Another Deal to Circumvent the Dollar

[Ghepetto]

http://money.cnn.com/2013/10/10/news/economy/ecb-china-currency/



This time it's China and the European Union.  The Dollar may die sooner than expected?

[RustyNomad]

Another nail in the Dollar's coffin.

[zyzzbrah]

Another nail in the Dollar's coffin.

At this pace they are going to run out of nails. I claim the dollar can continue going on as it is for at least 20+ years before we see big changes.

[redhawk979]

Another nail in the Dollar's coffin.

At this pace they are going to run out of nails. I claim the dollar can continue going on as it is for at least 20+ years before we see big changes.

Bitcoin: The only currency so bad, only the complete economic collapse of the entire world can make convince the world to use it.

[IIOII]

Truly significant news. It's getting tougher for the USD every day.

Another nail in the Dollar's coffin.

At this pace they are going to run out of nails. I claim the dollar can continue going on as it is for at least 20+ years before we see big changes.

I doubt it. I would be surprised if its primary reserve status will last longer than 10 years from now. Things will accelerate quickly when the seed of distrust has sprouted. There are many countries that want to get rid of the USD hegemony. When they sense that the power of the empire is dwindling they'll use that opportunity to exit the dollar sphere.

[duke1839]

Another nail in the Dollar's coffin.

At this pace they are going to run out of nails. I claim the dollar can continue going on as it is for at least 20+ years before we see big changes.

These deals countries make to settle up with each other using their own currencies don't really affect the dollar's reserve status.  If Germany had any balls they would go back to the deutsche mark and maybe that currency could affect the dollar's reserve status.  But don't hold your breath for any dollar collapse.  It will happen but I don't think it is imminent. 

[Eisenhower34]

Truly significant news. It's getting tougher for the USD every day.

Another nail in the Dollar's coffin.

At this pace they are going to run out of nails. I claim the dollar can continue going on as it is for at least 20+ years before we see big changes.

I doubt it. I would be surprised if its primary reserve status will last longer than 10 years from now. Things will accelerate quickly when the seed of distrust has sprouted. There are many countries that want to get rid of the USD hegemony. When they sense that the power of the empire is dwindling they'll use that opportunity to exit the dollar sphere.

Most of the dollar's problems is because of Obama's crazy economic policies. Once the GOP takes control of both parts of the legislature and hopefully takes control of the White House in 2017, the economic policies will be reversed and the amount of borrowing the US does will decrease substantially (and potentially the national debt will start to be reduced)

[Nrcewker]

Another nail in the Dollar's coffin.

+1

[kutaka]

1 years old news.

[picolo]

Central banks keep getting a lot of USD, if they were selling it it would be very bearish for the USD

[bf4btc]

Another nail in the Dollar's coffin.

At this pace they are going to run out of nails. I claim the dollar can continue going on as it is for at least 20+ years before we see big changes.

These deals countries make to settle up with each other using their own currencies don't really affect the dollar's reserve status.  If Germany had any balls they would go back to the deutsche mark and maybe that currency could affect the dollar's reserve status.  But don't hold your breath for any dollar collapse.  It will happen but I don't think it is imminent. 

The Euro is somewhat of a threat to the Dollars exclusive reserve status. It would probably have a better chance of dethroning the dollar as the world reserve currency then a currency that is only backed by Germany as the EU economy is many times larger then the German economy.

Even if the dollar is no longer primarily used by foreign governments as a reserve currency, it will likely still be used as a 'secondary' reserve currency for a very long time

[pitham1]

The article is dated Oct-13.
Nothing material seems to have happened on this front in the last 1 year.

The BRIC countries joining together to form their own bank seems to be a bigger threat to the dominance of the dollar.

[abrahamlitcoin]

Any update about this?

[polynesia]

Any update about this?

Nothing in the news since then.

[DhaniBoy]

dollars now still be excellent in international trade transactions, despite the presence of competitors such as the euro and the pound, the dollar is still widely used in the export and import trade of a country, it also caused a lot of American interests abroad has mainly security issues, America is still a beacon of problem security world, as the world police can not release the American interests in other countries, so that for any economic problem America has a lot of interest in other countries, thus automatically also always used the American dollar in trade transactions ... 

[pattu1]

dollars now still be excellent in international trade transactions, despite the presence of competitors such as the euro and the pound, the dollar is still widely used in the export and import trade of a country, it also caused a lot of American interests abroad has mainly security issues, America is still a beacon of problem security world, as the world police can not release the American interests in other countries, so that for any economic problem America has a lot of interest in other countries, thus automatically also always used the American dollar in trade transactions ... 

I think you are trying to say that the US, because of its military might and wide presence, pushes the use of the USD?

[picolo]

dollars now still be excellent in international trade transactions, despite the presence of competitors such as the euro and the pound, the dollar is still widely used in the export and import trade of a country, it also caused a lot of American interests abroad has mainly security issues, America is still a beacon of problem security world, as the world police can not release the American interests in other countries, so that for any economic problem America has a lot of interest in other countries, thus automatically also always used the American dollar in trade transactions ... 

The Dollar is still the main international currency but the trend is negative and we see many indications that it will not be used as much anymore, Yuan and Gold will be used more, maybe Euro and Bitcoin too

[chennan]

China becomes the second largest economy following by the USA in terms of GDP. The increasing number of trades are conducted with yuan. The USA is falling in the steep hole of debt and will lag behind China or other countries no more than 10 years (personal opinion, no offence). Whether bitcoin will play the role of currency will depend on the policy of China and the USA.

[polynesia]

China becomes the second largest economy following by the USA in terms of GDP. The increasing number of trades are conducted with yuan. The USA is falling in the steep hole of debt and will lag behind China or other countries no more than 10 years (personal opinion, no offence). Whether bitcoin will play the role of currency will depend on the policy of China and the USA.

I don't think increasing number of trades are conducted with yuan. Until China opens up its capital markets, foreign investors find little use for yuan,

[Jamacn]

China is the largest creditor of dollars, the Communist Party won't watch the process of dollars dead