U.A.E. to sell dollars for euros (iht.com) .... treasury notes for "created" accounts. this means when you take your treasury bond in to get cashed in, ...   

"The move by the U.A.E. central bank "is hard evidence that diversification is happening," said Shaun Osborne, chief currency strategist at TD Securities in Toronto. 'This is negative for the dollar in a broad sense as it reflects falling confidence in the currency.'" 

Goodbye dollars, hello euros. ... year (as part of a $2.1-billion fresh global bond foray) and Yambot would have eagerly bought some if he had the chance. ...   

"Yambots mindset reflects what many central banks across the globe are now doingshifting some of their foreign reserves to euros. And theres an increasing supply of high-yielding securities in this currency as many emerging markets, including the Philippines, have issued new euro-denominated bonds primarily to diversify their currency risks."  

______________   The Golden Eagle That Laid an Egg   _______________

1.       America The Golden Egg.  We emerge unchallenged economically from the Second World War.   

2.       The Golden Egg hatches.  Our money is accepted globally, even though it’s just paper.  The whole world has confidence in the integrity and stability of America.  The dollar becomes the base currency of the world.     

3.       We prosper and grow into the Golden Gosling [Oops!  Shoulda been an eagle].  The world buys our treasury notes.  The whole world has confidence in the integrity and stability of America.  Our treasury notes become the investment of choice for foreign central banks.   

4.       We mature as the Golden Goose.  Our economic prowess grows.  Our “productivity” increases year after year, keeping our economy robust and at the leading edge of the emerging global economy.   

5.       We lay the Golden Egg.  We emerge unchallenged as The Great American Consumer economy, the market for the world.  Our self indulgence is fostered by the international Corporate Cartel.  It is encouraged through relentless marketing and becomes the American Dream.   

6.       We give the Golden Egg away.  We offshore our production capability in the pursuit of ever greater “productivity” (now spelled C-o-r-p-o-r-a-t-e  P-r-o-f-i-t).  We enter into NAFTA, CAFTA and a multitude of other so called "Free Trade" agreements that put our workers and industry at a huge disadvantage. 

7.       We kill the Golden Goose that laid the Golden Egg.  Wages stagnate as “Productivity” increases are relentlessly milked out of those American workers left standing after each tidal wave of the “downsizing” tsunami and job outsourcing orgy enabled by the so called "Free Trade" agreements.   

8.       We shake the deceased Golden Goose vigorously.  “Family values” of this new economy now dictate that both parents work at two jobs to make ends meet and keep the Great Consumer economy rolling. 

9.       We serve up the Golden Goose to the Gilded Owners of the farm.  The politicians give huge tax breaks to the wealthy and international corporate interests while they cut government spending on veterans’ benefits, food stamps, education and other nonessential frivolities.   

10.   The owners pick the Golden Goose’s bones clean.  The treasury notes keep flying off the presses.  The world’s central banks get edgy and start discounting their value, casting around for other (real) assets to cash in their paper IOUs on.  The ante goes up as the owners have a hard time convincing the glutted market in treasury notes to take on even more.   

11.   The owners lease the farm to our creditors. Real assets, such as U.S. oil companies and port operations, and who knows what else are acceptable to our creditors to redeem those paper notes.  The Confidence game is coming a cropper. *

12.   The owners sell the farm.  The U.S. pays off the outstanding debt in tangible real assets rather than paper money, which is no longer preferred by the central banks.  The American public gets an accidental peek at some of it and rebels, so the central banks reconsider and begin to convert their U.S. dollar denominated debt into other currencies to beat the rush.   

13.   We pawn the family jewels.  We open our borders wide to alien workers.  The dollar weakens as the central bank stampede strengthens, causing runaway inflation in the Great American Consumer market.  The Great American Consumer dies, crushed between fearful inflation and fearful joblessness.  The middle class is wiped out, just as in the Weimar Republic before the rise of the Nazis in Germany.

__________________________________________________________________