Posts Tagged ‘china’

China launches global yuan payment system

October 13, 2015

The Central Bank of China’s has launched a global payment scheme which will provide facilities for settlig cross-border trades in yuan. The China International Payment System (CIPS) signalled its intention to internationalize the yuan and challenge the domination of world trade by the US dollar several years ago.

China is backed in this project by Russia and by emerging economies such as Btazil, India and Nigeria and oil exporting states such as Venezuela whose trade had been restricted by American manipulation of currency and commodity markets.

“The establishment of CIPS is an important step in yuan internationalization, providing the infrastructure that will connect global yuan users through one single system,” Helen Wong, greater China CEO for HSBC, was cited as saying by the Financial Times. The move comes less than a year after China launched its Asian Investment Bank, AIIB to rival the World bank and IMF as a financier of infrastructure projects.

CIPS will accept payments in cross-border trade, direct investments, financing and personal remittances. The system is open for operations 11 hours a day. The first CIPS transaction was completed by Standard Chartered Bank for Sweden’s IKEA. Nineteen banks have been authorized to use CIPS; eight of them are Chinese subsidiaries of foreign banks, including Citi, Deutsche Bank, HSBC and ANZ.

Prior to launching CIPS international, transfers in Chinese currency could only be carried out through offshore clearing banks in Hong Kong, Singapore or London. While the procedure was slow and costly, the new system is expected to significantly reduce the cost and time for money transfers.

China is also trying to reduce its reliance on the global transaction services organization SWIFT.

Read More: Russia today >>>

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China State Paper Warns of War Unless US Backs Down

May 26, 2015

Well you can’t say I have not tried to warn you which nation posed the greatest threat to world peace (and no, Obama worshippers, it’s not China but the one lead by the failed aquatic pedestrian, peacemaker and joybringer with jug ears) …

from Information Clearing House

A Chinese state-owned newspaper, GMA News of BEIJING said on Monday that “war is inevitable” between China and the United States over the South China Sea unless Washington stops demanding Beijing halt the building of artificial islands in the disputed waterway.

The Global Times, an influential nationalist tabloid owned by the ruling Communist Party’s official newspaper the People’s Daily, said in an editorial that China was determined to finish its construction work, calling it the country’s “most important bottom line.”

The editorial comes amid rising tensions over China’s land reclamation in the Spratly archipelago of the South China Sea. China last week said it was “strongly dissatisfied” after a US spy plane flew over areas near the reefs, with both sides accusing each other of stoking instability.

China should “carefully prepare” for the possibility of a conflict with the United States, the newspaper said.

“If the United States’ bottomline is that China has to halt its activities, then a US-China war is inevitable in the South China Sea,” the newspaper said. “The intensity of the conflict will be higher than what people usually think of as ‘friction’.”

Such commentaries are not official policy statements, but are sometimes read as a reflection of government thinking. The Global Times is among China’s most nationalist newspapers.


Time to start stockpiling porridge oats and dried beans in the cellar? A few tins of corned beef will not go amiss either. Any war would be of short duration but we might be stuck in the fallout shelters for quite a while.

This used to be a satirical blog but it’s impossible to satirize the bunch of clowns that make up the leadership of the western world.


Emergency Powers Give Barack Obama Authority Over Just About Everything During A Major National Crisis

Thanks to dozens of new laws, regulations, court decisions and executive orders, Barack Obama is the most powerful president in all of U.S. history. Of course the U.S. Constitution does not actually give the president any special powers during a time of national emergency, but over time presidents have decided that they should be able to exercise such powers …

Putin Flushes The Dollar Down The Toilet – We Told You So

March 30, 2014

putin toilet
Vlad knows the value of western co – operation (picture source)

Not long ago members of our little team posting on Boggart Blog, Little Nicky Machiavelli and The Daily Stirrer warned you that the USA and EU had a lot more to lose than Russia if they got into an economic war with The Kremlin.

One proud, patriotic and utterly stupid American loftily informed me that the America had nothing to fear because the world trades in US dollars. That used to be right, unfortunately it is no longer so because China and the rest of the BRICS along with Iran and several other significant holders of vast natural resources have been dumping the dollar and making bilateral trade agrements for several years.

Well as usual, drawing on our vast pool of business and life experience we were right at this information that came to us via News Beacon Ireland shows.

Russia announces that it will sell (and buy) his products and commodities – including oil – in roubles; not anymore in dollars.

Putin has been preparing this move — the creation of a payment system in roubles completely independent and protected from the Dollar and the killer speculations of the big Western financial institutions — for a long time.

After sanctioning several Russian banks to punish Russia for Crimea, the Washington politicians were told by the financial power-to-be to step back because obviously, the Wall Street vampires understand that putting Russian banks outside the reach of their blood sucking teeth is never a good idea.

