China runs massive trade surpluses with North America and Europe. Those markets pay in US Dollars or in Euro. Every day China earns about $2.7 billion USD ...
and a massive move like that means their confidence doesn't even extend out 5 years before a conflict big enough that the Fed would wipe out any global trust in the USD.
Probably just the Ukraine war right? A complete and total seizure of Russian USD assets
That's definitely the start, seeing it with Afghanistan and Russia made it clear that it could happen, then the decision to finally pull out of Western banks was likely decided because they see the escalation of tensions with them actually leading to something.
Probably just the Ukraine war right? A complete and total seizure of Russian USD assets
That's definitely the start, seeing it with Afghanistan and Russia made it clear that it could happen, then the decision to finally pull out of Western banks was likely decided because they see the escalation of tensions with them actually leading to something.