Today’s news is a historic milestone. The dollar’s days are numbered, and
the new global economic order is shifting into place.
As many insiders have expected, China has now officially gained status
among the world reserve currencies, taking place alongside the dollar, the
euro, the pound and the yen.
The IMF decided to grant this upgrade as a result of financial and
monetary benchmarks that Chinese leaders worked towards during the past
several years. Its implications run deep.
Via Reuters:
The International Monetary Fund on Monday, as expected, admitted
China’s yuan into its benchmark currency basket in a victory for Beijing’s
campaign for recognition as a global economic power.
The IMF executive board’s decision to add the yuan, also known as
the renminbi, to the Special Drawing Rights (SDR) basket alongside the
dollar, euro, pound sterling and yen, is an important milestone in China’s
integration into the global financial system and a nod to the
progress it has made with reforms.
IMF chief Christine Lagarde, who along with in-house experts has
previously backed the move, made it clear she did not expect Beijing to stop
there.
“The yuan’s inclusion is a largely symbolic move, with few
immediate implications for financial markets. But it is the first time an
additional currency has been added to the SDR basket and the biggest change
in its composition in 35 years.
Below is IMF chief Christine Legarde’s statement on the new benchmark of
global currency, and what will inevitably be a resettling for the people
affected by it – not least the American people who could see a significant
decline in their living standard after an era of economic supremacy that the
United States has enjoyed since the end of WWII:
If America sees the worst case scenario, the dollar collapse will be the most devastating in
history, and the results could be even worse than Germany
suffered during the Weimar Republic era.
The Chinese renminbi will hold
about 10% weight in the basket of currencies, with adjustments in the value
of the euro, pound and yen to make room for it. Though the weight of the
dollar, which holds 41.9% of global reserve value under the Special Drawing
Rights (SDR), will not change with the inclusion of the renminbi, the
symbolic challenge to dollar supremacy is obvious enough.
Last set in 2010, the
basket is currently 41.9 percent dollar, 37.4 percent euro, 11.3 percent
sterling and 9.4 percent yen. The yuan CNH= CNY= would not join until October
2016, allowing reserve managers time to prepare. (source)
According to the New York Times:
The
I.M.F. decision will help pave the way for broader use of the renminbi in
trade and finance, securing China’s standing as a global economic power. But
it also introduces new uncertainty into China’s economy and financial system,
as the country was forced to relax many currency controls to meet the I.M.F.
requirements.
The changes could inject
volatility into the Chinese economy, since large flows of money surge into
the country and recede based on its prospects. This could make it difficult
for China to maintain its record of strong, steady growth, especially at a
time when its economy is already slowing.
China’s leadership has made it a
priority to join this group of currencies… The renminbi’s new status “will
improve the international monetary system and safeguard global financial
stability,” President Xi Jinping of China said in mid-November.
Though the official talking line
is quick to suggest that China could actually be hurt by new pressures on its
already struggling economy, the significance of the move is not the short
term, but the turning of the tide.
The death of the dollar has been
planned. Its global reign has been
scheduled for termination. It is the end of days for the monopoly of global
sales in U.S. petrodollars, a paradigm which has propped up an economy that
has, in reality, been gutted out from underneath. Now the thin overlay of
gloss and decadence is vulnerable to bursting, and starting a flood that the Federal Reserve won’t be able to stop by
sticking its finger in the dam and digitally printing more and more money.
As many have discussed, the end of the dollar will be much more than symbolic
once the full transition has taken place. The dollar has propped up an
increasingly corrupt empire. And its fall, like that of the dinosaurs or the
Soviets, will come crashing down on its own weight with a terrible thud.
The American people stand to become absolutely ruined; mobs of people
could become destitute, and a dismal police state would keep order in a
dreary new normal.
USA Watchdog previously reported:
“V” explains, “We are entering a time which I call the collapse point. At
the collapse point, there is going to be massive systemic shock. Why? Because
you have one paradigm and one system being done away with, which is the
dollar. It is going to be replaced by a new system. During that transition
period, you cannot expect to trade anything because what do you trade it in?
That’s why the Chinese are gearing up their own gold price fix. Once
that collapse point happens and the world reels from the systemic shock, the
Chinese gold price fix and the BRICS system will be there to fill in that
vacuum. That is what’s being set up right now.”
Tess Pennington has discussed these difficult times, which may be coming, in
her The Prepper’s
Blueprint noting that it won’t take much to upend society and
just like Greece, if the debt bubble does burst it will have a direct and
immediate impact on the normal flow of commerce:
Collectively speaking, most Americans take for granted the system
in place to deliver essential supplies to their area. “The system,”
an underlying infrastructure that keeps goods, services and commerce in
America flowing creates a sense of normalcy and order. Food, water, gasoline
and medications are just a few of the items restocked weekly in
order for our dependent society to maintain a steady flow. What many fail to
grasp is just how fragile the system is and just how quickly it can collapse.
…
The report goes on to explain that consumer fear and panic will
exacerbate shortages. News of a truck stoppage—whether on
the local level, state or regional level, or nationwide—will spur hoarding
and drastic increases in consumer purchases of essential
goods. Shortages will materialize quickly and could lead to civil
unrest.
Source: When the Trucks Stop Deliver The System Will Collapse
Read more:
Global Finance Ditching Dollar and Isolating Doomed West:
“Because They KNOW Collapse is Coming”
Putin Targets US Monetary System: “Aims to Eliminate the US
Dollar and the Euro From Trade”
Dollar Moves Shake the World: “Federal Reserve Could Start a
Currency War”
America to Collapse As Dollar Dies: “You Cannot Stop What Is
Coming… 25 to 50 Million Dead in 90 Days”
Shock Report: China Dumps Half a Trillion Dollars: “Something
Is Very, Very Wrong”
