China Challenges The USD. The US Can't Invade This Time.
China is making a play to undermine the USD as the world reserve currency. Many nations have tried and failed in the past but this time it might just work.
Oil is traded in US Dollars worldwide. Countries who import oil need to keep hordes of USD on reserve. This keeps the USD from hyperinflation. If those countries no longer needed USD to buy oil imports, there's a good chance that the USD would hyperinflate.
In the past, every time a nation tries to get out from under the heel of the USD, the US invades them, destroys their infrastructure and installs a puppet regime. Time and time again. In order to justify the invasion and destruction, they tell the American people that the country is an enemy, and must be destroyed in order to protect America. What they mean is "American Interests". Just semantics to the typical American.
I don't see the US invading China or Russia any time soon. If China offers to protect any nation that wants to use the Yuan to buy oil, what would the US do?
Oh, right, sanctions. That's become a worldwide household word lately. But what if Europe, the Persian Gulf States and the Eastern world side with China and Russia? The recent US isolationist policies might just isolate the US.
On March 26, 2018, in the first hour of trading, 10 billion yuan national traded on the yuan-petro exchange. Not a bad start.
In a further push to expand the Chinese currency, the London Metals Exchange is planning to launch Yuan-denominated futures. One step at a time, the world's bully is being challenged.
Curated for #informationwar (by @truthforce)
Direct opposition to anyone is not the path that China walks historically. Now China's foreign policy changes, but it will be a slow process.
Yes. China thinks in terms of Dynasties which last hundreds or thousands of years. The US thinks in terms of quarters of a year, just 3 months.
We lost the economic war when Americans decided they liked the cheep toys and trinkets. See China empoly's slave labor. So buying even resources from china is supporting slavery. Those countries that buy material resources from china in turn produce products cheaper than can be done without the slave labor of china. Thus there products, goods, and services are also cheaper. Thus U.S lost its manufacturing base and will loses the currency war as a result.
Yes. US manufacturing is so much more expensive than other parts of the world. Labor too, even not considering slave labor. US has very few advantages left, except USD as a world reserve currency and military strength. Maybe our sanctions will slow trade with China and reduce their slave labor? Wishful thinking.