In diplomacy, what’s left unsaid often matters more than what’s said. After Chinese President Xi Jinping met the king of Saudi Arabia in December, both nations issued lengthy readouts extolling the burgeoning Saudi-Sino relationship in “all fields.” But in more than 5,000 words, the
You have to take anything published by Bloomberg with a grain of salt. Doug Casey writes today:
“Just last Sunday, one of the most significant economic deals of the century came to an end. The long-standing petrodollar agreement between Saudi Arabia and the United States officially expired on June 9th, 2024. This system, which has been in place for 50 years, is now gone.”
Jim Rickards has written much about BRICS+ and the trend away from the dollar as a reserve currency, although he does say it may take a 5 or more years to totally upset the dollar's supremacy. The sanctioning of Russian oil has pushed Russia, China, India, Turkey, and Iran to do deals together, accepting each others' currencies without relying on the US dollar. The US has gone too far also with sanctions of currency transactions with the SWIFT system and even threatening to steal Russian assets that are in US dollars. This has understandably made other nations leery of dependence on the US dollar as a reserve currency.
BRICS+ are on the move - at some point in the next 5-10 years, the petroyuan may well exist, indeed a significant proportion of world trade may not be in dollars US - even Turkey are now flirting with joining BRICS - world dominance is changing, how fast, how far are the only unknowns
You have to take anything published by Bloomberg with a grain of salt. Doug Casey writes today:
“Just last Sunday, one of the most significant economic deals of the century came to an end. The long-standing petrodollar agreement between Saudi Arabia and the United States officially expired on June 9th, 2024. This system, which has been in place for 50 years, is now gone.”
https://www.crisisinvesting.com/p/the-end-of-the-petrodollar?
Jim Rickards has written much about BRICS+ and the trend away from the dollar as a reserve currency, although he does say it may take a 5 or more years to totally upset the dollar's supremacy. The sanctioning of Russian oil has pushed Russia, China, India, Turkey, and Iran to do deals together, accepting each others' currencies without relying on the US dollar. The US has gone too far also with sanctions of currency transactions with the SWIFT system and even threatening to steal Russian assets that are in US dollars. This has understandably made other nations leery of dependence on the US dollar as a reserve currency.
Al, Great points - I have to remember who owns it....
Here is an interesting video from Inside China Business about how China is building a banking system that can hold dollars with no connection to the US banking system. This seems hard to do with a fiat currency. https://www.youtube.com/watch?v=DnzuR-kog-w&t=29s. Maybe with Eurodollars? https://en.wikipedia.org/wiki/International_use_of_the_U.S._dollar
BRICS+ are on the move - at some point in the next 5-10 years, the petroyuan may well exist, indeed a significant proportion of world trade may not be in dollars US - even Turkey are now flirting with joining BRICS - world dominance is changing, how fast, how far are the only unknowns