China, Russia meet to seek 'other' currency to improve theirs

[mettle]

Other currencies are being sought to remove the dollar as the 'fallback', or 'reserve' currency as the dollar has failed.

Russia, China seek greater international clout - Yahoo! News

 

[Ashkelon]

Yep. I agree. Very big deal. IMO much bigger than the silly town hall meeting at the White House on ABC

 

[Dryden]

A reformed financial and economic architecture should be based on a "democratic and transparent decision-making and implementation process at the international financial organizations," the statement said.


Well, at least they're copying the political B.S. from the USA.

They're well on their way to collapse and ruin. Welcome to our world.

 

[CarmelHP]

The party resisting this is China. China does not want to rock the dollar boat, they have too many bucks and dollar denominated securities sitting in their treasury to want to unseat the dollar.

Owe a guy a $100 and you're a deadbeat, owe him a trillion and you're a partner.

 

[mettle]

The party resisting this is China. China does not want to rock the dollar boat, they have too many bucks and dollar denominated securities sitting in their treasury to want to unseat the dollar.

Owe a guy a $100 and you're a deadbeat, owe him a trillion and you're a partner.

Read that article. China wants another reserve currency besides the dollar.

 

[antsi]

Read that article. China wants another reserve currency besides the dollar.

And when China starts getting rid of dollars and putting their money in someone else's currency, the value of the dollar will go down precipitously.

The party resisting this is China. China does not want to rock the dollar boat

They're looking at two options, neither of which are very attractive.

One: keep buying dollars to try and prop up the value, but lose some of that value as other countries lose faith in the dollar and it gradually slides downward

Two: get out of dollars, let the dollar collapse - problem here is that their whole economy is based on selling stuff to Americans. If the US dollar tanks, their goods get a lot more expensive here and Americans start buying local stuff that is comparitively cheaper.

 

[mettle]

Things will be dire for my children for sure, if I don't see it first.

 

[CarmelHP]

Read that article. China wants another reserve currency besides the dollar.

I did:

"Notably, however, the statement made no explicit criticism of the dollar, and contained no reference to developing new reserve currencies.

The cautious wording appeared to reflect China's concerns that any anti-dollar statements could erode the value of its currency reserves."

 

[rambone]

They're looking at two options, neither of which are very attractive.

One: keep buying dollars to try and prop up the value, but lose some of that value as other countries lose faith in the dollar and it gradually slides downward

Two: get out of dollars, let the dollar collapse - problem here is that their whole economy is based on selling stuff to Americans. If the US dollar tanks, their goods get a lot more expensive here and Americans start buying local stuff that is comparitively cheaper.

Looks pretty grim either way on our end.