HFNY
Well-known poster
No I read ZH but I don't see it materially affecting anything much over the next few years. Of the top 15 economies in the world, nearly all are solid American allies and it appears that the Bernanke / Wall Street / Obama / Yellen cabal is mostly finished devaluing the dollar (which partially created the incentive for other countries to seek currency agreements with China).
Russia may not even be in the top 10 of countries by GDP anymore since their economy is contracting and if the dollar continues to strengthen, lower oil and nat gas prices will hurt them even more. China is undoubtedly a power but as noted before, their growth is slowing and the bill for their aging population will be increasing since their working age population peaked in 2010:
icis.com/blogs/asian-chemical-connections/2014/05/demographics-guarantee-china-property-crisis/
I can't blame China and other countries not in the USA orbit for seeking out currency swap agreements but if we get a new president willing to tackle the structural problems in the USA (corporate tax reform, personal income tax reform, consolidating poverty programs and / or giving more power to the states, etc etc), our economy will become stronger and so will the dollar.
Russia may not even be in the top 10 of countries by GDP anymore since their economy is contracting and if the dollar continues to strengthen, lower oil and nat gas prices will hurt them even more. China is undoubtedly a power but as noted before, their growth is slowing and the bill for their aging population will be increasing since their working age population peaked in 2010:
icis.com/blogs/asian-chemical-connections/2014/05/demographics-guarantee-china-property-crisis/
I can't blame China and other countries not in the USA orbit for seeking out currency swap agreements but if we get a new president willing to tackle the structural problems in the USA (corporate tax reform, personal income tax reform, consolidating poverty programs and / or giving more power to the states, etc etc), our economy will become stronger and so will the dollar.
It's happening. Too bad you're missing it.http://www.zerohedge.com/news/2014-...-chinarussia-complete-currency-swap-agreement