Financial warfare: will there be a backlash against the dollar?

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The question is what would replace the USD and how willing would international investors be to participate in it? Chinese rules/laws about everything, finance included, are subject to change without notice. Markets don’t like that. And aside from the Chinese yuan I’m not sure of any other currency that could do it, even if the desire was there.

pyromancerbob

anyone that has ever dealt with RMB on a corporate scale knows that no company ever wants to hold it. China restricts the movement and conversion of it at all times. Companies do everything they can to avoid holding or trading it. Does that sound like an emerging currency that will be the global leader?

MagicChemist

Sure there will. And then everyone will realize there’s no viable alternative.

disco_biscuit

No, as long as American consumers and business are the largest consumers in the world. Plus, the US literally writes the game rules when it comes to macroeconomics and monetary system management, so unless someone else figure something better, good luck. and I sure as fuck Crypto and Bitcoin aren’t one

full_carry

No, for the last time no. Eurozone is too volatile and only loonies trust the Chinese so the dollar is here to stay. The overall share of dollar reserves may drop, but not enough not make a material difference to the US economy and macroeconomic conditions. Treasuries may be more expensive to roll over but nothing earth shattering. Might even be a good thing as it will force congress to stop going further into debt.

ThreeTwoOneQueef