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Beijing May Be Preparing To Deploy Economic ‘Nuclear Option’
China’s aggressive buying of commodities has raised concerns among analysts about the possibility of the country resorting to the “economic nuclear option.”
Speculation abounds regarding whether China is preparing for a significant devaluation of its currency, the yuan.
Such a move could stimulate exports but would also trigger global economic repercussions and exacerbate trade tensions with the United States.
China’s recent accumulation of resources like gold and oil suggests a strategy to bolster financial security and bargaining power in the event of a currency devaluation.
The country’s central bank’s continuous gold purchases and increased crude oil imports indicate efforts to diversify assets and mitigate risks amid geopolitical tensions, Newsweek has reported.
read more: https://www.newsweek.com/china-may-preparing-deploy-economic-nuclear-option-1894985
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#China #Beijing #Economy
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