China moves in on U.S. with currency swap and non-dollar trade with Canada

China moves in on U.S. with currency swap and non-dollar trade with Canada

Yesterday it was Russia seeking to disconnect the Rouble from its long standing soft peg to the Euro and dollar, and now China has its eyes set on America's back door by signing a new currency swap and non-dollar trade agreement with Canada that will set the foundation for increased transactions between the two nations using the Yuan and Loonie currencies.

In addition to this deal, China last week forged a new currency swap agreement with the oil producing nation of Qatar, and put another crack in the global hegemony of the petro-dollar and America's ability to control the reserve currency through the buying and selling of oil.

Attacks on the dollar and U.S. control over the global financial system have nearly become a daily occurrence, with several new agreements and monetary programs forged in both China and Russia over the last month seek to duplicate or replace counterparts functioning in Europe, the U.S., and elsewhere in the West.

Canada and China have signed a reciprocal currency deal that's expected to dramatically boost exports.

The hub will foster far easier trade between the Canadian dollar and the Chinese yuan, also known as the renminbi. It makes Canada the first country in the Americas to have a deal to trade in the renminbi.

Authorized by China's central bank, the deal will allow direct business between the Canadian dollar and the Chinese yuan, cutting out the middle man — in most cases, the U.S. dollar. - CBC News

One of the underlying reasons that nations are increasingly opening their economies to direct trade outside the dollar is America's ongoing policies of using the reserve currency as a weapon against anyone who threatens their national policies in either the political, economic, or military spheres. For Canada, this has meant the loss of substantive revenues through the failures of Congress to pass legislation on the Keystone Pipeline, and is forcing America's neighbor to seek alternative solutions with the U.S.'s main economic competitor China.

As the strong dollar continues to wreak havoc on the rest of the world's economies due to its status as the global reserve, more and more countries are taking the option to bypass it as a trade medium and signing new agreements with countries like China to facilitate direct trade in each other's currencies. And as the U.S. economy continues to languish among its own partners in both Canada and Europe as deflation pushes down global prices, China is quickly taking advantage of this by not only buying up resources around the globe, but offering a profitable solution to both sides through direct trade agreements that will help stabilize the effects of forced dollar hegemony.
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http://www.examiner.com/article/china-moves-on-u-s-with-currency-swap-and-non-dollar-trade-with-canada

China has lobbyed the world for working with them.  Might be good to pick up some Chinese language lol

I would not sweat it, our traitor in chief will be gone in a couple of years. China is not our friend, and they are dangerous, maybe more so than Russia, but they are also in worse shape economically than we are.