China has just made several moves against the U.S. dollar, and currency wars with the U.S. have a way of turning into real wars.
China and Australia dump the dollar:
Australia’s announcement that it is abandoning the U.S. dollar for trade with China is the latest broadside in the global currency war. Starting April 10, Australia and China will no longer use the U.S. dollar for trade between the two nations. For the first time, Australian businesses will be able to conduct trade in Chinese yuan. No more need for U.S. dollar intermediation. This is a significant announcement and key development for China as it continues its campaign to internationalize the yuan and chip away at the dollar’s role as the world’s reserve currency.China, Russia quit dollar
St. Petersburg, Russia - China and Russia have decided to renounce the US dollar and resort to using their own currencies for bilateral trade, Premier Wen Jiabao and his Russian counterpart Vladimir Putin announced late on Tuesday.
the Chinese have been buying scrap metal,(copper, brass, and aluminum) from our scrap yards for years.
ReplyDeleteThe US Dollar is Now a High Risk Currency !
ReplyDeleteSomebody is getting upset with the dollar. When more and more countries join the crowd and gradually start refusing it, the times when America was buying up the world's production with suitcases of freshly printed greenbacks will be over. And stuff will become expensive. What this may cause on the Main Street, is the topic of a (hyperbole) video called "The Day the Dollar Died" now circulating on youtube (I am in no way associated with nor do I know the makers, the "National Inflation Association"). Ironically, the video came out virtually at the same hour when the news about the China-Russia deal surfaced. What a timing.
ReplyDelete