A Global Currency is Born

Business Without Borders ^ | December 11th, 2012 | Deborah Stokes

[ExSoldier]

The world’s second-largest economy has a currency that ranks 14th most used in the world, just ahead of the Danish krone, behind the Russian rouble and miles away from the euro and US dollar, No. 1 and No. 2, respectively.

But that is quickly changing. The internationalization of the RMB, as engineered by the Chinese government, is happening at warp speed. At the start of 2012, the RMB ranked 20th among international currencies, according to SWIFT (Society for Worldwide Interbank Financial Telecommunication). It leaped six spots in nine months.

“At some point in the next decade to come, the RMB will be a major player among global currencies,” said Chris Davies, Deputy CEO of HSBC China. “This is very much a step-by-step process, a technical process, as the currency moves from being ‘ring-fenced’ to one more convertible globally.”

[ExSoldier]

To me this is scary stuff, beyond the impact for our own economy at the practical level of commerce and business. I was thinking more of the angle of Christianity and the shape that is forming that will become the Earthly domain of the Anti Christ and the End of Days. Little indicators are literally all around us. I was just surfing a current event article and saw this link and a lightbulb popped on above my head. Whenever I think about this I think: RAPTURE READY?

[Alberta's Child]

This is a lot of nonsense. The Chinese are doing exactly what many leaders in the U.S. -- and many folks right here on FreeRepublic -- were calling for them to do years ago. Their currency will no longer be linked to the U.S. dollar, which means their currency now has to stand on its own.

Ironically, I've said for years that the Chinese yuan was a worthless currency as long as it was pegged to the dollar. That may now be changing.

Something else to consider here is that China really couldn't continue with their policy of linking the yuan to the dollar. With the currencies linked, the price of imported commodities (into China) jumped through the roof as the U.S. dollar lost its value. Do you think the Chinese were happy trading partners with the U.S. when oil was trading at $140/barrel?

[rbg81]

I think this is a reaction to other countries being fed out with the continual printing of the West (US, EU, UK, and Japan). Anyone outside of these countries holding these currencies is taking it in the shorts. As are savers IN these countries.

In a way, this is a GOOD thing, as it will force our Government to deal with entitlements when they can no longer print an infinite amount of $$ without consequences..

[ExSoldier]

Love your home page here on FR. Pictures are unbelievable. WOW. I also like the thing about wearing Dusters. I've always wanted one of those. Never could quite justify it, though. Also would probably look kinda odd wearing it here in Miami, FL. I don't own a horse or a motorcycle where this would look like a natural fit, but maybe someday I will. Please also remember that I posted this not so much in the vein of the economics of it all as you were pointing out but more from the view of Christian eschatology.

[campaignPete R-CT]

Breaking News:

China is Big!

(Therefore, their currency will now get some use internationally.)

[Cold Heart]

The original dusters in Australia were made from sail canvas. I have a horse and two dusters. One duster is the classical and the other has team logo on it from my mounted shooting days. They are both in the attic. Now when I trail ride I wear an ECWS coat.

[muawiyah]

Which turns into meaninglessness as long as the United States, unlike most others (except China, Chile, Argentina, Brazil, Russia) actually have ASSETS to back up the debt.

We have a very long way to go ~ hundreds of trillions of dollars ~ and may be even thousands of trillions, or millions of trillions!

[ckilmer]

Actually the largest number of conversions to christianity in the world is taking place in China.

[Alberta's Child]

Understood, ExSoldier -- and thanks! :-)

I should apologize and clarify here ... My comment wasn't directed so much at your response as it was at the general tone of alarm on various threads around FreeRepublic that's been presented regarding China's currency issues.