Miscellaneous News
- Thread starter bd popeye
- Start date
AssassinsMace
Lieutenant General
If they had to write a report then there's a concern. It's like their logic that Russia and North Korea had a meeting because they were reacting to US moves which says they're weak. The spin is they're talking about now as if it means forever. Yeah the dollar is dominant today but what about tomorrow? That's how they play these little tricks. The US is powerful today. If now means forever, what are they worried over a rising China for? The goal is all about preventing people from acting on it. They want to discourage more countries from de-dollarizing by claiming everything is fine and strong with the dollar banking on the belief they're not capable of lying. Other countries see other countries doing it and they want to stop more from joining in.
Last edited:
AssassinsMace
Lieutenant General
Do you see the West talk how "we all" get hurt? The Chinese seems to think expressing how weak or how hurt you are is suppose to garner sympathy and those doing the harm are suppose to stop. The only thing the West sees when Chinese do that is what they're doing is working and you think they'll stop? That's also naive to think that they care. I mentioned before about Huawei founder, Ren Zhengfei, when the US was attacking and sanctioning his company, he would publicly cry how US actions were hurting his company pleading for the US to stop. Today Huawei is making more money than ever without the US and Western countries and their allies as customers.
I have to think it's cultural for Chinese to think looking weak is better than looking strong. It's the wrong logic. It only encourages actions against China. Because Chinese do nothing when wronged, it makes Western hawks think they can win against China like how we're seeing now how Americans are entertaining that they can win militarily over China.
There was an American author who writes about the US military. He wrote a book where he romances the American soldier saying they're warriors who strive on adversity. If that's true why is the US military always whining about China's growing military developments and capabilities? Loving adversity means loving going against the odds. The US wants to make their enemies weak so Americans know they will win... Quite the opposite and nothing romantic about it. Contrary to how some Chinese think, looking strong makes them think twice.
Equation
Lieutenant General
Some US military and Western hawks are all bark and no bite. They didn't do chit about China building their man made islands on the SCS. Only providing some silly "freedom of navigation" exercises to appear strong but didn't do anything to prevent China from continue claiming their SCS territories from all other players in the region.
As usual you need to take attention to the relevant information that is hidden in the article text.
"The euro, once considered a competitor to the dollar's international role, was also weakening as an alternative currency, with those looking to reduce their risk exposure turning to gold instead, the report said.
It said Russian sanctions had made it clear to reserve managers that the euro was exposed to similar geopolitical risks as the dollar. Concerns around macroeconomic stability, fiscal consolidation, and the lack of a European capital markets union also hurt the euro’s international role, it said."
China is also supposedly stockpiling commodities. Other countries might be doing the same.
AssassinsMace
Lieutenant General
All that says is they're using the Euro as example of how any challenger to the dollar will fail.
The reason the Euro is floundering is because people have realized there is no benefit to holding it because you will get sanctioned by US and your money will be taken away from you anyway. At the same time the US increased its interest rates and the dollar is appreciating in value.
An alternative BRICS currency scheme wouldn't have those issues.
There is no way a so called BRICS currency would ever work. Its a fantasy. In order to have a common currency you need a common monetary policy. Which ofcourse will never happen with BRICS.
There is only one currency that can become an alternative to the dollar and that is Chinese Yuan. Its because China will soon become the largest economy in nominal terms and already very close to US in total GDP percentage of the world. But the reason that hasn't happened yet is because China doesn't want it to happen.
China wants monetary control over its currency and thus doesn't want people to freely trade the Yuan. That's why its not a competitor to the dollar. Moreover, in order "sell" Yuan to other countries, China will have to buy goods from other countries, essentially having goods deficit. Which China still does not want.
I expect the more richer China gets, the more confidence Chinese leaders will have over the stability of its currency and thus will open up Yuan for more international trade. Then Yuan will naturally compete with the dollar and become its equal or even may surpass it.
Alternatively, if US and other heavily sanction China to prevent it from using the dollar. Then I do expect people to use Yuan to trade with China very quickly. Necessity will create a market for Yuan trade.
If it takes 10~15 years to de-dollarize in the grand scheme of history that would still be lightning fast.