China & Russia Quit Dollar

[siegecrossbow]

North Korea is pushing it, and assure you that we will not be pushed around!

We should be Redeploying tactical nuclear weapons on South Korea's soil. Such move would not only make clear the seriousness of our intentions to Pyongyang, but also prove to China that it risks a nuclear war at its doorstep. This move would also signal to Iran what it can expect should it continue with its nuclear provocations.

I assure you guys that we are currently trying to prompt China to impose effective pressure on Pyongyang, or we will deploy nuclear weapons in South Korea, this would have a restraining effect on Iran on the nuclear front.

However, should the we show weakness, the North Korean model is expected to repeat in our region, in a doubly dangerous fashion.

More nukes for everyone. Cheers .

 

[sameer-abc]

The last thing China wants at the moment is to undercut the US dollar, for two reasons. First, as America’s largest creditor, China has the most to lose from a dollar collapse.

Second, Americans would buy fewer Chinese imports.

 

[muse]

..the arab oil reserves and oil trade in dollar is what guarantees the dollar long term viability..arabs are simple too weak to make a maneuver.

Very good. Big moves sometimes have small beginnings - these are starting as bilateral transactions and the more countries opt for this the more problems. UAE is a special case, it's not a Saudi Arabia and Iraq has multiple pressures, including Iran's a more powerful pressure than that of the US.

 

[sameer-abc]

Saudi is in US pocket, they wont rock the dollar boat!

 

[muse]

I thought this was strong stuff and I hope will provide an impetus in the US to discuss things seriously, in particular no more ripping off Dollar holders, no more wars and of course, Israel :

Beijing is willing to boost cooperation with Moscow in Northeast Asia, Central Asia and the Asia-Pacific region, as well as in major international organizations and on mechanisms in pursuit of a "fair and reasonable new order" in international politics and the economy

China will firmly follow the path of peaceful development and support the renaissance of Russia as a great power,

"

"T

he modernization of China will not affect other countries' interests, while a solid and strong Sino-Russian relationship is in line with the fundamental interests of both countries."

 

[gambit]

Recall our thread "Meltdown" of a couple of years ago - but alas, seems like no one can get through to our US friends.

With international transactions no longer being routed through New York, what might the implications be for US influence and authority in the world??

What happens if Iran similarly agrees to not use Dollar as a currency of exchange? What if this picks up and UAE does the same, what if Iraq is unable to resist the pressure to do so as well?????

Our US friends think bravado will suffice when in reality they have to awaken from the stupor of arrogance.

Reeeaaaally...???

What is a dollar, a peseta, a yen, a lire? As pieces of paper and metal, they are nothing. At best, a coin is more valuable because of the metal. Salt, when it was used as currency way back when, at least have some intrinsic value for its nutritional factors.

The Catholic Church has a concept called 'transubstantiation'...

Transubstantiation - Wikipedia, the free encyclopedia

...means the change of the substance of host bread and sacramental wine into the substance of the Body and Blood...

A dollar, a yen, a peseta or a lire is exactly that when it is beholden by someone. He does not see paper or metal. At the very least, he attempts to envision everything that is and about the country that issued that currency. A dollar is a tiny fraction of the idea that represent a people, an economy, a military, a political system, an ideological foundation, and the geographical aspects of that country. Everything must work together in some degrees of harmony to create stability. The greater that stability the greater the desire to possess that currency because the holder of the dollar, the yen, or the lire, believe he is holding a share of that country.

The holder does not care about the country's past. If Japan is to break up into small island fiefdoms, no one is going to acquire the yen based upon Japan's past. No one is going to say to themselves: 'Japan was once a mighty global power such that Japan was a co-starter of a world war. We should acquire as much yen as possible despite the impending demise of the political entity called Japan.' Nope...People will abandon the yen because there is no perception of stability, of economic and military might, of strong political institutions to guide the people and their businesses.

There is already an alternative to the dollar: the euro. If there is an analogy, the fifty states of the United States is that analogy. What can China and Russia offer the world in terms of stability and economic potential perceptions? China is heavily an export economy. Without consumers like the US, China will collapse faster than that loony Russian academic who predicted the US will break apart by mid 2010......Russia without nuclear weapons is nothing more than a borderline communist state in the moldy mold of the old Soviet Union. No one wanted the ruble back then. So what can China and Russia offer the world in terms of a new currency? So who is really spouting bravado here?

 

[below_freezing]

The last thing China wants at the moment is to undercut the US dollar, for two reasons. First, as America’s largest creditor, China has the most to lose from a dollar collapse.

Second, Americans would buy fewer Chinese imports.

the leadership has already made it clear that those dollars are never coming back. it's just a matter of time before the USD becomes worthless; the USD is starting to enter in an unstable spiral down and at the first perturbation (dumping of USD) it'll collapse completely.

 

[true_indian]

^^ ya, you wish.. No matter what you think world economy is still dependent on consumption of Americans. China is primarily an export based economy unless you turn it around over night, dollar is going nowhere.

 

[MYSTIC]

A good move, for too long uncle sam has been printing papers to pay for the arab oil. Every country should follow suit. Iran and Venezuela are pioneers in this drive to root out the evil influence of dollar upon world economy.