For Wall Street and the city’s financial services, countries like Russia should always have an open financial door through which their real economy can be periodically looted. So Washington announced that it was a mistake to enforce sanctions on all those Russian banks; only one, the Rossiya bank shall be hit by sanctions, just for propaganda reasons and to make an example out of it.

It is what Putin needed. Since at least 2007, he was trying to launch an independent Rouble System, a financial system that would be based on Russia’s real economy and resources and guaranteed by its gold reserves. No tolerance for looting and financial speculation: A peaceful move, but at the same time a declaration of independence that Wall Street will consider as a “declaration of war”.

According to the Judo strategy, the sanction attack created the ideal situation for a “defensive” move that would redirect the brute force of the adversary against him. And now it’s happening. Bank Rossiya will be the first Russian bank to use exclusively the Russian rouble.”

Here’s a view of the current situation from another perspective from Zero Hedge:

“They Never Learn” – Russia’s Take On The “West” And The Shifting Geopolitical Balance Of Power

UPDATE – 31 March:
Dollar Hegemony Under Attack By Export-Superpowers Germany and China

‘The word dollar didn’t even come up. “The volume of transactions that can be carried out in the Chinese currency in international and German financial centers is not commensurate with China’s importance in the global economy,” the Bundesbank explained in its dry manner on Friday in Berlin, after signing a memorandum of understanding with the People’s Bank of China. President Xi Jinping and Chancellor Angela Merkel were looking on. It was serious business. Everyone knew what this was about. No one had to say it.

The agreement spelled out how the two central banks would cooperate on the clearing and settlement of payments denominated in renminbi – to get away from the dollar’s hegemony as payments currency and as reserve currency.’

Continue reading:

The world is run by insane people doing insane things – John Lennon

Journalism is reporting news somebody does not want reported, everything else is public relations – George Orwell


Foreign Exchange Market Rigging: Another Conspiracy Theory Exposed As Truth
There Is A Global Conspiracy Says World Bank Insider
USA, Russia, Economic War Over Ukraine – an explainer

Petrodollar Alert: Putin Prepares To Announce ‘Holy Grail’ Gas Deal With China

March 22, 2014

If the West has been trying to force Russia and China to recreate a twenty first century version of the old communist bloc, the alliance of a natural resource superpower and the other a fixed capital, low labour cost high output economic powerhouse and to give these two every possible incentive to create a new global reserve currency to marginalize the dollar and encourage Rouble and Renminbi bilateral trade, then this weeks events show the plan is going beautifully

While there have been no major developments or stock / currency trading crises as a result of the shift in the geopolitical axis that has shifted power away from the USA and the G7 (most insolvent nations) as a result of the bungled regime change attempts in Syria and Ukraine the chess board is looking very different. The west is focused on day to day developments in Ukraine, and how to halt Russian expansion through appeasement and limp wristedness (hardly a winning tactic as events in the 1930s demonstrated), Russia is once again thinking 3 moves ahead.

While Europe is furiously scrambling to find alternative sources of energy should Gazprom turn off the tap until Ukraine gives back the pipelines and the territory through which they run, to a government owned by The Kremlin,(the surge in Ukraine gas prices by 40% is probably the best predictor of that), Russia is preparing the announcement of the “Holy Grail” energy deal with none other than China, a move which would send geopolitical shockwaves around the world and bind the two nations in a commodity-backed axis.

Read more at The wall Street Journal

Meanwhile The EU, with head somewhat in the sand (as the democratic Euopean nations were in the summers of 1914 and 1939, is preparing for a trade war with Russia over Crimea (they are going to impose a fifteen point penalty on Roman Abramovitch’s Chelsea in the Premier League).

Europe began preparations for a trade war with Russia on Friday 21st March, with the EU executive in Brussels ordered to draft plans for cancelling all marks and Spencers gift voucher bought with Roubles. Much more substantive sanctions will be imposed against Moscow if Vladimir Putin presses ahead with Russian territorial expansion.

Unfortunately the bigger and more economically stable EU countries; Germany, Netherlands, France (stable? have to query our source about that,) and Britain, have major but very different interests at stake in Russia. This has led to disagreements over the tactics for a campaign of economic measures. Fears that a trade war would be highly risky and potentially ruinous are leading many political figures to advise caution.

A two-day summit of EU leaders from countrie that could afford Ryanair tickets to send delegates to Brussels was dominated by the Crimea crisis and ended with a further 12 Russian politicians and military figures being added to a list of 21 so far subjected crossed off the EU Christmas Card list.

