Month: October 2009

Three Letters Re: Abandonment of the Dollar is a Premature Rumor

James Wesley, Regarding the oil-denominated-in-dollars flurry, two important points must be noted. First, dollar denominated contracts can be immediately hedged in foreign exchange markets (FOREX) even before the oil is pumped out of the ground. The oil barons aren’t stuck holding their dollars any longer than they can call a FOREX desk or sovereign Treasury department (3/4 of the world’s oil is owned by governments, not Exxon/Chevron/etc.) The more important point of dollar-denominated oil contracts is dollar prestige. Documents from the Federal Reserve show that Arthur Burns not only was interfering with the gold markets three decades ago, but the …


Economics and Investing:

Karen H. mentioned this sobering piece, also subsequently sent in by several other readers: Foreclosures: ‘Worst three months of all time’ The latest from Dr. Housing Bubble: A Comprehensive Look at the Southern California Housing Market: 60,000 Properties Listed on the MLS but over 100,000 in Shadow Inventory. California and Nationwide Median Home Price Trends since 1968. Say Good-Bye to Option ARMs. Also from Karen: Dollar to Hit 50 Yen, Cease as Reserve IRS Intensifies Global Hunt for Secret Offshore Bank Accounts Desperate Dollar Heading to the Basement. (BTW, they concur with my comments on the USDI‘s crucial support level: …


Odds ‘n Sods:

World Rice Stockpiles Hit as Yields Drop    o o o UN: World hunger has been increasing for a decade. Thanks to Bob for the link.    o o o SurvivalBlog’s Editor at Large Michael Z. Williamson sent us this glimpse of the the Third World: In India: Forget the Diamond Ring, Brides Want Ceramic. “…since a “No Toilet, No Bride” campaign started about two years ago, 1.4 million toilets have been built here in the northern state of Haryana, some with government funds, according to the state’s health department… “I won’t let my daughter near a boy who doesn’t …



Notes from JWR:

I’m pleased to report that there have been more than $7,000 in donations received for the Linda Rawles Memorial Fund, that supports an orphanage and school in rural Zambia. Thusfar, donations have come from 36 of the 50 states, Australia, and Canada. Those that have made donations will soon receive a confirmation letter, with certification that can be used for tax purposes. (Your donations are fully tax deductible.) Many thanks for your generous donations. As per Linda’s request before her death, they have been earmarked for self-sufficiency projects for the orphanage including a grain mill, a new banana grove (more …


Perspectives on Roughing It and Covert Car Camping, by Jolly

I was a Boy Scout, and later did a fair amount of camping when I toured the US by motorcycle in the late 1980s. My tents started floorless and without mosquito netting; progressed to canvas umbrella tent with both. Later still, I was able to go to ripstop nylon “pup” style tents. Advancing, finally, to modern shock-corded aluminum poles and nylon. After a long gap of 20+ years, my son is now a scout, and I’m on the “no-other-parent-can-go-and-we’ll-have-to-cancel-if-you-don’t-volunteer” rotation for his troop. I just completed my second camp-out, and have noticed a few things that both dismay and encourage …


Letter Re: Preparations for Eyesight and Hearing

Hello Mr. Rawles, This is just a quick note from a new reader. If what I mention to you has been covered on your site, I apologize; your site takes more than a few multi-hour reads to digest! I see very little talk about contact lenses/solution and hearing aids/batteries post-TEOTWAWKI in most preparedness articles. I would think it would be most unfortunate to train, learn and prepare for any upcoming abnormalities and shortly thereafter not be able to see or hear. It would seem to me that at least a couple year’s supply of contact lenses on hand at all …


Two Letters Re: Abandonment of the Dollar is a Premature Rumor

In response to InyoKern’s letter: The title of this discussion thread and the original text that went with it could just as well have been written by any of the well-scripted talking heads on mainstream F-TV (financial television). My initial inclination is to be diplomatic, but considering the exceptional economic times we are currently witnessing, I say, “Balderdash!” I could reasonably conclude that the majority of the readers of “Survivalblog” are more apt to follow unconventional economic sages such as Jim Sinclair, Jim Willie, Jim Rogers, Bob Chapman, or Peter Schiff as opposed to the well-orchestrated financial propaganda of CNBC, …


Influenza Pandemic Update:

Karen H. sent this piece for the I told you so department: Lung Failure in H1N1 Cases Spurs Life Support Demand. I warned you that there aren’t enough ventilators! Also from Karen: Third Swine-Flu Wave Poses Threat to Hospital ICUs German Army first in line to get cutting-edge swine flu shot. Four-Year-Old Survives Swine Flu (Barely) Massachusetts House Approves Bill Okaying Quarantines Ohio School to Discuss Boy’s Swine Flu Death


Economics and Investing:

GG sent us this New York Post article: Dollar loses reserve status to yen & euro Fed’s Bullard warns on inflation, unemployment. (Thanks to GG for the link.) Value of UK farmland could double in five years. Jeff mentioned this piece at Zero Hedge: Why Did U.S. SDR Holdings Increase Five Fold in the Last Week of August? Items from The Economatrix: Weak Dollars, Strong Euro Combine to Create Eurozone Pain Rogers Sure Gold to Hit $2,000, Dollar to Lose Reserve Why Soaring Gold Prices Should Set Off Alarm Bells Unintended consequences of deflation: Colorado Minimum Wage to Drop as …


Odds ‘n Sods:

SF in Hawaii mentioned a low cost source for poly water tanks.    o o o Several readers wrote to tell me about a dated, yet interesting article: In 2008 Afghanistan firefight, US weapons failed    o o o Some congressmen get it: Tax Policy, Economic Growth and American Families. Too bad that they don’t hold a majority. (Thanks to JHB for the link.)    o o o Reader Michael A. asked me to remind folks that John Pugsley’s now classic book on practical tangibles investing The Alpha Strategy is available for free download in PDF.




Water, Water Everywhere?, by David in Israel

James, I think it important to remind the readers of survivalblog to assess their water supply situation in the event of a local or national emergency. Much of the western united states even the well irrigated areas are actually truly considered high desert and could nor supply even 10% of the population should access be lost to the water supply infrastructure. Unfortunately many people have lived their whole life with functional first world plumbing and the clear knowledge that magical faucets, toilets, and shower heads will always have a supply of clean potable water. It is imperative that anyone planning …


Letter Re: Abandonment of the Dollar is a Premature Rumor

Dear Jim and Family, I wanted to comment on the alleged threat of the Saudis to decouple the US Dollar from Oil sales. They’ve been saying that for a decade. The Iraqis promised to do it, one of the primary reasons for the invasion. The Iranians did it, but nobody cares because they’re an oil importing nation so they don’t actually matter much. The Venezuelans have been trying to get the rest of OPEC to do it since we nearly got Chavez ousted in a coup backed by the US. Pity that failed, but there will be a next time …