Americans still have the brightest and the smartest people in the world. Meaning they will always come out of any adversity. What will happen when the dollar falls? Think of all the US treasury bond being held by all countries.

Put your radicalism away and think logically.

 

[MYSTIC]

the leadership has already made it clear that those dollars are never coming back. it's just a matter of time before the USD becomes worthless; the USD is starting to enter in an unstable spiral down and at the first perturbation (dumping of USD) it'll collapse completely.

duh.....as USD starts becoming worthless Chinese products become more expensive. You are a interdependent on each other.

 

[T-Rex]

Americans still have the brightest and the smartest people in the world. Meaning they will always come out of any adversity. What will happen when the dollar falls? Think of all the US treasury bond being held by all countries.

Put your radicalism away and think logically.

For everything there's a price to pay and the same goes for sustainable peace and stability in the world. The world would be a much more peaceful and prosperous place without the satanic hegemony that has been going on for the last half a century. For a while there may be some economic turmoil but after the dust will settle down there will be a brighter dawn for everybody, not just for israel or India. To some, just viewing the satanic hegemony of the west with apprehension is 'radicalism'; believe me or not the world badly needs a radical change.

 

[T-Rex]

duh.....as USD starts becoming worthless Chinese products become more expensive. You are a interdependent on each other.

Not so if the mode of world trade changes from dollar to whatever currency becomes widely acceptable.

 

[T-Rex]

Americans still have the brightest and the smartest people in the world. Meaning they will always come out of any adversity. What will happen when the dollar falls? Think of all the US treasury bond being held by all countries.

Put your radicalism away and think logically.

It's very true that the americans are the smartest people in the world or else they wouldn't be able to rule the world for half a century, however, you can fool the entire world for a while, you can fool some people indefinitely, but you cannot fool the entire world indefinitely.

 

[true_indian]

It's very true that the americans are the smartest people in the world or else they wouldn't be able to rule the world for half a century, however, you can fool the entire world for a while, you can fool some people indefinitely, but you cannot fool the entire world indefinitely.

Woh mah, that some deep $hit..Yet I think it doesn't apply here.

---------- Post added at 08:19 AM ---------- Previous post was at 08:19 AM ----------

Not so if the mode of world trade changes from dollar to whatever currency becomes widely acceptable.

How do you propose one make that shift?

 

[ajtr]

Russia and China Will “Never Become Each Other’s Enemy”​

Published in November 24th, 2010 Posted by TMH in Authors, Financial, History, Military, Politics, Survival, Trevor Loudon
By: Trevor Loudon
New Zeal

For more than 40 years US foreign and military policy has been based on the premise that Moscow and Beijing are rivals to be played off against each other.

But what happens if America’s main adversaries form an alliance? Where does America turn when two of the world’s major military powers unite?

My premise is that Moscow and Beijing have been allies all along. Whether I’m right or wrong, there can be no doubt that they ARE ALLIES NOW.

How long before Russia and China strike with “one closed fist” at the “main enemy” the United States of America?

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.

Chinese experts said the move reflected closer relations between Beijing and Moscow and is not aimed at challenging the dollar, but to protect their domestic economies.

“About trade settlement, we have decided to use our own currencies,” Putin said at a joint news conference with Wen in St. Petersburg.

The two countries were accustomed to using other currencies, especially the dollar, for bilateral trade. Since the financial crisis, however, high-ranking officials on both sides began to explore other possibilities.

The yuan has now started trading against the Russian rouble in the Chinese interbank market, while the renminbi will soon be allowed to trade against the rouble in Russia, Putin said.

“That has forged an important step in bilateral trade and it is a result of the consolidated financial systems of world countries,” he said.

Putin made his remarks after a meeting with Wen. They also officiated at a signing ceremony for 12 documents, including energy cooperation.

The documents covered cooperation on aviation, railroad construction, customs, protecting intellectual property, culture and a joint communique.

Putin said one of the pacts between the two countries is about the purchase of two nuclear reactors from Russia by China’s Tianwan nuclear power plant, the most advanced nuclear power complex in China.

Wen’s trip follows Russian President Dmitry Medvedev’s three-day visit to China in September, during which he and President Hu Jintao launched a cross-border pipeline linking the world’s biggest energy producer with the largest energy consumer.

Wen said at the press conference that the partnership between Beijing and Moscow has “reached an unprecedented level” and pledged the two countries will “never become each other’s enemy.”

Over the past year, “our strategic cooperative partnership endured strenuous tests and reached an unprecedented level,” Wen said, adding the two nations are now more confident and determined to defend their mutual interests.

“China will firmly follow the path of peaceful development and support the renaissance of Russia as a great power,” he said.

“The modernization of China will not affect other countries’ interests, while a solid and strong Sino-Russian relationship is in line with the fundamental interests of both countries.”

Wen said Beijing is willing to boost cooperation with Moscow in Northeast Asia, Central Asia and the Asia-Pacific region, as well as in major international organizations and on mechanisms in pursuit of a “fair and reasonable new order” in international politics and the economy.

Wen arrived in the northern Russian city on Monday evening for a regular meeting between Chinese and Russian heads of government.