Without American leadership, democracy is in peril? Not really.
Much of mainstream media are forecasting a bad outcome from the current chaose in Ukraine, with ISIS aka ISIL aka Islamic State in Syria and Iraq that are part of a cultural war. The west is currently not winning THEY SAY because of the failure of American leadership. This is untrue, most of the problems exist because America is leading the world towards war.

G77 smaller economy Nations vow to destroy America’s New World Order
American Dollar Dumped as world switched to per to peer trading
Without American leadership, democracy is in peril they say? It’s not really.
Much of mainstream media are forecasting a bad outcome from the current chaose in Ukraine, with ISIS aka ISIL aka Islamic State in Syria and Iraq that are part of a cultural war. The west is currently not winning THEY SAY because of the failure of American leadership. This is untrue, most of the problems exist because America is leading the world towards war.

As Crisis Deepens Ukraine Population Show They Still Have a Sense Of Humour

March 15, 2014

ukranie humour

Meanwhile as things on the ground take a turn for the worse in Ukraine, financial markets are suggesting the big banks do not see any easy way out of this one.

from Zero Hedge:

Foreigners Sell A Record Amount Of Treasurys Held By The Fed In Past Week
Submitted by Tyler Durden on 03/14/2014 – 10:51

A month ago we reported that according to much delayed TIC data, China had just dumped the second-largest amount of US Treasurys in history. The problem, of course, with this data is that it is stale and delayed. For a much better, and up to date, indicator of what foreigners are doing with US Treasurys in near real time, the bond watchers keep track of a far less known data series, called “Treasury Securities Held in Custody for Foreign Official and International Accounts” because it shows what foreigners are doing with their Treasury securities held, as the name suggest, in custody by the Fed. So here it goes: in the just reported latest data, for the week ended March 12, Treasurys held in custody by the Fed dropped to $2.855 trillion: a drop of $104.5 billion. This was the biggest drop of Treasurys held by the Fed on record, i.e., foreigners were really busy selling.
Continue reading …

Fire-sale of US Treasuries is a warning of acute stress across the world

Someone is offloading US treasury bonds as if the future is going out of fashion according to Daily Telegraph finance writer Ambrose Evans Pritchard.

Nobody seems to know (or they’re just not saying) who is dumping US bonds. It could be Russia of course, ahead of any sanctions imposed by the USA, a case of Putin getting his retaliation in first, it could just as easily be China, Turkey, South Africa, or Indonesia, or all frantically selling bonds at the same time for different reasons. Or even Malaya because although they are not letting on officially they’re sure the American government knows what happened to that missing Malaysian Airlines Boeing 777.

We don’t know for sure at the time of writing. All we do know is that the US Federal Reserve’s custody holdings on behalf of foreign central banks dropped to $2.855 trillion: a drop of $104.5 billion. This was the biggest drop of Treasurys held by the Fed on record, i.e., foreigners were really busy selling.

Russia’s central bank is undoubtedly dumping dollar reserves primarily to prevent assets being tied up by sanctions but also perhaps to prevent a collapse of the rouble, as foreign companies race to get all their cash out of Russian accounts before sanctions kick in next week clan.

Russia is certainly trying to move its assets beyond the reach of US regulators or the governments of their allies, not an easy task considering the tangled web of Rothschild controlled banks and investment houses.

What the Ukraine crisis may come down to in the end is this question: is the world more frightened of US regulators than it is of Putin’s tanks and polonium and China’s holdings of western debt.

The financial panic goes far beyond Russia, it is an indicator of the stress in the global financial system. “Countries are intervening all over the place to defend their currencies, (which means they are tightening their economies).

Meanwhile the Russians have quietly pulled their cash out of the USA to make sure it is not tied up in frozen accounts once the sanctions axe falls.

Yesterday Zero Hedge reported that China is suspected of having withdrawn (sold to the Federal Reserve) the near USD-equivalent in government debt bonds. a far likelier candidate was Russia, which as any fule kno, has had a bit of a falling out with the USA / EU and the global financial system in general.

We will not know for certain what has happened until half yearly figures are reported in June but what Russian official institutions have done with their Treasury bonds and dollar reserves could be merely the beginning.

The Financial Times reports that in covert and not so covert preparations for financial sanctions (which would include account freezes and asset confiscations following this Sunday’s Crimean referendum) the Russian oligarchs have already pulled billions from banks in the west thereby essentially making the biggest western gambit – that of going after the wealth of Russia’s 0.0001% – moot. If that is the case, the world has more to fear from Russia and China than the American toothless tiger.

China Warns of ‘Retaliatory Action’ and ‘Unforeseeable Consequences’ Over U.S. Monday Deadline

From: Shit Hits The Fan

It’s quite obvious, based on Kerry’s statement, that the Obama Administration really has no idea what to do, as they are still talking through “various options,” something that probably should have been worked out well before President Obama began slinging rhetoric over the crisis.

