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<p>[QUOTE=&quot;Cloudsweeper99, post: 710411, member: 3011&quot;]Let&#039;s think about this, assuming it is true.&nbsp; It is unlikely that any basket of currencies will exclude the US dollar.&nbsp; The Chinese yuan is too small to be a major part of a basket, and the Gulf currency doesn&#039;t even exist yet and will no doubt be another fiat currency.&nbsp; So the dollar will still be an important part of the reserve currency basket.&nbsp; If gold is a component, it will have to be denominated in some currency [you can&#039;t add ounces and currencies in any meaningful way], and that currency will effectively be the new reserve currency.&nbsp; And if the dollars come back to the US, why would that necessarily be bad?&nbsp; The US Treasuries are non-callable, so the holders will have to sell them to effectively &quot;buy&quot; US dollars to spend.&nbsp; This will depress bond prices, raise interest rates and strengthen the dollar.&nbsp; Then the dollars will be spent on goods and services provided by the US, raising asset prices, creating a favorable balance of payments, creating jobs and producing income for Americans.&nbsp; I&#039;m not saying any of this will happen -- their view or mine.&nbsp; I only want to point out that a lot of what passes for analysis is badly thought out and slanted to produce fear.[/QUOTE]</p><p><br /></p>

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