Just an old fashion love song… playing on the radio. You may not have noticed yet what Dave noticed. It may be due to the fact that you didn’t have a Panasonic portable cassette player and pirated recordings of The Grass Roots and Three Dog Night.
Do you know the one word you have heard over and over through the 2009 – 2010 financial season? That’s right – AUSTERITY. Well, that’s a thing of the past. The new word for the 2010 – 2011 financial season is… drumroll please…. HARMONY. That’s right – HARMONY. Actually to be more accurate it’s “harmonization.” To be downright specific… “financial harmonization.”
What exactly is harmonization? Well, you’re getting ready to find out. Dave’s a musician so he knows about harmony. To harmonize you first must be operating in the same key and know what your key note is. For example, in the key of C, you don’t have to be C because you can be E or G and you’re on a different level, but you are still harmonizing. You’re playing a chord and accordingly you sound good and you’re in harmonization with your other players.
Dave has written extensively about the upcoming financial merger of the Western nations and the launch of a new Occidental Currency based on Mervyn King’s plan to bring us all together by divorcing our currency into two halves; the double coincidence of needs half (think debit card) and the store of wealth half (think partially gold-backed 401k). Before we can execute on the merger plan, we first must harmonize the Eurozone with the Dollarzone. To do that, we’re going to need to expand Europe’s EFSF (the European Financial Stablity Facility) emergency stabilization fund and the US/IMF ESF Exchange Stabilization Fund.
Why exactly do we need to do this? First of all The Fed Is Dead. If you don’t understand that statement, then you need to read this post http://tradewithdave.com/?p=7173 .
Secondly Germany is the new United Kingdom and Frankfurt is the new London when it comes to the financial center of the globe. In our search for harmony we decide to go with people who actually know how to make things and make money making things rather than making money by making money off of people making money. That’s not to say that London has been cut out entirely. They have found their own workarounds of Dodd-Frank via LCH Clearnet and the CLS Bank and will be paid their pound of flesh.
So Mohammed El-Erian’s new normal may be a multi-polar world and one of the new poles is Frankfurt where frankly speaking the whole idea of global banking cartels started with the launch of the Rothschild empire on the banks of the Main.
Even in a great band like Three Dog Night, singing an Old Fashion Love Song coming down in three part harmony, there’s still only one lead singer. I’ll allow Christine Lagarde to explain how the Eurozone will speak with one French voice even when there are only three dogs in this band and none of them are French.
A much better explanation: http://www.zerohedge.com/news/guest-post-efsf-too-small-too-big-or-just-wrong
The Occidental Tourist: http://tradewithdave.com/?p=7514
(editor’s note: our apologies for the non-linkable links. Just copy and paste in your URL for now as we’re working on it)