Chinese banks are getting ready to unload a substantial amount of their US Dollar holdings.

RT:

China has told state-run financial institutions to prepare to sell off their dollar holdings while stocking up on offshore yuan, as Beijing tries to bolster the national currency, Reuters reported on Thursday, citing sources with knowledge of the matter.

The simultaneous dumping of the US dollar and purchasing of the yuan are expected to avoid further drops in the Chinese currency, which is currently on track for the biggest annual loss versus the greenback in nearly three decades. So far this year, the yuan has dropped over 11% against the dollar.

The unnamed source told the agency that the scale of this round of dollar selling to defend the weakening yuan is expected to be “rather big.”

China’s offshore yuan, which moves in lockstep with onshore yuan, saw a rebound of around 200 pips on the news. The trading volumes of offshore yuan account for about 70% of all yuan FX trades globally, dwarfing the volumes traded on the mainland.

The intervention scheme reportedly involved primarily using state lenders’ dollar reserves, while the total amount of selling is yet to be determined, since moves in the Chinese currency typically depend on dollar movements and the tightening policies pursued by the US central bank.

China is currently in the process of trying to untangle themselves from the US financial system as much as possible. Dumping their US Dollar holdings is a part of this process. It isn’t something they can do in one night, but they’ve been slowly making progress on this front.

They have no doubt been escalating this push because of how Russia has been treated by the West. The entire world sees the West as an unreliable business partner because of how they weaponized the US Dollar against the Russians. The continued ZOG agitations against them over the Taiwan issue have also played a significant role as well.

When the US Dollar collapses, US military hegemony over large parts of the world will quickly evaporate. That’s the only thing propping up the ZOG empire at this point and its foundation is quickly crumbling.

Comment:  U.S. is run by truly EVIL Zionist Criminal Members but then So Is the UN as it was created by the Rockefellers who are very evil in league with the Rothschilds & Royals who do control the U.S.  Stock up on Food, Goods, NOW!