The bigger story is the recent push to settle trade in Yuan instead of USD.
BRICS [1] , Saudi Arabia [2], many South American [3] and ASEAN countries [4], (and even France [5]!) have signed on to do Yuan-based settlement.
This is the strongest concerted effort to kill the petrodollar and Bretton Woods. It would have devasting impact to the US economy if this trend continues.
The US economy and our special ability to buy cheap goods have relied upon the world buying up US dollars. The sheer amount of investment in the US is a direct consequence of the dollar's elevated status.
This is pushback to US Swift-based sanctions and hegemony and an acceleration to multi-polar power. Several counties have wanted this for a long time, but the Ukraine war and tensions with China have accelerated this.
This is a big deal with titanic, earth shaking consequences for the US and the West. It could lead to incredible inflation and an economic depression if the world stops buying up dollars.
This is pretty horrifying to watch unfold so quickly.
It's hard not to see all of the chess pieces moving. There is a huge game being played right now -- in the open, for all to see -- that will determine the balance of power for the remainder of the century.
[1] https://www.bloomberg.com/news/articles/2023-03-28/o-neill-u...
[2] https://www.wsj.com/articles/saudi-arabia-considers-acceptin...
[3] https://www.scmp.com/economy/china-economy/article/3215857/c...
[4] https://www.manilatimes.net/2023/04/06/business/foreign-busi...
[5] https://www.rfi.fr/en/business/20230331-petrodollar-under-th...
BRICS [1] , Saudi Arabia [2], many South American [3] and ASEAN countries [4], (and even France [5]!) have signed on to do Yuan-based settlement.
This is the strongest concerted effort to kill the petrodollar and Bretton Woods. It would have devasting impact to the US economy if this trend continues.
The US economy and our special ability to buy cheap goods have relied upon the world buying up US dollars. The sheer amount of investment in the US is a direct consequence of the dollar's elevated status.
This is pushback to US Swift-based sanctions and hegemony and an acceleration to multi-polar power. Several counties have wanted this for a long time, but the Ukraine war and tensions with China have accelerated this.
This is a big deal with titanic, earth shaking consequences for the US and the West. It could lead to incredible inflation and an economic depression if the world stops buying up dollars.
This is pretty horrifying to watch unfold so quickly.
It's hard not to see all of the chess pieces moving. There is a huge game being played right now -- in the open, for all to see -- that will determine the balance of power for the remainder of the century.
[1] https://www.bloomberg.com/news/articles/2023-03-28/o-neill-u...
[2] https://www.wsj.com/articles/saudi-arabia-considers-acceptin...
[3] https://www.scmp.com/economy/china-economy/article/3215857/c...
[4] https://www.manilatimes.net/2023/04/06/business/foreign-busi...
[5] https://www.rfi.fr/en/business/20230331-petrodollar-under-th...