Re: The Gold Worm on the Yuan Hook
Bear in mind that the oil seller need not have to exchange Yuan for gold. They could use the Yuan to buy stuff from China or other countries. For example, they could buy corn, wheat, etc from Argentina. Argentina is having an issue with Wall Streeters (something to do with a creditor insisting on full payment for the bond). Having a bilateral agreement with China, Argentina can use the Yuan to get junk from China or trade with another that has such bilateral agreement with China. Before too long, Yuam will become another widely accepted reserve currency. IMHO.