A bit ago it was pointed out that the US Debt Clock metal ratios showed Zero Dollars per ounce of Gold or Silver. I could not find an explanation on the website so here is my best guess so far.
Currently there are Zero constitutional or "real" paper Dollars in circulation per ounce of metal. We do have a large supply of Federal Reserve Notes in circulation which are not real dollars. "Real" paper Dollars are Certificates or contracts to repay or exchange in precious metal. FRNs are Debt Notes - paper contracts to repay debts with more paper debt. You can exchange FRNs for bonds, bills, or some other paper promise at a financial institution but fat chance exchanging for precious metal at a bank - gotta go to a coin shop or similar non-bank facility.
So, the Zero Dollar to metal ratios on the Debt Clock are correct. The Dollar Supply Now displayed on the Debt Clock represents FRN debt. Since FRNs are Debt the number given is NEGATIVE $771 Billion and the rapidly updating number is RISING toward Zero (numerically shrinking). FRNs are REMOVED from the system as bonds and debts are paid out. New FRNs are created when new Treasuries are auctioned into the market but that is happening less and less these days. Falling Treasury sales are SHRINKING LIQUIDITY in FRNs as shown on the Debt Clock as a negative FRN Dollar Supply rising toward zero.
UBS is big and they need a big supply of FRNs (or Euros or whatever) to service big piles of debt paper. UBS is caught in a liquidity squeeze inherent in all Ponzi Schemes when fresh income (new Treasuries) tapers off while payouts continue. This is what Bill Holter was explaining in different terms.
Are we at the banking precipice or will this be covered up till later? The WHs may let the bankers experience more pain as The Movie still has many other sub-plots that need to play out. Metals are holding up so far - one more day in November to get slammed.
We've been warned of current and future Solar Flares with communication problems already starting this week. Will this be an excuse for increasing banking transactions anomalies?
Add this: A new Countdown Clock, a short one, times out later TODAY:
Response: You're a genius Jeff. It never occurred to me that the clock now refers to Republic Dollars!