What the Obama administration assumes will happen is that they’ll force Russia into compliance by coming after their economy. Obama will hit the Late Night TV circuit to tout his success, we’ll all laugh about it, and then go on our merry way. Putin will be left embarrassed and laying in the fetal position sucking his thumb. At least that’s the plan.

But two can play at that game and China, which has stood by Russia’s show of force in Europe since the get-go, has now upped the ante.

It’s a brilliant move designed, once again, to show the world that President Obama and the United States are no longer running the show.

USA, Russia, Sanctions
What We Are Not Being Told About Ukraine
The Scientific Dictatorship

Ukraine: Regime chages r us
Ukraine: Economic war
Ukraine’s US Led Revolution
America warmongering again
America’s global hegemony dream

Chinese Economy Heads For Crash – Little Nicky Told You So.

July 9, 2012

I told you and so did my friends at The Daily Stirrer. As demand in the west for China’s manufactured goods dried up due to falling economic activity in developed nations the Chinese economy would crash.

Well the depth of the recession in western nations might have been disguised by printing money (aka quantitative easing) but that inevitably results in inflation which erodes the value of earnings and savings.

Ergo people have less to spend on cheap tat from China.

So how does that affect us? It means China will have less money to buy the bonds western governments must sell to underwrite the value of the bonds they sell. Which will mean the value of money will fall further. Which will mean peoples’ earnings and savings will buy less. Which will mean economic activity will fall further which will mean … oh you should know how it works by now.

Anybody fancy a weekend break in Weimar?

China heads for deflationary shock

As Britain Goes Jubilee Mad It’s Business As Usual In The Eurozone

June 5, 2012

Little nicky’s friends at The Daily Stirrer has consistently reported the truth about the Euro crisis while mainsteam print and broadcast media have consistently tried to suggest there was nothing wrong that could nut be put right by simply mugging German taxpayers to bail out debt problems in basket case nations like Greece, Portugal, Ireland and Italy. Another basket case nation, one that compounded it’s economic folly by committing to expensive and almost totally inefficient “green” energy projects is Spain. Now as a Spanish economic collapse that will need another massive bail out from north Europeran taxpayers draws closer every day we hear that another small EU nation, Cyprus, has at last admitted it is bankrupt

Spain’s ruling party, only recently elected, has begun to crack under pressure, signalling for the first time that the country may need a European rescue to shore up its banking system.

Meanwhile even the mighty German economic behemoth is faltering as one of it’s main customers, China, feels the pich due to Economic contraction in the USA and Europe.

While British financial markets remained closed today for the Jubilee celebrations, the German stock market fell sharply on fears of US economic relapse after last Friday’s terrible employment figures and news of a sharp slowdown in China. Spanish, Italian and French shares rose slightly on hopes of new eurozone fiscal authority to control national budgets and manage debts As any such scheme depends on German financial stability a news pan European financial policy already looks a forlorn hope..

G8 Leaders Will Talk About Reducing The Price Of Oil

May 18, 2012

Leaders of major economic powers including David Cameron will arrive today at a G8 summit in the USA on the back of promises to help families “struggling with the impact of oil prices.” The summit, at the Camp David presidential retreat, will tomorrow discuss a US call for developed economies to release oil from their strategic reserves to try to bring down world oil prices. The White House is arguing that an EU embargo on Iranian oil will soon start to push up prices, a potential threat to Mr Obama’s reelection campaign.

“With families across the world struggling with the impact of oil prices and a fragile global economy, we must renew our joint efforts to support growth, financial stability and energy security,” Mr Cameron writes in an article published today.

In a newspaper article today, Mr Cameron will hint at plan to deplete oil reserves which will reduce prices temporarily but make the developed nations more vulnerable to oil exporting nations, many of which are hostile to the west, holding us to ransome in future by limiting supplies.

The Prime Minister first discussed the oil plan with mr Obama in March, when he said the idea was “worth looking at”. Diplomats said the oil plan will be discussed at Camp David on saturday morning, although no action will be announced this weekend.

Now Little Nicky does not like to pour cold water on good ideas but this is not a good idea. In fact, with oil prices being the biggest issue in the USA at the moment it looks very much like a stitch up to help Obama’s re – election bid. So in the end we the people are going to end up paying to get our greatest enemy, thre New World Order’s houseboy, the fifth-columnist-in-chief a second term in office.

It is all likely to be in vain however. Though Russia is not a G8 nation Vladimir Putin declined an invitation to a to attend while China has let it be know the USA is no longer the world’s most influential economic power (The Cinese government and its banks hold a huge amount of American debt and could reduce the USA to another Greeece tomorrow if they wished,) so things are not looking good for the G8 plan even before it gets off the ground.

The True hockey Stick