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De-Dollarization Accelerates - China/Russia Complete Currency Swap Agreement
The last 3 months have seen Russia's "de-dollarization" plans accelerate. First Gazprom clients shift to Euros and Renminbi, then the UK signs currency swap agreements with China, then NATO ally Turkey cuts ties and mulls de-dollarization, Switzerland jumps in the currency swap agreements, and BRICS create their own non-US-based funding vehicle, and then finally this week, Russia's oligarchs have shifted cash holdings to Hong Kong. But this week, as RT reports, Russian and Chinese central banks have agreed a draft currency swap agreement, which will allow them to increase trade in domestic currencies and cut the dependence on the US dollar in bilateral payments. “"The agreement will stimulate further development of direct trade in yuan and rubles on the domestic foreign exchange markets of Russia and China," the Russian regulator said.
In early July, the Central Bank’s chairwoman Elvira Nabiullina said Moscow and Beijing were close to reaching an agreement on conducting swap operations in national currencies to boost trade. The deal was later discussed during her trip to China.
President Vladimir Putin, during his visit to Shanghai in May, said cooperation between Russian and Chinese banks was growing, and the two sides were set to continue developing the financial infrastructure.
“Work is underway to increase the amount of mutual payments in national currencies, and we intend to consider new financial instruments,” Putin said after talks with President Xi Jinping.
It appears the deal is done...
The Russian and Chinese central banks have agreed a draft currency swap agreement, which will allow them to increase trade in domestic currencies and cut the dependence on the US dollar in bilateral payments.
“The draft document between the Central Bank of Russia and the People’s Bank of China on national currency swaps has been agreed by the parties,” and is at the stage of formal approval procedures, ITAR-TASS quotes the Russian regulator’s office on Thursday.
The Russian Central Bank is not giving precise details on the size of the currency swaps, nor when it will be launched. It says this will depend on demand.
According to the bank, the agreement will serve as an additional instrument for ensuring international financial stability. Also, it will offer the possibility to obtain liquidity in critical situations.
“The agreement will stimulate further development of direct trade in yuan and rubles on the domestic foreign exchange markets of Russia and China,” the Russian regulator said.
Currently, over 75 percent of payments in Russia-China trade settlements are made in US dollars, according to Rossiyskaya Gazeta newspaper.
* * *
And as we have explained repeatedly in the past, the further the west antagonizes Russia, and the more economic sanctions it lobs at it, the more Russia will be forced away from a USD-denominated trading system and into one which faces China and India.
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Unless the plan is to throw the fight, or you are France >)
YANKEE DOODLE DANDY DOLLAR DODO
In the highly unlikely event of a nuclear war VICHY DC and ISRAEL are the top two targets.
Window is closing on precious metals price launch.
certainly worth posting again. http://www.nst.com.my/node/20925
Just when will "some" of the intelligence professionals that confirm it to be Kiev's doing will step forward to identify themselves as a "VIPS" to stand and be counted is anybody's guess.
Maybe Ed Snowden will be the spokesperson for all of them at this point, which is pretty fucking lame given where we are at this point in our unraveling!
More nails in the USA coffin. It's temper tantrum time in the White House, guaranteed!
OCCUPY WALL STREET - OCCUPY EVERYTHING except petro-dollars
SO ZH AFTER 6 YEARS MAKES IT TO THE TOP LINE (NOT HEADLINE) OF DRUDGE REPORT.
THIS IS MAYBE GOOD IN SOME WAYS. MONEY AND ADVERTISING DOLLARS FOR ZH.
BUT MORE TROLLS, MORE MANIPUALATION INCENTIVES FOR POTENTIAL AUTHORS AND 'CONTRIBUTORS'.
KINDA MAKES ME WORRY......THIS MIGHT BE THE BEGINNING OF THE END OF ZH AS WE KNOW IT.
heh - I had the same thought when the Hedge left blogspot.
iReggie will be posting an article soon to try and capitalize on the newcomers. He will pat himself on the back more times than Krugman begged for more printing.
