Does anyone believe this is related with upcoming war with Iran? China’s US$ reserves are maybe one of their best arguments against the USA. I’d say they would use that weapon as their last escape. Changing too much dollars wouldn’t be profitable for them either, but in case of war against Iran they might be forced to that. That would put the dollar under intense pressure and send U.S. interest rates skyrocketing, especially since the Russians hold another 330B$ in their reserves. After all those reserves in US$ aren't the best option for them anyway (compared with euro or other currencies) and probably many countries be forced to do the same.
Domino effect. Killing me softly scenario.
