Post From Real Community Engagement
Chat Room Excerpts & Highlights
RCE Thursday Late PM Chat 9-15-16 Part 3 of 3
Anonymous:Let’s think about why it’s very unlikely for the renminbi to replace the dollar anytime soon. China Has a Massive Trade Surplus When we talk about the US dollar being the world’s reserve currency, what we really mean is that the bulk of global trade is denominated in dollars.
And yes, China is doing one bilateral agreement after another in order to trade in its own currency. Any country that does a great deal of trade with another country can create a bilateral currency agreement to be able to trade in a particular currency, but the great bulk of global trade is still in US dollars.
And you are not going to see Mexico, for example, wanting to take the renminbi for its sales of products to Great Britain. Mexicans want dollars they can readily convert back to pesos. For a country to deliver the currency in which most global trade is done, it must supply that currency “in size” to enable the trading.
The United States runs a massive trade deficit, pushing dollars all over the world to circulate among the economies of other countries. China, by contrast, has a trade surplus. It is taking in dollars and many other currencies although it does run trade deficits with some countries.
But it is going to be a long time before China runs a net trade deficit. A long, long time. An extraordinarily long time. That reality makes the reserve status of the renminbi a moot point as far as I’m concerned because the renminbi is not going to come close to figuring into any of my transactions and investments, even those that are of the very longest term.
Scarlet:Dragon, no you only send $$$ but it gets exchanged into Yuan or whatever their currency is.........then the company you purchased from received nothing but Yuan.
Dragonfire:They would most probably hold the usd to support their international purchases
Dragonfire:They dont need to convert it back to local currency
Dragonfire:Unless they want to...it is their choice
aremel:If Walmart takes it, I'll carry it.
Scarlet:citizens in china have yuan in their pockets. The small merchant selling you something wants yuan, that is their own currency
Dragonfire:Maybe...maybe not...they have a choice
Aremel::Walmart pays in dollars, but when it reaches the bank there, it gets changed into yuan. That is what I'm saying. And thats why Dinar will be the currency Iraq will use
Dragonfire:Large companys normally hold usd in their accounts
Scarlet:Dragon, were you a born arguer, or do you just love to argue..........or do you just want your own way.......
Dragonfire:Companys run foreign currency accounts
Dragonfire:Scarlet, i have done this for a living
Scarlet:because dragon, you missed the Point long ago..........
Dragonfire:I am waiting for you o make a valid point
Scarlet:Dragon, well things are changing. Many countries have already begun refusing to even take dollars..........and that seems to be the mode of this era.......
Scarlet:dragon, you already missed the point and no you dont know what all happens between ''here and there''
Dragonfire:The point is that iraq doesnt need an rv to trade internationally
Dragonfire: They already do
Scarlet: Iraq does not trade in dinar........they have been using dollars, but they are going to have to have just one country currency
Anonymous:That is correct dragon, but to grow they need foreign companies to invest and grow, and those companies will not procede until their currency is tradebale
Scarlet:otherwise, why has the world spent somuch time on them, to get them up to snuff with the world.........
Anonymous:Scarelet that is correct for internal Iraq, but they still do trade with USD and other currencies, just like countries that have eruo still trade with USD
Anonymous:One of the requirements of Article 8 is to have one currency in use in country, that has nothing to do about world trade and what they use for that
Anonymous:The petro dollar is still in place, and to do trade USD is what is used.
Scarlet:Anon, yes and for a small Iraqi manufacturer ordinary person, they get paid in dinars
Scarlet:That is why they have had Auctions, for banks to give dinars for dollars or vice versa......
Scarlet:its at the banks that money gets changed
Anonymous:In most parts of Iraq, the dinar is not wanted, they want USD, they want nothing to do with dinar
Scarlet:Anon, but that is what is changing......that will be part of their Monetary Reform.......
aremel:No one knows what WILL be until what WILL be ... IS.
Scarlet:besides, countries are catching on, the dollar is fiat and they dont want to take it so readily anymore.....
aremel:Everyone is guessing ... and I mean everyone.
Scarlet:speak for yourself.......
aremel:I just did
Scarlet:I do lots of research and keep up with the times and world affairs to a great degree..........it is changig, and countries don't want our Fiat
MajorX:What good is all this knowledge ... the question is are you in the public arena or the private .... one will get you the full feast, the other just the crumbs.
Scarlet:lets not wave the red white and blue cause we live here........it is what it is
aremel:Until there IS a change it is just so much blah blah blah. All hyperbole, no facts.
aremel:Just a lot of parroting what someone else who is guessing said.
Scarlet:I only do facts......and Im not your teacher.........for free........lol
Scarlet:go do your own homework and when you have learned something then you are fit to discuss
aremel:To be the teacher one must be greater than the student ... nes pas?
aremel:Keep studying dear heart.
aremel:You aren't big enough to use the big girl chair yet.