Anyone here converted their life savings to Russian and Chinese currency and deposited in either communist countries ?
YEP I thought so.........
Well, I've converted most of my musty ol' USD into HKD. So that's a start.
How did you do that, exactly?
Does buying Pandas' count as such?
The Russians are no longer part of a communist empire. They are the same predatory capitalists that most of us are.
Actually, I am stocking up on Rubles.
When one lives overseas, it is best to diversify.
JFC Fuller's analysis of the buildup to WW2 is worth a read I feel
https://www.dropbox.com/sh/q0a1kb5zg61naf7/AADTGmppEAwCIh3wsRF8txVya
There is no chance that the Zionist Federal Reserve will let go of the Dollar. They do not need to. Unless and until it is all replaced by the Schekel. All other nation states vie for a seat at the table. It's a bullshit notion that any country is sovereign or has any sense. It's too late. Begin a local government and currency and fuck it. All else is a primrose path to death.
Ok, you want to down vote, please provide a reason.
Oh, yeah, now that I think of it
FUCK ISRAEL!
Ok, let's talk:
As far as I'm concerned, God help me, as I live and breathe, if there is one thing I can muster from my shitty life it is that I know without a doubt that you Zionist pieces of shit are murderous, filthy, lecherous, disgusting abominations to the Human race and you deserve to be wiped off the face of the Earth.
You pretend Jews, you pretend people are sick with a disease. You are not human and you are the scum of the planet. I want you to die. I hope to heaven that you perish and leave our planet to Human beings who love and care for their children, their friends and their community.
There is no hate in this. There is love for all my Spartacus friends. We look at you and see through you Zionist NWO folks. You are way, way outnumbered, and your killing, your raping, your smashing infant skulls will stain your hands and faces for all of us to see. We are not your chattle. We are not your Goy. We are not your cows or your kids. We will one day rise up and smite you off of this planet. At the same time we will keep in our hearts and souls the Tree of Life, the Caballah, the Zohar and we will destroy and eclipse you psycopathic, sick, demented, sociopaths from ever, ever exuding your sick stink on our peaceful homeland, you sick disgusting harlots.
Free Palestine!
Free Palestine!
Go Dangle you sick disgusting homonids. You have nothing, absolutely nothing in common with the race of mankind and you will never, ever, replace our kind hearts and hearths with death. You are the shit of this Planet and you should die eternal death.
Long live the 12 Tribes, may they awaken and destroy the counterfeit, murderous, disgusting, sick false humans who will kill every last one of us in their furnaces. You hypocrite sick fucking Zionist assholes! You could never, ever, ever, ever, have the capacity for honor as the least practicing torah reading adolescent and you know it.
What I say in my freedom of speech is that you counterfeit, murderous, disgusting, homeless, nobodies ought to be denied oxygen first. Then you will understand that your blue blood is not perfect. After which, when we tear down your statues, when we destroy your symbolic reign over us, we will always know you as murderers. You ARE MURDERERS.
It is said that to remove the spell of a Vampire over others, one has to kill the Vampire who turned their children. I say, let us humans defend ourselves throug a steak of wood, of cedar, of doug fir, of love, of cyprus, of olive through your wicked hearts and let our people go. Zionist pretend Jews are the sickes pieces of filth on this planet and I will gladly die to pronounce that they sew division amongst all peoples, Shiiah and Sunni, Jew against Jew, Christian againgst Christian. Their word is death. They are Death. I hope these Zionist, non-jews perish in the HELL that they demand on earth and I furthermore wish that All 98 Percent of us will say NO THANKS! to the Zionist assholes who pretend they are worth more than a fart.
FUCK ZIONIST LOSERS. FUCK ISRAEL. THIS IS NOT HATE SPEACH BECAUSE I LOVE JUDAISM. I LOVE PALESTINE. THE QUEEN IS DEAD! HER SON IS A FAGGOT! LONG LIVE GAYWAD PRINCE CHUCK MY MOUTH FOR THE ZIONISTS AND EAT SHIT.
