Renminbi (RMB)/Yuan Appreciation & Internationalization

ansy1968 said:

Good one bro and many members here believed Russia is a Junior partner which is not, For me its the reverse, they're the one doing the heavy lifting absorbing the blow that weaken the Collective West and bringing China precious time to prepare.

And there is an analogous, The Russian grittiness makes the difference in forcing the defeat of Nazis Germany in WW2.

Click to expand...

The de-dollarisation trend really accelerated because of Russia which then other countries followed. When a top 10 economy the size of Russia dramatically increases the use of yuan, things start to happen fast. Russia accepting yuan for oil payments means countries will need to accumulate yuan reserves. This is a Russia and China 1-2 combo. Russia weakens them, China delivers the knockout.

Russia has a lot of respect in many parts of the global south due to Soviet history which they can bring in to the de-dollarisation/yuan internationalisation plan. Russia might not have the economic size of China but they have natural resources the world needs and have geopolitical experience due to Cold War. China can’t do this all alone against the entire Western world and it’s alliance network. China needs friends and there is no more important friend for China than Russia.

MixedReality said:

The de-dollarisation trend really accelerated because of Russia which then other countries followed. When a top 10 economy the size of Russia dramatically increases the use of yuan, things start to happen fast. Russia accepting yuan for oil payments means countries will need to accumulate yuan reserves. This is a Russia and China 1-2 combo. Russia weakens them, China delivers the knockout.

Russia has a lot of respect in many parts of the global south due to Soviet history which they can bring in to the de-dollarisation/yuan internationalisation plan. Russia might not have the economic size of China but they have natural resources the world needs and have experience. China can’t do this all alone against the entire Western world and it’s alliance network. China needs friends and there is no more important friend for China than Russia.

Click to expand...

Well Brzezinski worst nightmare come true, all thanks to Trump and Biden, both will be given the Chinese Friendship Award with accolades....lol

MixedReality said:

That moment they froze and confiscated Russian foreign exchange reserves will go down as a major turning point in history. Monumental strategic mistake. Why should countries work hard everyday to sell things and accumulate dollars when with a stroke of a pen it’s all gone.

All the massive inflation in the US right now is because the trillions of printed dollars during the pandemic are not being absorbed by the world like it was in the past. This has caused the Fed to aggressively raise interest rates to absorb the dollars in circulation. The high interest rates is now leading to a banking crisis and eventually to a debt crisis.

Many important moments in history has had something to do with Russia.

Click to expand...

A financial nuke is what it is. The trouble is that when they actually set off the nuke the results were fairly mixed.

This is the financial equivalent of Pearl Harbor attack but this time American is the aggressor and it will end in 2 financial nukes.

ansy1968 said:

Good one bro and many members here believed Russia is a Junior partner which is not, For me its the reverse, they're the one doing the heavy lifting absorbing the blow that weaken the Collective West and bringing China precious time to prepare.

And there is an analogous, The Russian grittiness makes the difference in forcing the defeat of Nazis Germany in WW2.

Click to expand...

That's precisely why they are the junior partner. The Big Boss sends his henchmen to do the grunt work on his behalf.

should've been obvious from the start, but Pakistan will be paying Russian oil in Yuan

Looks like in order to finance this, Pakistan has opened a Letter of Credit (LC) in the Bank of China

China is building oil refinery @ Gwadar. Let's hope this will make it easier for Pakistanit economy

Not sure this is a good news. If China switched half of trade from dollar to Yuan，forex reserves should fell not rise. Too much dollar reserve is a burden

tonyget said:

Please, Log in or Register to view URLs content!

Not sure this is a good news. If China switched half of trade from dollar to Yuan，forex reserves should fell not rise. Too much dollar reserve is a burden

Click to expand...

Usually with these reports they just use a dollar amount/symbol not the breakdown of the currencies.
But if more than half of trade went to yuan, it might also mean China is spending less dollars to pay for their imports.

Another major breakthrough from Brazil pulp producer which is the world biggest.