BRICS on the move

BRIC nations, primarily Russian and China, are expanding talks and taking action that moves them down the path towards a new monetary reality for the world.

Reuters is reporting that China is now offering virtually zero interest loans to other investment banks in Russia, to facilitate trade between the two nations.

This means that the US dollar is not needed as a ‘go between’ at least on transactions between entities tied to these two banks in China and Russia.

This is a pattern to be expected in the very near future, as it expands the demand for US dollars will evaporate.

Should the US dollar be rejected as a ‘reserve currency’ then it may fall to a zero value faster than anyone ever anticipated.

If you are connected to a firm doing any sort of business crossing international boundaries and are able to remove the US dollar as a factor in that trade (via a banking or other financial exchange offering) then I recommend doing so. Even if it is only in a contingent form in contracts, such items are best discussed BEFORE a crisis than during or after. Such crises tend to be rapid in formation and even faster in collapse.

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