S&P index

Commodity Futures Charts

Friday, September 30, 2016

30 Sept Renminbi and IMF special drawing rights

1 Oct China national currency would be Included as a component of IMF sdf special drawing rights currency. Rub would qualify as a reserve currency of the world. On this eve, it is reported that German Deutsche Bank is claiming it faces capital control measure in remitting its sales proceed of a bank share sale.
This has great implication of IMF credibility and concern that part of every country nation reserve is no longer secured. And at the moment once Rmb is included, all sovereign wealth fund credit status would be downgraded. This is called contagion.
Once china announces capital control in war breakout, IMF SDR would be in serious doubt.
The next ten days of china national holiday break would be interesting.

If forumers are expecting something would happen, it would happen.

No comments:

Post a Comment