onlooker wrote:G, it may not be a direct jab on US, but this reserve currency shift threatens to strike at a pillar of US economic policy of having the dollar as the reserve currency especially for oil transactions. Maybe if this was a single isolated incident but taken with other events happening recently it seems the world is united in it's intention to reduce US power and influence.
1). I don't buy the whole US reserve currency thing being a big deal. Since modern markets with fast reliable computers include FOREX markets, etc., there is no longer any need for foreign countries to hold large amounts of US dollars they don't want. (One second before, say, buying a bunch of oil, they can trade in their "currency X" they prefer to hold for dollars, and then buy the oil).
2). Maybe if the US would spend more time minding ITS business and doing things like becoming energy dependent and paying down its debts instead of, say, attacking anyone they don't agree with (if they don't expect major consequences), the world wouldn't NEED to feel threatened by its power and influence? (I say this as a US citizen who thinks we could use more education, infrastructure, etc. and less military adventurism -- given how badly it tends to turn out).
Given the track record of the perma-doomer blogs, I wouldn't bet a fast crash doomer's money on their predictions.