South China Morning Post/Nicholas Spiro/6-9-2022
“The last thing Chinese policymakers want to do, especially when the economy faces huge challenges, is allow volatile commodity markets to determine the value of the yuan, depriving them of their ability to use monetary policy to support growth or suppress inflation.”
USAGOLD note: The commodity markets reference in the snippet follows a mention of Zoltan Pozsar’s thesis that a new monetary order will be “centered around commodity-based currencies in the East that is likely to weaken the eurodollar system and contribute to inflationary forces in the West.” Spiro, who is a partner at London-based Lauressa Advisory, says that China has little interest in pushing the yuan to the forefront as a reserve currency challenger to the US dollar.
