# Chinese currency anyone?



## ChicoDaMan (Nov 6, 2012)

I can't afford to buy gold, and I question the value people would place on it in an economic collapse. My thinking is that if China becomes the world reserve currency, which there seems to be a big push for it, it might be smart to start buying while the price is so low. Any thoughts?


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## ComputerGuy (Dec 10, 2010)

I think you are gambling IMHO and I wouldn't bet in China's currency become the worlds reserve. I would see a world currency before a chinese alternative to the dollar


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## alwaysready (May 16, 2012)

ChicoDaMan said:


> I can't afford to buy gold, and I question the value people would place on it in an economic collapse. My thinking is that if China becomes the world reserve currency, which there seems to be a big push for it, it might be smart to start buying while the price is so low. Any thoughts?


I'd go with silver.


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## BillS (May 30, 2011)

China is engaging in the same kind of money printing as other countries. Their currency will be worthless before it's all over too.

Junk silver makes a lot of sense. I bought mine here:

http://www.providentmetals.com/1-face-value-90-silver-us-coins.html


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## partdeux (Aug 3, 2011)

China is literally a small player in the reserve currency game. Plus, they have a lot of their own internal and financial problems.


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## invision (Aug 14, 2012)

BillS said:


> China is engaging in the same kind of money printing as other countries. Their currency will be worthless before it's all over too.
> 
> Junk silver makes a lot of sense. I bought mine here:
> 
> http://www.providentmetals.com/1-face-value-90-silver-us-coins.html


I agree, silver is a good investment... Even gold doesn't have the 10 year increase in value that silver does... You can buy as little as you can afford...


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## ChicoDaMan (Nov 6, 2012)

Thanks for the input. Being new to prepping, I have to admit that I read and hear enough news to not be totally ignorant, which is why I have just started prepping. I did not realize that China was printing money like we were. 
I've been hearing a lot about bartering as well. I've been looking at buying liquor, but not sure if I should get the "good stuff" or go for the cheap stuff on sale. Again, any input is appreciated.


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## Immolatus (Feb 20, 2011)

While I have to say that most of everyones points are valid, I think you may be onto something. whether or not it would be worth it is a different story. Even if it becomes the reserve currency, which is doubtful for a lot of reasons, you would run into the problem of exchange. There are other currencies worth more than the dollar. If you are talking about strictly (FX) investing with its inherent risks thats one thing, but if you are talking about stacking yuan for SHTF, I cant imagine that would make any sense. You would have to go to a financial institution to trade them in, and good luck with that post SHTF.
Now for a base FX trade, long term this makes sense, but realize you are counting on the dollar collapsing but the yuan holding its value which seems doubtful.
Silver/gold would be more prudent. Your local bank would give you a hard time if you walked in with a stack of yuan even now.


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## Startingout-Blair (Aug 28, 2012)

After the SHTF and we are WROL, I plan to distill alcohol for medical, trade, power, and enjoyment reasons. Also, I am going to buy a couple cases of Jack, Jim, Crown, etc. for trading purposes, the homemade hooch would be regular trade. The good label brands would be considered premium trade products and rarely used.


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## invision (Aug 14, 2012)

Startingout-Blair said:


> After the SHTF and we are WROL, I plan to distill alcohol for medical, trade, power, and enjoyment reasons. Also, I am going to buy a couple cases of Jack, Jim, Crown, etc. for trading purposes, the homemade hooch would be regular trade. The good label brands would be considered premium trade products and rarely used.


I too have the goal of creating a still post SHTF for barter, and have a decent bar of premium label stuff at the house already for guests - JD Single Barrel, 18 and 25 year old scotch, Van Gogh vodka, etc. but I think post-SHTF as premium trade this stuff will only be useful in trade for those who have a specific taste for it, in comparison to the average drinker... And once SHTF, nobody is going to care if they are drinking a JDSB on the rocks or a shot of 'shine...

I wouldn't waste money buying up good or cheap, I would look at how to make and have the supplies ready to make when bartering of that nature starts.... Food, water, ammo, seeds, and labor will be first items of trade and most valuable... Then as things settle down, shine, shoes, silver, gold, etc will come forward until a currancy can be resurrected.


