END OF U.S. DOMINATION? A MARKET SIGNAL FROM AN
UNNATURAL DAY
Yesterday’s market behavior was deeply unsettling.
Equity markets declined, and so did precious metals—particularly silver. Under
classical market logic, this should not happen simultaneously. When risk assets
fall, capital typically seeks refuge in precious metals. This simultaneous
decline defies not just market intuition, but the basic physics of capital flow
in a free-market system.
Such anomalies often precede systemic change.
In nature, there is an immutable truth: systems
release maximum energy just before collapse. Bujhta hua chiraag sabse zyada
roshni deta hai. A dying candle
flares brightest before extinguishing itself. History suggests empires
behave no differently.
The United States today resembles that candle.
Historically, prosperity expresses itself through
gold. As dominance wanes, societies move to silver. Eventually, even silver is
debased—and civilizations fade into irrelevance. Roman denarii, medieval
European coinage, and multiple Asian empires bear witness to this pattern.
The U.S., burdened with over $30 trillion in
sovereign debt, consuming far more than it produces, and facing a
multipolar challenge led by BRICS nations, stands at a similar inflection
point. The gradual bypassing of the U.S. dollar in bilateral trade settlements
signals not rebellion—but fatigue.
The world is increasingly fatigued by U.S.
hegemony—marked by arrogance, coercive diplomacy, the weaponisation of the
dollar, unilateral tariffs, selective rule enforcement, and targeted exclusions
from global systems. This behaviour has eroded trust and confidence in the
so-called “rules-based order,” prompting nations to actively seek an
alternative that is responsible, predictable, and fair.
India is emerging as a conscious and credible choice.
Unlike power blocs that operate through pressure
and conditionality, India’s approach is anchored in sovereign equality,
mutual respect, and non-interference. It positions itself not as a hegemon
in waiting, but as a system-builder—capable of partnering with diverse nations
without demanding political alignment or strategic submission.
A clear illustration of this philosophy is India’s Unified
Payments Interface (UPI). UPI is not merely a domestic fintech success; it
represents the architecture of a non-weaponised, transparent, and real-time
payment system. In contrast to SWIFT—which has increasingly been used as a
geopolitical lever—UPI demonstrates how financial infrastructure can remain
neutral, efficient, and inclusive. Its adoption and linkage with multiple
countries signal the early contours of an alternative global payments ecosystem
that prioritises trust over coercion.
India is already conducting trade settlements with
over 20 countries using alternative payment mechanisms, reducing excessive
dollar dependence and signalling a structural shift in global finance. This
trend has not gone unnoticed. The urgency with which the U.S. and its allies
are now attempting to re-engineer commodity markets—through proposals such as
price-floor mechanisms for critical minerals—reflects growing anxiety over the
loss of unilateral control rather than confidence in free markets.
Parallelly, India is advancing a long-term
strategic response through its National Critical Mineral Mission, aimed
at securing supply chains for rare earths and critical minerals. The vision is
not extraction at any cost, but the creation of a Rare Earth Corridor
grounded in responsible commerce, transparency, and shared value creation—a
stark contrast to monopolistic or cartelised control models.
Taken together, these developments point to a
deeper realignment. The global search today is not for another dominant power,
but for a fair referee, a reliable partner, and a neutral platform.
India’s rise is less about replacing one hegemon with another—and more about
redefining how power, trade, and trust function in a multipolar world.
Reduction in the value of dollar by 27 percent, led USA to convene an urgent meeting with 50 plus countries including EU so as to bring a new concept of PRICE FLOOR SYSTEM (Vance says US will establish price floor system for critical minerals | Reuters) where US Govt admits to that access to physical metal is national security issue. US knows what China knows -Whoever controls the metal controls the pricing, whoever controls the pricing controls the currency. Now the two superpowers are racing to accumulate the physical metals. while the paper market creates an illusion of over-supply.
An interesting read, which vividly explains the fundamentals getting doctored, manipulated, ruptured and compromised based on facts available on the ground vide link Irreplaceable Bana Dunga Rs 9 16 9. The smokescreen shall evaporate on or before 31st March 2026 in the COMEX market, bridging the gap between pricing between paper & physical precious metals causing inventory and supply imbalances through syncing leverage and speculation,
The fundamental law of economics is clear: When societies prosper, capital flows into productive assets; when they weaken, capital flows into stores of value. This creates an inverse relationship between economic performance and precious metal prices.
Yet today, precious metals are being forced down.
This is not market behavior—it is market
signaling management.
Through futures dominance, leverage, and paper
silver far exceeding physical availability, U.S.-based financial institutions—most
notably bullion banks—have created a price reset mechanism. The
objective is not profit alone, but narrative control:
“If gold and silver are falling, the dollar must be
strong.”
This illusion is essential to delay loss of
confidence in the USD.
But silver is different from gold. Gold can be
hoarded. Silver is both a monetary metal and an industrial necessity.
Artificial suppression eventually collides with physical reality. When that
happens, the price reset mechanism itself becomes the trigger.
If silver breaks free, it will not merely be a
commodity event—it will be a monetary indictment.
And that may be the final flare of a fading empire.
Hari Rao
07.02.2026
Hyderabad
