South Africa, Iran, Venezuela, France, Australia, Germany, Cuba, Pakistan, Argentina set to join, and others.
China overtakes US in oil imports. Are they going to pay in gold or dollars?
China to be the biggest importer of oil in 2014. Is the US dollar to be used to purchase this oil?
In 2014, China will overtake the US as the biggest purchaser of crude oil. China will import 7 billion barrels, two more than the US. Does this mean China’s economy is growing? With the growing number of billionaires in China along with Chinese billionaires in America moving back to China, they can afford to hire people for construction of their houses/headquarters and other investments to develop China with the money they earned from the US. This may be the reason why the dollar may not devalue in the near future relative to other currencies.
The US has also decreased its oil imports due to higher domestic production(Canada is a state?) and the diminishing dependance of foreign oil. Enough domestic oil may bring down crude prices in North America. Despite the recent narrowing of crude and Brent oil prices, the increasing Chinese imports will strengthen the USD if those imports are traded in petrodollars.
The below chart show the weakening S&P500 futures with the MACD crossing over onto the downside. This perhaps is a sign of deflation as a result of a higher USD.
Additionally, last week Yao Yudong of the PBoC’s monetary policy committee called for a new Bretton Woods system to strengthen the management of global liquidity. In an article in the China Securities Journal, Yao called for more power to the IMF as international cooperation and supervision are needed.
China Takes Another Stab At The Dollar, Launches Currency Swap Line With France
One more domino in the dollar reserve supremacy regime falls. Following the announcement two weeks ago that “Australia And China will Enable Direct Currency Convertibility“, which in turn was the culmination of two years of Yuan internationalization efforts as summarized by the following: “World’s Second (China) And Third Largest (Japan) Economies To Bypass Dollar, Engage In Direct Currency Trade“, “China, Russia Drop Dollar In Bilateral Trade“, “China And Iran To Bypass Dollar, Plan Oil Barter System“, “India and Japan sign new $15bn currency swap agreement“, “Iran, Russia Replace Dollar With Rial, Ruble in Trade, Fars Says“, “India Joins Asian Dollar Exclusion Zone, Will Transact With Iran In Rupees“, and “The USD Trap Is Closing: Dollar Exclusion Zone Crosses The Pacific As Brazil Signs China Currency Swap“, China has now launched yet another feeler to see what the apetite toward its currency is, this time in the heart of the Eurozone: Paris. According to China Daily, as reported by Reuters, “France intends to set up a currency swap line with China to make Paris a major offshore yuan trading hub in Europe, competing against London.” As a reminder the BOE and the PBOC announced a currency swap line back in February, in effect linking up the CNY to the GBP. Now it is the EUR’s turn.
China opens Aussie dollar direct trading
China May Start Yuan-Australian Dollar Direct Trading
China, Japan to Use Yen, Yuan and Not the USD
What will China’s decision to bypass the American dollar when trading oil mean?
Iran accepts Chinese yuan in exchange for oil
Dollar no longer primary oil currency as China begins to sell oil using Yuan
World War 3 Economic Collapse Happening NOW ? Fiat Petrodollar Hyperinflation False Flags