- Stocks Began Falling Right At This Time Of The Year Just Prior To The Last Financial Crisis 2015-05-29 00:32
- Rand Paul: ‘Disingenuous’ Obama Can Stop NSA Spying Any Time He Wants 2015-05-26 22:11
- Wealthy Installing “Safe Rooms” to Prepare for Civil Unrest? 2015-05-26 21:34
- Obama Usurps Local Police With Fake “Ban” on Militarization 2015-05-26 21:28
- RIP: Over 100 newspapers dumped in year, ads down 50%, circulation hits bottom 2015-05-26 01:36
- Top Bush Era CIA Official Just Confirmed the Iraq War Was Based On Lies 2015-05-25 23:33
China Nears Global Reserve Status: “There Will Be a Reset of the Financial Industry”2015-05-29 11:26
The world is anticipating a new global reality with huge implications: China’s yuan is poised to get recognized as a global reserve currency.
In a sign of the times, the IMF has essentially rebuffed U.S. claims of currency manipulation, to instead affirm that China’s currency is “no longer undervalued” – essentially giving its approval for the inner circle what many have described as an incubating world currency.
China’s yuan currency, which Washington has long alleged was manipulated, is “no longer undervalued”, the International Monetary Fund said Tuesday.
The value of the yuan, also known as the renminbi, has been a source of tension for years, with China’s major trade partners — led by the United States — accusing Beijing of keeping it artificially low to give Chinese exporters an unfair competitive advantage, which Beijing denied.
“Our assessment now is that the substantial real effective appreciation over the past year has brought the exchange rate to a level that is no longer undervalued,” the IMF said in a statement after a consultation mission to China. (source)
With longstanding U.S. opposition to China’s currency status, the IMF decision has been seen as the biggest hurdle to world reserve status. This news brings China one giant step closer to entry onto the global stage of currencies and new financial norms for Americans, as SHTF has long reported.
The decision underscores a larger shift in the global balance of power – there is no doubt that there are serious cracks in the foundation – as the U.S. petrodollar has lost its potency as the world reserve currency hegemony.