Is China About to Go “Scorched Earth” on the US Dollar?
by Phoenix Capital
ZeroHedge.com
Oct 24, 2016
China’s currency, the Chinese Yuan, remains pegged to the US Dollar. So when the US Dollar strengthens, the Chinese Yuan strengthens to.
For an economy as rife with garbage debt as China (shadow banking debt is over 200% of GDP), this is a DISASTER.
With that in mind, consider that the US Dollar is now at 99.
Whenever the US Dollar reaches these heights, China fires a warning shot at the Federal Reserve by aggressively devaluing the Yuan.
Buckle up, because as I write this Monday morning, China just began to aggressively devalue the Yuan AGAIN.
Over 99% of investors have missed this. They continue to focus on what stocks do in the day to day. But a big move is about to hit the markets.
Gold has picked up that something MAJOR is afoot. It’s exploding higher against EVERY major currency.
The Rest…HERE
