Five of the top ten economies abandoned dollar

The U.S. dollar is rapidly losing its status as the world’s reserve currency. Five of the top ten economies in the world, along with several others no longer use the dollar as an intermediary currency for trade, reportsMixedNews.

 

This trend is for the dollar and for all of the United States as a whole big risk.

Australia, being the 12 largest economies in the world, has joined the growing list of countries who have agreed to abandon the dollar in bilateral trade with China. China, being the second largest economy in the world after the U.S., also has similar agreements with Japan (3rd place), Brazil (6th), India (9th) and Russia (10th).

Although the one-way agreement for some time took place between China and the countries listed above, last week agreed to set up the BRICS Development Bank, which will compete with the IMF, which points to the fact that it is created for the work in a "posledollarovogo" world.

In addition, Brazil, which some time ago agreed in principle to withdraw from the dollar in bilateral trade with China has just made it official by creating an annual $ 30-billion currency swap that will contribute to about 50 percent of trade between them.

In addition to these agreements with China, some of these countries have signed the same agreement with each other. India and Japan in 2011 founded the $ 15-billion-dollar swap their currencies for bilateral trade. And sanctions against Iran will not stop its oil trade with China, Russia and India in anything but the dollar.

Here’s how the current board of the U.S. dollar compared with previous global reserve currencies:

It seems that the dollar is approaching the end of his reign, which can lead to serious economic difficulties for the United States.

Dave Hodgeswrites:

"Good economic condition of the United States is due solely to the fact that the world should use the dollar, if you will, of petrodollars to purchase oil for their needs, which provides the only source of support for the U.S. dollar, which required the Federal Reserve to maintain our very heavy duty."

AndMarin Catoosaof Casey Research writes:

"If the U.S. dollar loses its position as the world’s reserve currency, the consequences for America would be severe. The bulk of the dollar’s value stems from its ligaments to the oil industry — if that monopoly order to live long, and the same thing will happen to the value of the dollar. Such an important transition in the relationship world fiat currencies have a positive impact on some, and negatively to other world currencies, the end result of which would be very difficult to predict. However, there is one outcome that can be predicted almost certain: gold will go up. Uncertainty around paper money always bodes well for gold, and the current time as time is a time of uncertainty. "

American imperialism, combined with the infinite capacity of debts, it seems, leads to the formation of deadly peak, which will incorporate many of the leading and drown at the moment of the world economy. And probably will not be long before all else will follow them. So now would be a great time for reflection about diversifying into other currencies, it is even possible to digital to mitigate growing losses in U.S. dollars.


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