China Nears Global Reserve Status: “There Will Be a Reset of the Financial Industry”
by Mac Slavo, SHTFPlan.com
The world is anticipating a new global reality with huge implications: China’s yuan is poised to get recognized as a global reserve currency.
In a sign of the times, the IMF has essentially rebuffed U.S. claims of currency manipulation, to instead affirm that China’s currency is “no longer undervalued” – essentially giving its approval for the inner circle what many have described as an incubating world currency.
China’s yuan currency, which Washington has long alleged was manipulated, is “no longer undervalued”, the International Monetary Fund said Tuesday.
The value of the yuan, also known as the renminbi, has been a source of tension for years, with China’s major trade partners — led by the United States — accusing Beijing of keeping it artificially low to give Chinese exporters an unfair competitive advantage, which Beijing denied.
“Our assessment now is that the substantial real effective appreciation over the past year has brought the exchange rate to a level that is no longer undervalued,” the IMF said in a statement after a consultation mission to China. (source)
— Sputnik (@SputnikInt) May 27, 2015
With longstanding U.S. opposition to China’s currency status, the IMF decision has been seen as the biggest hurdle to world reserve status. This news brings China one giant step closer to entry onto the global stage of currencies and new financial norms for Americans, as SHTF has long reported.
The decision underscores a larger shift in the global balance of power – there is no doubt that there are serious cracks in the foundation – as the U.S. petrodollar has lost its potency as the world reserve currency hegemony.
U.S. allies have been easily won over to recognizing China, and partnering with its Asian Infrastructure Investment bank, signaling a new era for finance under globalism. The new currency will be pegged to a global basket that China is part of.
What will this new currency look like, and will it become a reality? A mining executive shed light on the manipulation of gold behind the scenes, with a quest for parity undervalue that is encouraging China to accumulate gold at a rapid pace, so that it can hold reserves equivalent to those the U.S. reportedly holds:
I think there will be a reset of the financial industry…
I think China is being allowed to accumulate gold purposefully by the American government… I believe that the Chinese need to own at least the same amount as the U.S. owns before this reset occurs. I think that there’s some kind of deal that’s being made between all the central banks behind the scenes and that’s why you’re seeing governments accumulating the metal.
I do believe there will be some kind of new currency created with the backing… and it might not be a direct backing of the metal… but it’ll be some kind of blend of currency.. it could be through SDR’s… Special Drawing Rights… or some type of mechanism… I think that’s where we’re going.
It could mean a major shake up to the norms that Americans and other westerners have been accustomed.
But beyond that, the currency will ultimately be digital. Cash will likely be banned to enhance control, and all payments will be authorized and monitored. Through a new wave of bank fees and fines, and (outrageously) charges for deposits, average people will be hurt on all sides of transaction by money that has been thoroughly debased and manipulated.
The Federal Reserve bank and its owners, the largest banks on Wall Street, want badly to be able to charge you interest for the privilege of depositing your funds. The problem is getting you to stand for it.
The cashless digital grid will become fully a tool of banker control that is global in scope and backed at its root by central planning at central banks supported by a system of total consumer surveillance over spending, exchanges and all other transactions.
Listen to more about IMF’s revaluation of the Chinese yuan, discussion starts at 8:50: