MercoPress. South Atlantic News Agency
China's Yuan gaining ground as world currency even for the US
SWIFT's Tracker for the Chinese currency (Yuan or Renminbi, RMB) shows that United States' Yuan payments value increased by 327% between April 2013 and April 2014, placing the United States at number three 3 in the world for payments value, excluding China and Hong Kong. Read full article
Comments
Disclaimer & comment rulesWhen the Yuan revalues, holders of the currency will make a killing.
Jun 11th, 2014 - 09:46 am - Link - Report abuse 0Some analysts have predicted a jump from 5.5Yuan to 3Yuan(maybe even 2.5Yuan) per US Dollar.
lf you've got any Yuan, hang onto it.
@ 1 lsolde
Jun 11th, 2014 - 12:39 pm - Link - Report abuse 0I have sympathy for your comment but still ask myself the question: why would the communist oligarchy devalue, what is going to drive them to it?
These claims of making a killing with the Yuan have been going on for years with no signs of anything happening.
I did think with all the westernisation of the workforce: clamours for more money, more holidays and the undoubted fear that those in power have regarding rebellion of the workforce, this would have driven devaluation by now but nada!
The corrupt Boli-garchs in Caracas have already mortgaged the next 25 years of Venezuealn oil-production, (at below market rates) to China in order for loans, most of which has been siphoned off to bank accounts either 'off-shore', Switzerland or dodgy investments in that global acpital of finacial probity, yes, Miami! Which just happens to be in the USA, Often referred to as the 'Great Satan', by, yes, you already guessed, those twisted Boli-garchs that are deliberately impoverishing their own followers!
Jun 11th, 2014 - 09:59 pm - Link - Report abuse 0Why is Mercopress NOT reporting on the chaos in Venezuela?
People are dying.
The Government is massively corrupt.
There is critical insecurity and constant danger in the streets.
A critical lack of medicine.
The World’s highest Inflation Rate.
A critical lack of basic goods and services.
An ideological take-over leading to a Vene-Cuban form of enforced indentured state-dependency.
Widespread media censorship.
Constant repression of political opposition.
THOUSANDS illegally jailed without trial.
Daily torture and abuse of the Human Rights of the population.
Why does Latin America remain silent?
Why is Mercopress NOT reporting on the chaos in Venezuela?
@2 ChrisR,
Jun 11th, 2014 - 10:46 pm - Link - Report abuse 0lts predicted that the Yuan will revalue, not devalue.
lt has been artificially held down to make Chinese exports low cost to the world.
The Americans in particular have been “trying”to put pressure on China to allow the Yuan to float.
Nobody puts pressure on China, lol!
lf the Yuan floated up to its true value at the moment(supposedly 2.5 up to 3.0 Yuan to $US1) American goods would become cheaper in China & Chinese goods become more expensive in the USA.
Obviously the Chinese government doesn't want this.
How long they can resist is anyone's guess.
Wages are going up in China though.
l read of a western work boot manufacturer moving from China to Sri Lanka.
The wages in China had risen to $1 per hour, while in Sri Lanka they were 40cents. They complained that the new Chinese wages were eating into their profits!
They still sold their boots in the west for the same high price.
That is exploitation & they should be ashamed of themselves.
lf the Yuan does rise, we can say goodbye to cheap Chinese imports.
But it would help our own struggling businesses though, so maybe no bad thing.
Ilsen
Jun 12th, 2014 - 05:20 am - Link - Report abuse 0Because they need to kill enough Eastern Ukraninans before pointing fingers...
Stevie
Jun 12th, 2014 - 07:46 am - Link - Report abuse 0Who does?
Mercopress?
Venezuela?
Please engage brain before posting. ...
Stevie
Jun 12th, 2014 - 09:29 am - Link - Report abuse 0Women & children again?
Who did it this time?
@ 4 lsolde
Jun 12th, 2014 - 11:29 am - Link - Report abuse 0Regarding “valuation”. From the perspective of China a move to 2.5 or any value “harder” than now would be less money for them from the things they sell (as you say). Is that not devaluation for them?
Regarding western companies moving away from China, it also happens through reasons of shoddy workmanship: remember the lead paint on the toys (samples were OK), Rotax the motorcycle and small plane engine manufacture had a small engine made there. Samples were great, initial shipment (20’ container) great, bulk shipment started out to customers and then the complaints came in: serious internal damage to connecting rod and crank assembly, wrecking the engines. Yes, you have got it, the manufacturer decided he had to make more money and used cheaper materials.
There are some very good manufacturers in China but you need a British representative (who speaks the local language) on site each time the product is made.
“How long they can resist is anyone's guess.” I can’t imagine, as you say, anybody including the US making the Chin do anything that is not in their best interests.
@8 ChrisR,
Jun 12th, 2014 - 12:31 pm - Link - Report abuse 0I think that Chinese workmanship will eventually get better.
Japanese cars in the 50s were woeful, but look at them now.
l realise that the Chinese will rip you off if they think that they can get away with it.
lts in their nature.
They have given the world so much but have also failed because of their venial attitude.
Corruption is a way of life.
l always said that the ideals of communism did not suit the Chinese psyche.
They are more entrepreneurial.
l guess thats why punishments are so harsh in China.
lf the Yuan moved upwards, as l have been saying, it would mean for the Chinese, that they would need less of them to buy dollars.
So for the Chinese, imports, paid in dollars would become cheaper while their exports, if fixed in Yuan would become more expensive for the foreigners buying them.
l would call that a revaluation of the Yuan.
Peace
@ 9 lsolde
Jun 12th, 2014 - 06:27 pm - Link - Report abuse 0“China's Yuan gaining ground as world currency even for the US”
The implication being that the Yuan will take over from the Dollar, which is most certainly where they want to go. How long will it take, if it ever does, who knows but we are probably talking the ubiquitous 25 years or more, perhaps communism will be defunct throughout the world by then and the Chin will be “nice” people!
We can but hope.
*waves*
Jun 13th, 2014 - 11:00 am - Link - Report abuse 0;)
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