Love, Amerika.
I didn't even post this and I got down voted.
Good for you. Down vote me. I like it. I emphatically encourage it.
But, as I say, you have no argument to back it up.
Eat shit and die.
We are not your chattle. We are not your Goy.
But....we are. That's the problem. Now a lot of people are waking up, myself included, but until enough do we'll remain cattle and goys.
ha ha ha ha ha ha ha ha
http://www.reuters.com/article/2014/08/09/russia-rosneft-exxon-mobil-idU...
Aug 9(Reuters) - U.S. oil giant ExxonMobil began drilling in Russia's Arctic on Saturday, despite Western sanctions imposed on its Russian partner Rosneft, and was hailed by Russia's president as an model of "cooperation".
Although U.S. sanctions over the crisis in Ukraine are not designed to halt joint projects by Russian and U.S. companies, they nevertheless aim to starve Rosneft of dollar financing and ban access to modern technology.
"Today, commercial success is driven by efficient international cooperation," Vladimir Putin told Rosneft CEO Igor Sechin and Glenn Waller, ExxonMobil's lead manager in Russia, on a videoconference call from his Black Sea residence in Sochi.
"Businesses, including Russian and foreign companies, perfectly realise that and despite certain current political difficulties, pragmatism and common sense prevail, and we are pleased to hear that," he said.
Exxon brought a rig from Norway to drill Russia's first well in the Kara Sea and its move will be seen as a vote of confidence in Rosneft, run by a close ally of Putin's, Igor Sechin, who has also had sanctions imposed on him by Washington.
"We of course welcome this approach (to cooperate) and are from our side are open to expand our cooperation," Putin said.
"I am convinced that the joint projects between Rosneft, Exxon Mobil and other companies will benefit our national economies, will contribute to strengthening the global energy situation," he said.
Waller, who spoke Russian, said the company was keen to keep working in Russia.
"Our cooperation is a long-term one," he said. "We see big benefits here and are ready to work here with your agreement."
exxonmobil interests must think or know that they are untouchable.
question is: what do they know that we don't know?
oh, and why doesn't vlad stand by his word to sacrifice this relationship if the us increased sanctions?
change of heart?
was it only me that missed this?
http://www.bloomberg.com/news/2014-07-30/rosneft-signs-drilling-accords-...
"Sanctions" and all are for the MSM to "inform" the sheeples.
I was re-reading the other day about the huge Hollywood propaganda machine set in place before and during WWII to "educate" the people.
It was very interesting Walt Disney's Donald Duck deciding to pay taxes for the sake of freedom and democracy.
Motion Picture Committee Cooperating for National Defense
Office of Government Reports (OGR)
Office of Coordinator of Information (COI).
Office of War Information (OWI)
Government Information Manual for the Motion Picture Industry
And so on. The advertisement of war...
"Axis"
"Axis of evil"...
Anything for the sake of those guys businesses.
Exxon opened up a Post office box in St. Petersburg, new shell company formed.
/sarc
trader1, perhaps start checking out itar news?
trader1, according to XOM their contracts were sold prior to sanctions and therefore not applicable. shell, bp, feel pretty much the same. rosneft has been busy signing lots of deals, including the rigging deal, XOM is investing a fair amount of money in an arctic platform. yes, it may be for naught, perhaps XOM's last gasp, but i have a feeling the early findings may've given them enough stamina to see this exploration through a few more stages. russia is not entirely isolated, imho, if XOM is basically willing to flaunt washington.
speaking of china...
what's up with their space program?
august 8: http://www.rfa.org/english/news/china/rocket-08082014145225.html
august 9: http://en.ria.ru/world/20140809/191868336/China-Sends-Remote-Sensing-Sat...
