(N.Morgan) The Global Economy is taking another hit to the global reserve holdings, the Euro fell to the least in more than a decade in the third quarter, according to International Monetary Fund figures. The 18-nation shared currency’s portion of global holdings fell to 22.6 percent, according to the data, the least since 2002. The $1.4 trillion in euros held by central banks worldwide were down from $1.5 trillion in the second quarter. The U.S. dollar, with $3.9 trillion in holdings, up from $3.8 trillion, represented the largest percentage of the $6.2 trillion total of known reserves at 62.3 percent, the most since December 2011.

“This is really big news” that reflects “emergency selling” of the euro, Sebastien Galy, a senior currency strategist at Societe Generale SA in New York, said by phone. “The loss of status as a foreign reserve in the short term is very good for risky assets in the euro zone, because it means euro-dollar is actually going to drop more. And that’s very good, of course, for the euro zone in terms of the inflation expectations and equities.”

Euro zone is slowing and heading for a deep depression. France is desperate thinking about selling artwork.Iceland to withdraw EU application. Factory orders decline again.Malls closing down across country. White House implement a gas tax.U.S. Senator Bernie Sanders demands to read the TPP. Harvard Obamacare architects furious that they need to take Obamacare. South Korea claims NK has nuclear weapons that can reach US. U.S. training FSA to fight Assad not Islamic State. Governments catching on that the US is dropping supplies for the Islamic State.

Be prepared for the economy to continue to take a dive. I think this is only the beginning of a very ugly process of financial decline.

References:

Financial Post

X22Report

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