China has stated that it will no longer trade for oil using the US dollar. Instead it will buy oil using the Yuan and buy mainly from Russia. What effect will this have on the US$ as the world's standard currency?

China has stated that it will no longer trade for oil using the US dollar. Instead it will buy oil using the Yuan and buy mainly from Russia. What effect will this have on the US$ as the world's standard currency?

China has inked deals to settle in currencies other than the dollar for energy.

The key isn't china's decision, but the uptake and acceptance by multiple energy producing partners.

Such a development would have been unthinkable just a few years ago, because the US will come down like a ton of bricks on anyone who moves away from the petrodollar.

Unfortunately, Russia, Iran and Saudi Arabia, three of the most influential energy suppliers for the Chinese, have jumped on board FOR DIFFERENT REASONS.

There are growing risks, both geopolitical and economic, swirling around the dollar today.

Trust is a slippery slope. It takes generations to cultivate, but can be easily ruined by a singular act of folly.

The United States is entering a new paradigm where mistakes in national policy can no longer be credited into the future and shoveled out of sight.