Asian Central bankers meet as dollar swoons.

In late February, South Korea's central bank announced that it would diversify its foreign exchange reserves by moving out of the U.S. dollar and boosting its holdings in currencies like the Australian and Canadian dollar. The result, noted BBC News on February 22, was a "round of dollar declines," and talk from other central bankers that "other nations may follow suit and now ditch the dollar." This pointed reminder of the dollar's increasing debility caused the Dow to plummet 174 points.

Days later, reported Bloomberg financial columnist William Pesek, Jr. on March 2, officials from Asian central banks convened in Bangkok "to discuss the dollar's slide." The infant banking cartel, which calls itself "The Asian Bellagio Group," is "a formidable crowd, considering it holds well over $1.1 trillion of U.S. Treasuries." Although the meeting "didn't mark a coordinated effort to abandon the dollar," it did demonstrate that "Asia is getting fed up with its reliance on the dollar."

"It's increasingly dawning on Asian consumers that their governments are funding the U.S.'s way of life," noted Pesek. "Capital flowing from East to West reduces incentives for the U.S. to tackle its worsening current account and budget deficits." Should Asian bankers start dumping their dollar-denominated Treasury notes, it would "cause chaos in the U.S. economy as the dollar plunges."

Washington's decimation of our domestic energy industry has left our economy vulnerable to OPEC's machinations. Its unchecked appetite for deficit spending has given an emerging Asian bankers' cartel the power to determine the value of the dollar.