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S&P downgrades U.S. credit rating from AAA

It was my understanding that China is buying tons of Gold as of late. Could it possibly be that China is planning for the Yuan to replace the Dollar some time soon?

First of all China cannot "replace" dollar. Second, to even convince other countries than Yuan should be a candidate, China will have to fully float Yuan. You know where that will lead.
 
I wish we would get on with our GCC common currency already. We were so close to achieving it but then the UAE pulled out at the last minute....
 
It was my understanding that China is buying tons of Gold as of late. Could it possibly be that China is planning for the Yuan to replace the Dollar some time soon?

May be in 10 - 15 years. But Yuan has to be fully convertible first. Then China has to maintain credibility of Yuan
 
May be in 10 - 15 years. But Yuan has to be fully convertible first. Then China has to maintain credibility of Yuan

10-20 years sounds about right.

And that is only if the Chinese government even allows the Yuan to be fully convertible in the first place.

And only if the economic predictions about China come true, which is yet to be seen.

Better to be patient.
 
Any reason why this crisis is the beginning?

Everything is based off that rating. Everything. Wars are really won by bonds since the beginning of time. Since the US can only rollover debt and not actually pay any off, higher rates equal more debt which equals even higher rates in a vicious cycle. Since nature abhors a vacuum, somebody's got to fill that financial void. That somebody is China. You'll see in about 20 years this was the beginning of the end.
 
Everything is based off that rating. Everything. Wars are really won by bonds since the beginning of time. Since the US can only rollover debt and not actually pay any off, higher rates equal more debt which equals even higher rates in a vicious cycle. Since nature abhors a vacuum, somebody's got to fill that financial void. That somebody is China. You'll see in about 20 years this was the beginning of the end.

So you're not of the Keynesian school of borrowing more to grow your way out while the credit is cheap (still cheap isn't?)
 
I am guessing Aramsogo is packing his bag and leaving for China? Can I say goodbye at airport? When are you leaving, man?
 

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