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RE: RE: Could China's Huge US Dollar Reserves Cripple US Economy? (Technically yes)
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RE: Could China's Huge US Dollar Reserves Cripple US Economy? (Technically yes)

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So China buys back its Yuan with dollars it has made from products sold to the US, and then dumps those into bonds for interest, so at any time it can let the system value the Yuan against the dollar as it should, increasing it's value by as much as 5-8x or even more, killing the dollar in return, literally without doing anything but letting the market buy the yuan and not printing more to offset the demand. This will also be debilitating to the dollar as more and more of the Reserve Currency market is gobled up the the Yuan, as this increases the global demand it will further erode the Dollar's value, seeing that the potential of exponential growth is going to continue for the Yuan as reserve currency this would be very troubling for the US. China is the largest producer in the world, even if you were to combine all of the production in Europe, North America, and Japan, it wouldn't be more than China, plus China is the number one exporter of various important minerals that are required for microchips and electronics making their dominance that more cemented.

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@baah: So China buys | Ecency