Posted on 04/16/2016 6:08:49 PM PDT by combat_boots
In a shocking move likely to crush the US economy overnight, China is refusing to make its new gold-backed Yuan, convertible from or to US Dollars. The new Yuan will be introduced next Tuesday, April 19.
When the International Monetary Fund (IMF) agreed to add the Yuan to the basket of world currencies used for Global Reserves and International Trade, they wanted China to make the Yuan more reliable as a currency. Since then, China has almost un-pegged its Yuan from the Dollar, allowing its value to fluctuate on world markets.
But for years, China has been amassing huge amounts of gold bullion; some have said their appetite for bullion has been "staggering." And with a new gold-backed Yuan to be issued next Tuesday, the entire world will have a choice of a new currency to use for international trade: The old US Dollar which is backed by nothing, or the new Chinese Yuan, which is backed by gold. Which currency would YOU use?
When this new currency is issued, countries that have been forced to use US Dollars for decades, and have had to keep billions of dollars in their foreign currency reserves, will be free to dump those dollars. But they won't be able to dump them to China for the new gold-backed, Yuan!
China has reportedly decided "there can be no conversion of gold-backed Yuan to or from US dollars."
(Excerpt) Read more at superstation95.com ...
It’s goldbux!
And here I thought you were. You mean you’re made of solid gold? OK. Address please. I’ll be right over.
I’m not at all sure I believe this.
However, I do believe that a currency which is backed by real value (gold or a basket of commodities, or whatever) is the smart way to go. The US ought to lead the way, but if China goes first, we should follow.
Fiat money has become a ponzi scheme and the Central Banks are murdering the world.
I don’t know what the effect will really be, but probably not good. China’s economy is also crashing so their insistence may not last very long.
I wish I were 96 years old, so my suffering wouldn’t be as bad.
So China wants to shoot itself in the foot.
If this was for real, it would only be a relatively short-term pain. They might lose trillions, but if you’re at war, that’s a small price to pay to destroy your enemy.
They believe that if they lose 99% of their people and win, it was well worth it. They do not value human life, only victory.
this is why bankers from all over the world met in DC last week.
Ron Paul proven correct once again.
If true, this is bad. It also explains why China has been stockpiling gold like nobody’s business for the past few years.
And if their currency is truly gold backed, we all might have to start using it to preserve the value of our money against the perpetual siphoning from our central bank.
An honest monetary unit is a good thing, run by anybody, anywhere, anytime. Funny how the fiat dollar, brought to us by the murdering crook, LBJ, and Tricky Dick, is utterly beyond criticism. To question its wisdom is to be banished forever to Kookland.
No, if this is really going on they don’t want 95% of the worlds loose dollars flooding into their backed currency at an uncontrolled rate, particularly if it’s actually convertible.
I’m curious. How will this affect Chinese stocks like BABA and BIDU that are traded on the NASDAQ?
You think it would be bullish, but with no exchange rate to dollars how would they be priced?
I don't care who you are, that's funny right there.
I’d forgotten about that.
Well they run a (massive, and now another brand-new trade deficit) with us.
We need to bring back American manufacturing.
Now.
Correction:
“and now another brand-new record trade deficit”
China keeps killing their children.
So we will pay them for Walmart junk with jelly beans
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