BRICS

IvanOpinion

I am seeing a lot of new stories in relation to the expansion of BRICS, including one last night that claimed the BRICS volume could now be larger than USD.

My question is what (if anything) does all this mean to us, our savings, our pensions etc.?

DavidT67

I have no plans to invest in corrupt failed or failing states.

BRICS+ is basically a parallel global economy for pariah states.

Linton

IvanOpinion said:

I am seeing a lot of new stories in relation to the expansion of BRICS, including one last night that claimed the BRICS volume could now be larger than USD.

My question is what (if anything) does all this mean to us, our savings, our pensions etc.?

Yes, the US and China are building up to a serious trade war with the old BRICS countries and their many new members (Thailand, Turkey, much of Africa and South America IIRC)  setting up global trade and financial systems outside the reach of the US authorities. ASML stuck in the middle with US insisting it follows their sanctions whereas 50% of their sales are in China.  China may do something with its $3T cash reserves and $770B US treasury bond holding. We are living in interesting times.

What it means for us I do not have the faintest idea.  As always I suggest people stay invested and well diversified..  Bet on both sides.  I am happy with my 40% US but am checking that my allocations are appropriate should BRICS win.

gravel_2

DavidT67 said:

I have no plans to invest in corrupt failed or failing states.

BRICS+ is basically a parallel global economy for pariah states.

At which point does a parallel economy become the real economy, in your view?

Linton

DavidT67 said:

I have no plans to invest in corrupt failed or failing states.

BRICS+ is basically a parallel global economy for pariah states.

Pariah as specified by the US.  In my view this list has more to do with US national interest and internal politics than any other factors.  The BRICS bloc could become a larger economy than the US centred one and of course with a much higher % of the world population.  China is already well within striking distance (financially) of the US.  Even Russia operating under severe sanctions has a higher GDP growth rate than the US according to the "Trading Economics" data.

But I fear this may be wandering into politics.

jimjames

DavidT67 said:

I have no plans to invest in corrupt failed or failing states.

BRICS+ is basically a parallel global economy for pariah states.

Brazil, Russia, India, China. I can see Russia as a pariah but India?