China, Russia quit dollar - Beginning of the End?

Miscellaneous Current Events
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China, Russia quit dollar###### By Su Qiang and Li Xiaokun (China Daily)

Updated: 2010-11-24 08:02

St. Petersburg, Russia - China and Russia have decided to renounce the US dollar and resort to using their own currencies for bilateral trade, Premier Wen Jiabao and his Russian counterpart Vladimir Putin announced late on Tuesday.

“About trade settlement, we have decided to use our own currencies,” Putin said at a joint news conference with Wen in St. Petersburg.

The two countries were accustomed to using other currencies, especially the dollar, for bilateral trade. Since the financial crisis, however, high-ranking officials on both sides began to explore other possibilities.

The yuan has now started trading against the Russian rouble in the Chinese interbank market, while the renminbi will soon be allowed to trade against the rouble in Russia, Putin said.

“That has forged an important step in bilateral trade and it is a result of the consolidated financial systems of world countries,” he said.

Russia, China Reject Dollar
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That’s what it looks like. The dollar is doomed if it loses its status as the vehicle currency.

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A long overdue decision, it has been in the air for a while. With the US and the EMU becoming less reliable by the day it was only a matter of time.

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Apparently the volume of China-Russia trade is 42 billion dollars.

http://www.newkerala.com/news/world/fullnews-90859.html

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And that’s how close we’ll ever get to a single worldwide fiat currency. Now for the Euro…

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I personally don’t think it will matter until the petrodollar falls.