Scarlet:people who dont know anything are just too lazy to learn anything, too much work for them, so they think they can insult their way to .....nowhere....
aremel:Ok ... you win. You are a genius and we are all stupid.
aremel:None of us deserve to be in your presence.
Scarlet:anyhow I think everything is in the process of unfolding ........
aremel:You just accused someone of being argumentative and if that's not the pot calling the kettle black ... All you ever do in here is argue! Ok I am done with you. I release you back into your own little world where you are the only thing of value. Blessins.
Scarlet:like we are in the middle of a hurricane ........prolly gonna leave a lot to clean up and get to normal.....
Scarlet:sort of like doing laundry.....you wonder if the stains will come outta yer shirt and wont know till it is at the end of the cycle and ya take a look......
Mikey:Well Scarlet since u know so much about currency u must know that the dinar&dong is backed by USD and if the dollar fails so will the D&D
Scarlet:mikey, sheesh the dollar doesn't have much of anything backing IT, thats why its called Fiat. Not so with dinar and dong....
Scarlet:Iraq has gold to back dinar........while we have an empty Ft. Knox
Anonymous:the dinar is fiat also
MajorX:it's all fiat
MajorX:now we got you scarlet
Anonymous:scarlet, the dinar is not gold back
Scarlet:so you think Iraq has been hording gold................for what
Scarlet:and china hording gold..........for what
MajorX:at this moment, it's all fiat....
Anonymous:they can hord all they want , the dinar is not gold back , it is fiat, there is only one series of dinar that is gold backed and not to many people have it
Scarlet:they have not been revalued yet...........then still the usd is backed by an empty ft. knox
Anonymous:scarlet, please you sound intelliegent, unless you have prove and not hearsay, the claim that ft. know is empty is just conspiorcy talk
Scarlet:when dinar and dong get revalued, that dinar will be gold backed, along with other assets
MajorX:yes, but that is NOT what u originally said
Anonymous:scarlet, please don't make assumptions, nobody knows what will happen
Scarlet:Anon, well it has been highly publicized and dont you wonder why nobody has been allowed inside the Fort for soooo many years?
Anonymous:It has been highly publicized on conspiracy sites
Scarlet:If they show me inside Ft. knox, then I will believe there is still something there.......otherwise its empty as far as I'm concerned
Scarlet:I dont go to conspiracy sites..........
Anonymous:Then what site has put that out that your referring to that is factually based and not hearsay or conspiracy talk
Scarlet:Anon, just various times I've seen it over many many past years, it crops up once in awhile..........dont recall right now, been awhile
Scarlet:also its very strange that NOBODY ever mentions ft. knox anymore, not for decades now..........why is that
aremel:Somebody call Major General Christopher P. Hughes to get her a tour of the Gold Vault at Fort Knox.
Anonymous:It is articles written by theorist, nothing to back it but assumptions
Mikey:Iraq has about 90 billion tonnes of gold which isn't hardly any in the currency world
Scarlet:Mikey they are a small population country though.....
aremel:mikey, I will take just 1 ton of gold and toddle off on my merry way with smiles for miles.
Anonymous:The US has 8133 metric tons and your saying Iraq has 90 billion tonnes
Scarlet:that is a LOT of gold.........depending on the going price how much it is
Scarlet:Anon, that number is just what we are told.......when did our gov ever tell us any real truth......
Admin:we had another great day in chat
aremel:Do I have to use different wrenches on Metric Tonnes than I do on Standard Tons?
Anonymous:That link says Iraq has 89.92 tonnes, not BILLION
MajorX:Today is a lunar eclipse full moon
MajorX:nobody has billions of tonnes,
Mikey:one ton of gold is worth 56 million USD so no it's not a lot of gold for a country that has 90 trillion dinar http://www.tradingeconomics.com/iraq/money-supply-m2
aremel:Mikey that seems very low
Anonymous:mIKEY you said billion, why play with words
aremel:Is gold at about 1250 per ounce right now?
Mikey:Sorry Anon that's what I meant I was looking at the dinar when I put billion
Mikey:Here's the link aremel
Anonymous:Well 2,880,000 oz of gold will not back at any value over 40-60 trillion in dinar in circulation
Scarlet:Anon, I dont think all dinar will be exchanged.....honestly
Mikey:Here's all the economic knowledge of every country
aremel: $1,317.20 as of now.
Scarlet: or else private groups at first, then maybe see how much comes in, then maybe low rate for public........i dunno.....just sayin'
Mikey: Even if half of the dinar is traded thats still 45 trillion dinar The USD has 12 trillion in service It doesn't make any sense a RV of Iraq It is a failed country period
Mikey: If u really believed I meant 90 billion tonnes of gold no wonder you believe in this fairy tale anon I gave the link to show what I meant
Anonymous: WEll that amount of dinar cannot back the dinar as gold backed.
Admin: thanks for a great day in chat!