Renminbi (RMB)/Yuan Appreciation & Internationalization
- Thread starter supercat
- Start date
If JP Morgan is telling you
That means they are front running the trade and dumping USD assets now before everyone one cashes out.
China is increasingly its speed of gold accumulation. btw, i do think it's under reporting its gold holdings, but we may never know how much they really have
I've seen estimates as high as over 30,000t spread across various entities (not just PBoC). Likely an overestimation but when you consider:
- China is the world's largest gold producer, and has been for many years;
- It is illegal to export gold mined in China; and
- China is the world's largest gold importer;
then certainly it holds a lot more than the publically declared ~2kt.
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huge Surge with Russia VTB in RMB payments and accounts
Myanmar now paying Russian oil in RMB
Alfa-Bank opening branches in Beijing & Shanghai. First private Russian bank to do so. They account for 1/3 of RMB loans in Russia
just generally, looks like the entire Russian economy is becoming more integrated with China's economy right now
also interesting thing to consider. clear high demand for gold in China.
Myanmar now paying Russian oil in RMB
Alfa-Bank opening branches in Beijing & Shanghai. First private Russian bank to do so. They account for 1/3 of RMB loans in Russia
just generally, looks like the entire Russian economy is becoming more integrated with China's economy right now
also interesting thing to consider. clear high demand for gold in China.
payment services probably best suited on this thread.
this makes a lot of sense. getting virtual currencies and payment systems to work with each other and in China
SWIFT and other payment system stats simply don't count payment app volumes at all. So, it completely underestimates the amount of economic activity using RMB & not dollar
Can you imagine 10 years ago telling someone a German company will issue rmb debt? Lolololol
escobar
Brigadier
US Sanctions against RU lead to growing use of RMB as a trade invoicing currency, and not just with China, but also with third countries.
RMB started being used for settling trades with third countries, such as Mongolia (where the share of RMB rose to 18 percent from nil in 2021), Taipei, the Philippines, Malaysia, the UAE, Thailand, Japan, Tajikistan and Singapore. A small percentage of trades with the EU, US and UK (1-2 percent by volume or by number of transactions) also started using RMB as a vehicle currency. This trend is also observed for Russia’s exports, albeit to a lesser extent given the dominance of oil, gas, coal and other commodities typically traded in US dollars in Russia’s export mix. Trading partners paying for Russia’s exports in CNY are geographically more diverse, with top emerging users including Costa Rica, El Salvador, Cote d’Ivoire, Thailand, the UAE, Cameroon, Colombia and Nicaragua
RMB started being used for settling trades with third countries, such as Mongolia (where the share of RMB rose to 18 percent from nil in 2021), Taipei, the Philippines, Malaysia, the UAE, Thailand, Japan, Tajikistan and Singapore. A small percentage of trades with the EU, US and UK (1-2 percent by volume or by number of transactions) also started using RMB as a vehicle currency. This trend is also observed for Russia’s exports, albeit to a lesser extent given the dominance of oil, gas, coal and other commodities typically traded in US dollars in Russia’s export mix. Trading partners paying for Russia’s exports in CNY are geographically more diverse, with top emerging users including Costa Rica, El Salvador, Cote d’Ivoire, Thailand, the UAE, Cameroon, Colombia and Nicaragua