BRICS currency: Is Trump's tariff threat justified?

[BeatMan]

Why does BRICS want to challenge the US dollar?​

The BRICS nations — named after original members Brazil, Russia, India, China and South Africa — are among the fast-growing economies in the 21st century. They are keen to reduce their dependence on the US dollar, the world's reserve currency, used for nearly 80% of global trade.

Most economists agree that the dollar-dominated financial system gives the United States major economic advantages, including lower borrowing costs, the ability to sustain larger fiscal deficits and exchange-rate stability, among others.

The dollar is the main currency used to price commodities like oil and gold, and its stability means investors often flock to the dollar during uncertain times.

Washington also benefits from enormous geopolitical influence from so-called dollarization, including the ability to impose sanctions on other nations and restrict their access to trade and capital.

https://www.dw.com/en/brics-currency-is-trumps-tariff-threat-justified/a-70934600

 

[Politruk]

The reserve currency of the future might be euros. It won't be rubles or renminbi or Bitcoin or gold-grams.

 

[AceDesSpades]

Yes. A showdown will shake out the pretense and the dollar will regain its lost prestige. BRICS sink.

I do love the rehash of the Chicken Little Syndrome from the first four years proving that failure is it own reward.

"the principle"

 

[Rebel5soul]

Not a challenge........................yet. But a threat that goes unanswered is a threat that will grow.

 

[AceDesSpades]

That's why you "end the game" by kicking their head in: to win all the fights after before they happen...

I once knew this crazy little Irish red-headed fucker (when I was a bouncer) and after he did my job a few times before I could stop him, I never had to do my job other than to collect the door and peep the count honest. Mostly.

 

[ll74]

The US is not the only market anymore.

BRICS knows this.

 

[AceDesSpades]

This is correct. It is, however, the market that matters, the metaphorical "phrase that pays..."

Coming to America ... milk and honey ... streets of gold(man Saks)

 

[Philthy_Phil]

Tariffs can and will go both ways. A broad 25% tariff will hurt both countries and their economies.

 

[AceDesSpades]

Never equally.

 

[HisArpy]

Lol, Russia's economy is collapsing, not "growing." So is China's and S. Africa's.