The Dollar Is Once Again The World's Problem - Chinese State Urges De-Dollarization - A Rising Trend

1 year ago
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On the eve of The Fed's big decision to hike rates 75bps or 100bps in an effort to shock the system and tamp down out of control inflation, no lesser entity than the CCP-backed Global Times penned an editorial attacking US monetary policy, entitled: "The strong dollar should not become a sharp blade to cut the world."

The editorial begins by noting that tomorrow's rate-hike will likely further strengthen the US Dollar, which "for many countries in the world," China says, "might be the beginning of another nightmare."

"A super strong US dollar and the fall of other currencies will, to a certain extent, ease the scorching inflation in the US economy, but the world will have to pay for it."

And the dollar's strength has pushed Asian FX markets down hard to their weakest since 2003...

Now the anxiety and insecurity brought by the US dollar to the world has heralded the beginning of the decline of its hegemony - regarding Washington's insatiable exploitation, Europe, Asia, the Middle East and other regions have explored the path of "de-dollarization," leading to the inevitable diversification of the international monetary system...

"...The instability and fragility of international financial markets have once again become prominent. It is precisely at such times that the international community should be more determined to cooperate and build a reliable, systemic and long-term multilateral international financial system. This cannot wait."

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