Iran sanctions - the end if the US $

[nottyboi]

With the US restoring very aggressive sanctions against Iran, and pretty much everyone except Israel against them, is this the the end of the US $ as the international payment currency? So far China, India, Europe and Russia all say they will continue to trade with Iran, but of course not using the US$. Once these alternative settlement mechanisms are put into place, they cannot be, forgotten. So it looks like the genie is out of the box, and Trupty Dumpty has miscalculated how hated the USA is as he miscalulates how hated he is.. lol. Unfortunately Canada is tied to those clowns so it sucks to be us as well

 

[onthebottom]

No, the europssies are relenting. Euro car companies are canceling projects.

 

[jsanchez]

...is this the the end of the US $ as the international payment currency? So far China, India, Europe and Russia all say they will continue to trade with Iran, but of course not using the US$. Once these alternative settlement mechanisms are put into place, they cannot be, forgotten...

Wishful thinking at this point, I'll believe that when I see countries lining up to exchange their US $'s for Yuans and Rubles.
I suspect Russian and Chinese folks trust the US$ a lot more than their own currencies.

 

[wilbur]

Wishful thinking at this point, I'll believe that when I see countries lining up to exchange their US $'s for Yuans and Rubles.
I suspect Russian and Chinese folks trust the US$ a lot more than their own currencies.

Russia has recently dumped half of its US dollar currency reserves. They are down to 87 billion now, and more to come.

The Chinese know that they have the tiger by the tail. They own 3 trillion in US debt. If they dumped that, they would cause the US dollar to crash. That means they would wipe out the value of their US holdings.

South Korea has been gradually selling its US dollar holdings. Russia, China and India have been buying lots of gold in the last few years.

The de-dollarization has already begun, but will not be completed overnight.

As the US is using the monetary system as a political tool, more and more countries are conducting trade in local currencies. The US is also threatening recalcitrant coutries with blocking access to the SWIFT clearing system, especially Russia. Russia has now developed its own bank and credit card clearing system, and it will tie up with China and other countries. They US is thus accellerating its de-dollerization, probably in favour of the Chinese currency.

 

[onthebottom]

Russia has recently dumped half of its US dollar currency reserves. They are down to 87 billion now, and more to come.

The Chinese know that they have the tiger by the tail. They own 3 trillion in US debt. If they dumped that, they would cause the US dollar to crash. That means they would wipe out the value of their US holdings.

South Korea has been gradually selling its US dollar holdings. Russia, China and India have been buying lots of gold in the last few years.

The de-dollarization has already begun, but will not be completed overnight.

As the US is using the monetary system as a political tool, more and more countries are conducting trade in local currencies. The US is also threatening recalcitrant coutries with blocking access to the SWIFT clearing system, especially Russia. Russia has now developed its own bank and credit card clearing system, and it will tie up with China and other countries. They US is thus accellerating its de-dollerization, probably in favour of the Chinese currency.

Not if you believe the data....

https://en.m.wikipedia.org/wiki/Lis...ency_composition_of_foreign-exchange_reserves