Economic Realities, Rumors and Reminders

• Top Communist Party research chief said Thursday that China should buy gold and U.S. real estate rather than Treasurys —Marketwatch, Calls for new world reserve currency (Bloomberg).

• Late-August/early September bank holiday potentially leading to formal dollar devaluation — HSL

• U.S. embassies worldwide being advised to purchase enough of their local currencies to last a year — HSL

• “Section 25C of the Federal Reserve Act (adapted in 1994) explicitly says that the USA does not have to repay debts to a country if the two countries are engaged in a war.” —”Prudent Investor”