Wolfgang Schaeuble this one did not expect: "Japan and China on Christmas days they surprised us with the news of currency pact“. In a radio interview, the German Finance Minister commented with these words on the great commercial and financial news of this last part of 2011.
Beijing and Tokyo have reached a historic agreement, especially in light of the long-standing differences between the two powers: from now on exchanges between the two Asian giants will take place in yuan and yen, without recourse to the dollar.
According to Marco Rocchi, Intesa Sanpaolo economist, “the decision taken by China and Japan could have significant medium-term consequences for the dollar, which appears destined to undergo a reduction in the volumes traded on international markets”. In 2010 alone – Rocchi recalls – trade between the two countries reached 300 billion dollars. A colossal figure that from today says "bye bye" to greenbacks.
