It's almost as though lack of trust has consequences. People don't want to get caught by a more competent fascist such as Rubio or Vance weaponising US controlled systems.
NZ already uses the renminbi and the $NZ for trade with China, our largest trade partner, cutting out the $US entirely.
What Americans think this pattern of abandoning the $US won't continue?
NZ already uses the renminbi and the $NZ for trade with China, our largest trade partner, cutting out the $US entirely.
What Americans think this pattern of abandoning the $US won't continue?
Earlier in the session Monday, yields on long-dated bonds jumped on concerns that Chinese banks are reining in their holdings of US government bonds. The dollar also fell after Chinese regulators were said to have advised the nation’s financial institutions to curb their holdings of Treasuries due to market volatility.
While the request was framed around diversifying risk, it may reinforce a recent global trend that has seen the likes of India and Brazil lower their exposure to the world’s biggest bond market amid growing doubts about the appeal of US assets. Geopolitical risks such as President Donald Trump’s threats over Greenland have only deepened the unease and spurred the hunt for alternative assets such as gold.
“It’s the latest evidence of a pattern forming — a sign that the expectation of long-term structural outflows from the dollar is not just a mirage,” said Gareth Berry, strategist at Macquarie
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