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## recoilless_57mm (Oct 15, 2012)

JMO, I have a cousin whose wife is chinese. After sitting down and having a conversation with her I have changed my feelings about trusting one of her countrymen. First, they change dollars faster than we change socks. In short, she did not trust her own people or money system. She said that she use to trade gold on her lunch hour using any spare cash from her paycheck, just to save enough money to get here, the USA. If it were me I would put my dollars into junk silver or 1oz silver coins. It is also my feelings it is getting late in the game to buy any of the precious metals and make money on them. The best would be inflation proofing of your spare money. In the end it is only my opinion. Like touch holes we all have one and this is mine. I wish you all the luck in the world. The good Lord knows I wish I had made some better decisions a few years back. 57mm


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## BillS (May 30, 2011)

ChicoDaMan said:


> Thanks for the input. Being new to prepping, I have to admit that I read and hear enough news to not be totally ignorant, which is why I have just started prepping. I did not realize that China was printing money like we were.
> I've been hearing a lot about bartering as well. I've been looking at buying liquor, but not sure if I should get the "good stuff" or go for the cheap stuff on sale. Again, any input is appreciated.


For barter, having alcohol makes sense. I'd go for the cheap stuff. Spread your money over a number of different items. People here have talked about fishing line and fish hooks. I'd go for cans of Campbell's Soup like Chicken Noodle and Tomato. They last for years. They're cheap. And food is the ultimate barter item.


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## partdeux (Aug 3, 2011)

BillS said:


> And food is the ultimate barter item.


I'm thinking the world's oldest profession is the ultimate barter item


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## Bobbb (Jan 7, 2012)

China is in a mad race to get rich before its population gets old and it doesn't look like it's going to win that race.


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## faithmarie (Oct 18, 2008)

Dollar Collapse Update: 7 Of 10 Asian Countries Move From Dollars To Yuan!! China Persists In Refusing To Buy US Paper, And Fed May Buy $85 Billion in Bonds Per Month. We Are On The Verge Of A Major Currency War!!
November 17th, 2012
167 20 3 4 307

A "renminbi bloc" has been formed in East Asia, as nations in the region abandon the US dollarand peg their currency to the Chinese yuan - a major signal of China's successful bid tointernationalize its currency, a research report has said.

The Peterson Institute for International Economics, or PIIE, said in its latest research that Chinahas moved closer to its long-term goal for the renminbi to become a global reserve currency.

Since the global financial crisis, the report said, more and more nations, especially emergingeconomies, see the yuan as the main reference currency when setting their exchange rate.

And now seven out of 10 economies in the region - including South Korea, Indonesia,Malaysia, Singapore and Thailand - track the renminbi more closely than they do the USdollar. Only three economies in the group - Hong Kong, Vietnam, and Mongolia - still havecurrencies following the dollar more closely than the renminbi, said the report, posted on theinstitute's website.

http://www.chinadaily.com.cn/china/2012-10/24/content_15840495.htm

China Persists In Refusing To Buy US Paper As Foreign LTM Purchases Of Treasurys Plunge To Three Year Lows

Yesterday's TIC data held two important pieces of data. The first is that in September, the month that Bernanke launched QEternity, for the first time in 2012, foreigners were net sellers of US Treasurys, dumping a total of $17.3 billion in paper, with foreign official institutions selling $919 million and non-official "Other Foreigners" offloading a whopping $18.3 billion: a record amount for this data series! The combined outflow was a dramatic reversal from the August $42.9 billion in purchases, from the $341.8 billion in foreign purchases Year To Date, was the first outflow of 2012, the first since the $13.1 billion sold in December 2011, and finally was the biggest sale in US paper since May 2009, or the month Greece had its first (of many) bailouts. While the reason for this dramatic shift in sentiment toward US paper is not defined, perhaps a primary reason is that in September foreigners bought a whopping $23.8 billion in corporate US stocks, the most since July 2009, and certainly motivated by hope that the latest Bernanke easing would send stocks soaring. Oh how wrong they were to believe that, and to fall for the media's latest attempt to force a rotation out of bonds and into stocks.

Source: TIC

http://www.zerohedge.com/news/2012-...reign-ltm-purchases-treasurys-plunge-three-ye

Williams Says Fed May Buy $85 Billion in Bonds Per Month

Federal Reserve Bank of San Francisco President John Williams said the central bank will probably buy about $85 billion in bonds per month starting in early 2013 and continue purchasing securities well into the second half of the year.

http://www.bloomberg.com/news/2012-...ed-may-buy-85-billion-in-bonds-per-month.html

Marc Faber: "I keep in my toilet a picture of Mr. Bernanke. And every time I think about selling my gold,
I look at it and I know better!"

Faber's big beef is with US Federal Reserve chairman Ben Bernanke. But "numerous Fed members make Mr. Bernanke look like a hawk," he said. Nor does it matter who is running the White House. Because thanks to welfare and military budgets, "spending is out of control, tax is low, and most spending is mandatory."

So Federal Reserve policy is inevitable, Faber went on, and while we haven't yet got the negative interest rates demanded by Fed member Janet Yellen, we have got negative real interest rates. The US and the West had sub-inflation interest rates in the 1970s too, and we got a boom in commodity prices then as well. But with exchange controls now missing from the developed world, "One important point," said Marc Faber:

&#8230;

"I keep in my toilet a picture of Mr. Bernanke. And every time I think about selling my gold,
I look at it and I know better!"

http://goldnews.bullionvault.com/marc-faber-lbma-gold-111620127#ixzz2CV8Shyj5

Ron Paul on Stossel: "There's NO LOOT LEFT left to divvy up!"

"It's hard to divvy up loot when there's none left to divvy up."

from Eduardo89rp:

Rep. Ron Paul, (R-Texas), on the current state of the economy and whether the administration can make corrections in the next four years.

ART CASHIN: We Are On The Verge Of A Major Currency War

UBS's Art Cashin warned Erik King of King World News that this could lead to full blown currency wars.

"What troubles me in that area is the call for elections in Japan, and the fact that Mr. Abe, who had been Prime Minister, may come back. He has called for unlimited monetary easing from the Bank of Japan and the Ministry of Finance.

It sounds to me like we are on the verge of a major currency war, under the guise of monetary policy. He specifically said, 'I want to see the rate of inflation go above 3%.' Now I'm sure they are bright enough not to get into something like Germany in the Weimar Republic. But we've got central banks all around the world beginning to play with fire."

http://www.businessinsider.com/art-cashin-currency-war-2012-11#ixzz2CV7eDY7R

G Edward Griffin: A New Currency is Coming Soon; and The US Dollar is a Big Scam - PT. 1 of 2

Avoiding The Fiscal Cliff = QE To Infinity

There is no reason to expect that renewed efforts at federal budget deficit reduction will result in anything more than the usual smoke and mirrors, further increasing, not reducing, long-term U.S. sovereign-solvency risk. In reality, the U.S. economy has not recovered, and no recovery is pending. Consumer liquidity remains severely impaired, and broad business activity continues to falter anew. As a result. the actual federal budget deficit going forward will be much worse than the relatively rosy numbers being used as the basis for government negotiations - John Williams, www.shadowstats.com

Everyone can draw their own conclusions about how this so-called "fiscal cliff" situation will play out, but the only way it can possibly be "resolved" is by postponing the inevitable. As Williams states: "Accordingly, global market reaction-to a severely deteriorating outlook for U.S. fiscal conditions-increasingly should reflect massive flight from the U.S. dollar and movement into gold and the stronger Western currencies."
http://truthingold.blogspot.com/2012/11/avoiding-fiscal-cliff-qe-to-infinity.html

Peter Schiff: The Real Fiscal Cliff Is Dollar Crisis! Buy Gold! Buy Silver! Own Real Things!!!

What this tells me is that when the quickly coming Great Collapse of Western Economies (GCWE) occurs, these are the economies that will most likely have the best chance of surviving this otherwise global collapse:

1. China
2. Singapore
3. South Korea
4. Malaysia
5. Thailand
6. Indonesia

And secondly, it's entirely probable that the following economies will see the light and join the new economic coalition:

1. Hong Kong
2. Vietnam
3. Mongolia
4. India
5. Chile
6. Israel
7. South Africa
8. Turkey

If you want to plan on where to go to ride out this global economic disaster, this list will be a good starting point.

Some have already chosen this path.

Where will you be when this economic hurricane hits?

Peace

While The Fed Is Playing An Extraordinarily Dangerous Game, The World Should Consider Switching From The Dollar To Gold


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