By Susan Duclos – All News PipeLine
There is a lot of Internet chatter about a new billboard China has erected, shown below, which announces a new “World Currency,” which they say is the Renminbi and looking at the history of dominant reserve currency, as the US Dollar is now, shows that the US is nearing the end of its dominance as well as the benefits that status affords the US.
The billboard shown above was spotted near the airport in Bangkok, assuring that anyone landing at one of the world’s busiest airports would see it, announcing “RMB: New Choice; The World Currency.” Simon Black on March 4, 2015, states the following:
It means that China is literally advertising its currency overseas, and it’s making sure that everyone landing at one of the world’s busiest airports sees it. They know that the future belongs to them and they’re flaunting it.
And it’s true. The renminbi’s importance in global trade and as a reserve currency is increasing exponentially, with renminbi trading hubs popping up all over the world, from Singapore to London to Luxembourg to Frankfurt to Toronto.
Multinational companies such as McDonald’s are now issuing bonds in renminbi, and even sovereign governments are issuing debt denominated in renminbi, including the UK.
Read the rest at Sovereign Man.
While many may wave this away as a China blowing hot air, a historic look and dominant reserve currencies show that typically reserve currency transitions run in cycles that last somewhere between 80 and 110 years per cycle. As shown in the chart below, the US Dollar has held it’s status since 1921, bringing it to a 94 year streak, indicating that the Dollar has almost run its course.
The bottom line as explained by EconomicReason.com is “The US is trying to postpone the crisis by printing money, however this is creating currency wars with nearly all major central banks in the world. As history has shown us time and again, causing this delay through money printing will only aggravate the problem, not only not preventing the inevitable, but indeed making the transition more painful and costly.”
We have seen warnings from financial gurus, investors, forecasters, trends analysts and more warning that the US Dollar is on it’s last legs and that the central banks coninue to manipulate events in order to help the Dollar maintain its status for a little longer, but that those manipulations are rapidly approaching the wall and they will be unable to prevent the US Dollar from crashing for much longer.
China and other countries have been publicly calling for the Greenback to be replaced as the primary reserve currency and the currency wars have heated up recently with more and more countries bypassing the Dollar.
Will the Renminbi be the replacement? According to recent reports highlighted by The Economic Collapse website, some very interesting statements have been made about this strengthening of the Renminbi, shown below.
The following comes from CNBC…
The tightly controlled Chinese yuan will eventually supersede the dollar as the top international reserve currency, according to a new poll of institutional investors.
The survey of 200 institutional investors – 100 headquartered in mainland China and 100 outside of it – published by State Street and the Economist Intelligence Unit on Thursday found 53 percent of investors think the renminbi will surpass the U.S. dollar as the world’s major reserve currency.
Optimism was higher within China, where 62 percent said they saw a redback world on the horizon, compared with 43 percent outside China.
And without a doubt we are starting to see the beginnings of a significant shift.
Just consider this excerpt from a recent Reuters report…
China’s yuan broke into the top five as a world payment currency in November, overtaking the Canadian dollar and the Australian dollar, global transaction services organization SWIFT said on Wednesday.
Then we are reminded in the video below that China owns $1.3 trillion of the United States’ debt, as well as sinking more money into America’s economy and buying up US real estate, as they ask “how much of the US does China own?
The answer may shock you.