The US dollar also about to collapse and the reasons for it are discussed by Sean Foo and Cyrus Janssen.
One aspect, Foo focuses on is AI and US debt, the bond market and the supply chain disaster caused by Trump s trade war with China.
He also discusses how China is building its own semi conductor eco system completely separate from the US as the global trade and development breaks into big two parts, the US and China.
Trump has bet the US economy on AI and productivity increases to keep pace with and pay for the rising federal private central debt, productivity increases which, it is now plain to all, are not going to happen because the AI is defective as a product.
Indeed, in a separate development, AI flaws and Chatbot failures could be a security risk for Eurostar, which today faced disrruption and a power outage although it is not clear what the cause is.
https://www.pentestpartners.com/security-blog/eurostar-ai-vulnerability-when-a-chatbot-goes-off-the-rails/
What does this AI failure have to do with the US bond market?
To emphaszie.
When it becomes plain there is going to be no productivity increase which can generate more wealth in the US economy to pay for the every higher interest on the private central bank debt, investors are going to abandon the US bond market and inflation and hyperinflation are going to spiral out of control.
And investors will sell AI stocks,propping up the stock market.
A double whammy.
There are also bad omens for the US defence stocks, which are also set to fall as the demand for US weapons, a major US export, around the world drops now the globe can see the weapons are out of date and over priced and not value for money compared to Chinese, Russian and even Iranian weapons.
The US AI models developed are so fundamentally flawed in their design, in their metaphysical and epistemiological worldview, to put it more accurately they are useless, hallucinatory and all this while consuming vast amounts of electricity.
And this failure is largely because the capital to develop AI models has been concentrated in the hands of the Epstein Billionaires, like Gates, Thiel and other Tech Billionaires.
We come back again to the Epstein circle and the problem of a rigged government and a economy which is run and controlled by a group of low life mafia and not run by competent people chosen for their ability.
When the AI developpers do not have any qualifications, it seems, apart from being blackmailable for heinous acts, a love of drugs and deprvatigy and so controllable, the result is predictable.
Trillions have been thrown at a useless product. The result is a bubble,a circular economy where the various AI related companies like Oracle funnel money to each other with very little actual revenue earned because so few people find the product offers value for money.
Meanwhile, China s Deepseek has produced a model which is much better at the fraction of the cost just by incorporating basic logic. Apparantly, Deepseek is so structured that it classifies every question into a few basic categories and then activates all its total chip capacity to focus on that narrower category.
Simple.Logical. Reasonable.
But Open AI lacks any logical structure. Every question asked goes into a confused "whole brain" environment composed of huge amounts of Nvidia chips where every chip is activated to solve it with no logical guidelines.
Utter chaos,confusion.
It is only a question of time before the AI bubble bursts and AI companies need a bailout or go bust.
The lie the US economy can generate enough wealth to pay for its soaring debt will be exposed.
Interest on US debt will soar.
Hyperinflation will come.
Foo argues gold is the best bet.
He also discusses China s new push to become a financial centre in Shanghai, the RMB, the value of the dollar to RMB.
My thinking of why China may be buying gold is also as a short squeeze bet against Wall Street. China may soon be able to wipe Wall Street out if the demand for physical gold rises among holders of gold certificates and Wall Street cannot supply it.
However, this is just speculation and one use for gold.
Bottom line.
The debasement of the dollar will continue and at an ever faster pace.
The EU has no chance of emerging as a geopolitical power like China or the US trapped between US tariffs and Chinese supply chain wars, smothered in debt and run by incompetent authoritarians.
https://www.zerohedge.com/geopolitical/why-did-eu-slide-complete-irrelevance
Watch the must view interview here
....
This Is What Ends the US Dollar Forever
Cyrus Janssen
This Is What Ends the US Dollar Forever
Cyrus Janssen
https://www.youtube.com/watch?v=3dXmyAlxMVQ
Today I welcome investor and macro analyst @SeanFooGold to break down why the US Dollar may be approaching a point of no return. We discuss how the AI arms race is quietly destabilizing the bond market, why U.S. government debt is becoming unmanageable, and why many AI companies are burning cash rather than generating real profits.
We also dive into the global shift away from the U.S. dollar — from falling trade with the United States and the intensifying U.S.–China microchip war, to China’s growing use of gold, the rise of BRICS, and why more countries are borrowing in Chinese RMB. Finally, Sean explains why bonds may be finished, why inflation could accelerate, and why gold and precious metals could be the ultimate winners in 2026.
00:00 - Intro to Sean Foo and US Dollar
02:12 - Why the AI Race Will Hurt the Bond Market
03:50 - Why the US Government Will Go Bankrupt
05:22 - Why AI Companies Are Not Making Money
06:25 - Why the US Dollar Will Crash in 2026
07:08 - Can US Rebuild Their Entire Supply Chain?
08:15 - Why Trade with USA is Falling
09:28 - The US and China Battle of Microchips
11:30 - Why China Will Win the Microchip Battle
13:35 - Why Gold is Going to Surge in 2026
15:03 - How China Will Use Gold to Depolarize
17:15 - How Seizing Russian Assets Backfired on Europe
19:03 - Why the EU Economy is in Massive Trouble
21:13 - Why BRICS Will Continue to Grow in 2026
22:00 - Why More Countries Are Borrowing in Chinese RMB
24:07 - Why Bonds Are Finished and Inflation Will Rise
26:30 - Why Gold and Precious Metals Are the Future
27:05 - Final Thoughts
No comments:
Post a Comment