Alternative to Petrodollar by BRICS

[ofd]

Quote

And then, Putin delivers the clincher; “Russia shares the BRICS countries’ concerns over the unfairness of the global financial and economic architecture, which does not give due regard to the growing weight of the emerging economies. We are ready to work together with our partners to promote international financial regulation reforms and to overcome the excessive domination of the limited number of reserve currencies.”

“To overcome the excessive domination of the limited number of reserve currencies” is the politest way of stating what the BRICS have been discussing for years now; how to bypass the US dollar, as well as the petrodollar.

This is a thinly veiled threat to the US. If the BRICS choose this option we'll see a number of Black Swan events, one being the end of the neoliberal doctrine.

Via http://www.atimes.com/article/real-brics-bombshell/

[luxfelix]

A blessing in disguise -- after an initial economic downturn, things will improve via competition?

Why haven't they done so already?

[ofd]

The Chinese hold a lot of US obligations which are traded in Dollars. They have to walk a thin line lest they become worthless.