We have noted that China is looking for ways to diversify out of its overdependence on the US dollar and US bonds. There are many news articles about this but here is one that illustrates that they continue to do at a steady pace.
Some quotes:
"Industrial and Commercial Bank of China Ltd announced on Jan 29 it had reached an agreement with Standard Bank Group Ltd on acquiring a 60 percent share in Standard Bank Plc, a
London based entity that trades currencies, commodities, stocks and bonds, for about $750 million."
"ICBC, also the world's most profitable lender and largest bank by assets, is not alone in
extending its reach to the African continent, which has become a hot investment destination
for Chinese businesses."
"In the future, China will not only expand trade with Africa but also increase investment in
the continent," said Li Wentao, aresearcher at the Institute of African Studies at the China Institutes of Contemporary International Relations.
"Chinese businesses will co-develop with locals and set their roots locally."
In the US we tend to think everything revolves around the US economy. But that has changed over time and there is expanding trade and commerce around the world. More and more trading deals are bypassing the US dollar as well.
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