Maybe the rocket motor came loose from the stick that it was taped to.
in case you weren't sure, it's true.
we are watching a surreal, live, dark, tragi-comedy: http://en.ria.ru/analysis/20140809/191870859/Pentagon-Refuses-to-Cancel-...
Not important....they don't make anything...
it really is INTERESTING. let's say... someone other than me... f it, ME is really broke. flat broke. the brokest of broke motherfuckers. I have my clothes, my car and my plasma TV. What is the government going to do? take those things from me? I rent. I have nothing to take. fuck everybody. fuck the system.
oh, and here is the motherfucking hi-larious part, I am supposed to pay for Obamacare when I haven't seen a doctor since 2009? ish... and just finally saw a dentist last year. What the fuck are you going to take from me? you want a kidney or a spleen?
I am not posting this for myself. I am posting this to see how many other people -SHOCK- are in the same or worse position. Crash the economy... I think it would be fucking funny. LOL. hope everyone nose dives coz I have nothing else left to give. except my good looks and sarcasm. but you can't have those!
What if enough people cashed out, bought PMs and so forth and just sat back in the hammock sipping on a lemonade. Did not show up for work. How long would it last?
Nothing to take?
Air, Water, Warmth, Next Meal, Health and Space is given/taken away.
You can't see this?
And now Obummer's most recent sanctions on Russia have caused Putin to retaliate by forbidding importation of U.S. agricultural products for the next year while allowing Russia to cement even closer ties with China and the other BRICS as they step in to fulfill Russia's import demands - demand which the BRICS can fill completely without U.S. exports. The currency swap agreements between the BRICS sure are coming in handy all of a sudden.
Way to go, Obozo. If this isn't intentional, then you're playing Checkers in a Go world. At least domestic ag prices should plunge for a bit.
Too bad because corn is coming in strong this year. Northern Illinois looking better than I have ever seen.
GMO Corn
Volkodav, -- you actually know something about corn? Won't you put a bushel in my manger to prove that you do.
plus 1 for the Go reference.
What if Bath House actually works for Vlad?
In that case, it all makes sense.
Unless the Zionists want Russia back and are willing to go to war to do it.
When asked what the chief cause of the American Revolution was, BEN FRANKLIN (of Pennsylvania) stated that it was Britain's insistence that ONLY British currency be used in the colonies. Because British money and credit were scarce in te colonies. many of the colonies created their OWN systems of currency and credit. Colonial Pennsylvania's currency was, by far, the most successful - it was stable in value, accepted by most businesses and people in Pennsylvania, and very soon after accepted as payment in several other colonies as well.
These colonial currencies decreased the demand for British pounds; so under pressure from the Bank of England, the British Parliament banned such colonial currencies. The subsequent economic depression that hit Pennsylvania and the other colonies was, in Franklin's opinion, the by far the major cause of the Revolution.
It has long been my opinion that MOST wars are NOT fought for "freedom". "justice", "honor", "religion" or any of the usual propaganda spewed out by governmnets and the mass media. Instead, mosy wars are begun for ECONOMIC reasons: for money, gold, land and other natural resources. (Even the Japanese attack on Pearl Harbor was motivated by embargoes by the U.S. government on exports of oil, steel amd other vital items to Japan.)
With the current de-dollarization by China, Russia and the other BRICS nations (including non-dollar based currency-exchanges, a new system of credit, and eventualy a new currency backed by gold), AND the fact that the sactions placed on Russia by the U.S. and EU are severely damaging the EU economies and actually speeding up the demise of the U.S. dollar, is the ONLY option left for the U.S. government and the PTB an all-out thermonuclear WAR?
Only if they think they can win it and survive.
Unfortunately we have been seeing evidence that they do think this. And that "de-dollarization" is for them a sufficient cause for a war that puts human survival at risk.
Which is why "de-dollarization" has waited as long as it has, and why now that the mortal threat to Russia has pushed it to the front burner it needs to spread like wildfire before the Empire can put all the pieces in place for launching the global war to stop it.
