answers as scattered as our foreign policy and response is in its current state.

I believe that the real question at this point is how Russia and China neutralize the possibility that the U.S. does something really foolish, here is my theory.  I believe that the Russians and Chinese have already figured out that the best way to diffuse the situation ahead of time is financially.  It is my opinion that they know that if they crash the dollar it will make it very difficult for us to operate.  Just as Napoleon ran out of money and had to retreat, I believe this is again the strategy, to make us “run out of money.”  If the dollar were purposely crashed, our bond markets hit with sales AND the price of gold marked up in huge fashion it would weaken our war making ability.  Truly the easiest way to crash the dollar is to put gold and silver into orbit, (another way would be if a scandal so big, TOO BIG for even the American people to sleep through were to come to light.  Keep this one in the back of your mind because we do live with a closet full of skeletons).

If I know this and you know this…they knew this before we did.  They have the financial ability and the “weight” already stacked and vaulted with a physical exchange close to going live.  Let’s call it “motive, ability, and need.”  Usurping the U.S. has been the plan in my opinion for at least 5 years now, however the situation has become dangerous, U.S. foreign policy has become a loose cannon and “time” is running out.  When I say that time is running out I will finish with the old saying “desperate people do desperate things,” sometimes it’s a good thing to stop them ahead of time.  I think this is exactly what the Russians and Chinese are thinking; they need to stop us from doing something desperate.  If they can do this financially there is a possibility that no shots will be fired, slim but still a chance.