From the Existentialist Cowboy
Highly leveraged US expansion, growth and empire are about to be swept away like a bamboo hut. As China leads the world in dumping dollars, the US appears to have exhausted the means by which it can continue to leverage or finance expansion and imperialism.
Bush could not have picked a worse time to ratchet up his anti-Iran rhetoric. China’s disenchantment with US dollars is a reaction to Bush’s bellicose rhetoric. Iran’s strategic position was recognized by Alexander the Great, significantly the last “conqueror” to have successfully invaded from the west.
As this blog reported recently, Bush promised that the US would join an Israeli nuclear strike on Iran. It is impossible to tell if the US rhetoric is in response to Iranian threats to dump dollars or Iran’s response to Bush’s promise to join an Israeli nuclear strike on Iran. The GOP seems unconcerned as Bush’s big mouth continues to make the rest of world jittery.
Asia isn’t the only one skittish, Europe and the UK are trembling as well.
The stock market was in meltdown today as nearly Â£60billion was wiped off London shares.
A combination of poor economic figures and the worsening global credit crunch sent the FTSE 100 plunging.
At one stage the drop was the biggest since 9/11 in 2001, although the index of Britain’s biggest companies later clawed back some of the losses. At lunchtime the Footsie was down 250.1 points to 5647.8.
Yes, this is all in response to the failed financial strategies of the Bush administration
The fall came as Asian markets tumbled overnight following losses for the Dow Jones Industrial Average on Friday, when investors were left unimpressed by the US Government’s tax-relief plans to spur on the economy.
(hat tip/ Excuuuuuuse me!)
UPDATE:More panic from International Herald Tribune