As the dollar collapses and the US gets militarily entangled in ever more countries in invented genocidal conflicts, a point may be reached where even the supremely arrogant criminal thugs now at the helm have to accept that world thermonuclear war is not winnable.
But will that stop them? Or will they like Hitler in his last days come to be goverend by their terror of retribution?
Yup
You mean we won't be able to control the world's currency and devalue it at will, and shove it down other countries throats whether they like it or not in order to further our "capitalism". Damn I hate it when that happens.
The best way to return America to a stable and mature international and fiscal policy -
...is to cut up daddy's credit card.
And file for bankruptcy.
The sooner the better. The rest of the world recognizes the owner of the world's reserve currency has been abusing it's privilege and being irresponsible.
The petro-dollar should be the first target. The US will go to war trying to keep it. The US destroyed Iraq and Libya over it. Guess the US is going to find it impossible to go after Russia and China.
The BRICS can just keep pushing the US out of the financial game kicking and screaming.
The Almighty Dollar is what knocked Russia down from being a superpower.
The transformation of the dollar denomination system to the dollar detonation system. Of course it won't be just the dollar getting detonated.
one can anticipate hyperinflation to set in soon. The current inflation rate while steep is not hyper yet. If you believe the government inflation stats, you are a damned fool. $1.99 anything is now $2.99 and up.
It's not as easy pushing around countries armed with numerous high quality nukes, is it?
China prints just as fast as the US to keep the PEG with the USD. This swap saves currency exchange charges only,2% of the trade. It involves only trade that is perpetual, that is we buy 1 million in apples every month from you and you buy 1 million in copper from us every month. Why should we convert to USD first?
In the big picture if China wanted payment in its currency the Yaun would skyrocket and China would not sell anything. Trade on the scale of China to Walmart is in USD.
Let me know when China stops taking USD or Euros(60% USD)
The sky is not falling
I'll say it again
The big bulley of the sand box has all the power until all the little kids decide they will not take the abuse any longer and join together and make a stand.
The bulley becomes very upset that he cannot have it his way any longer!
Hmm sound familiar?
Anyone any idea how much will the deals mentioned in this article reduce the dollars RC status in percentage terms?
I am afraid it has finally come to pass. The USA must be destroyed in order that it might be saved. Can't think where I've hear that before.
You can listen to this radio station on your computer.
Banjo picking is awesome.
http://wxjm.org/
So they're swapping paper chits. What re-presents the VALUE of these chits aka currency?
Are the alleged 'assets' supposedly backing these chits free of fraud?
Where is the GOLD?
This development is not surprising and supposedly long overdue. Simply because of the fact that we are living in a globalized world with different economic power-blocks.
This is just a step towards a one-currency-world - to reach this point the world has first to become more complicated or call it balanced & equal.
For a few years past, China and her vast wealth were bedeviled by an economic iteration of the Heisenberg Uncertainty Principle.
If China sells her dollar holdings, she would finally be free of that cunning currency, but would have no idea of how much she'd get for the sale of her horde.
On the other hand, if China stays put in the dollar, she knows exactly how much her holdings are worth, but those holdings continue to reside in the Treasury in Washington, D.C.
Another riddle, wrapped in a mystery, inside an enigma;
Oh my.
DOLLAR MEANS SLAVERY OF AMERICA
Dollar means subjugation of America
Dollar means you will never rise up
NEO-COLONIZATION : Since all countries linked their economies with Dollar, it means they must earn it, it means they must sell to US and its Allies to earn their paper. While they (US+Allies) themselves have all the money they want , they simply have to print it. So they print it , and rest of all have to sell their goods & services to them in order to earn it. This is neo-colonisation and those who oppose it will be invaded.
This is the New World Order everyone needs to understand.
Time has come to break this monopoly, be self reliant . AND time is coming when rest of the world should boycott these parasites and do not sell anything at all to them. They are only vampires, how long they would suck the blood of rest of the world getting fat & rich while those who actually produce are starving and living in poverty.