What Is This World Coming To?

Brazil and China will work towards using their own currencies in trade transactions rather than the US dollar, according to Brazil’s central bank and aides to Luiz Inácio Lula da Silva, Brazil’s president.

The move follows recent Chinese challenges to the status of the dollar as the world’s leading international currency.

Mr Lula da Silva, who is visiting Beijing this week, and Hu Jintao, China’s president, first discussed the idea of replacing the dollar with the renminbi and the real as trade currencies when they met at the G20 summit in London last month.

An official at Brazil’s central bank stressed that talks were at an early stage. He also said that what was under discussion was not a currency swap of the kind China recently agreed with Argentina and which the US had agreed with several countries, including Brazil.

“Currency swaps are not necessarily trade related,” the official said. “The funds can be drawn down for any use. What we are talking about now is Brazil paying for Chinese goods with reals and China paying for Brazilian goods with renminbi.”

More from Financial Times

The Jewish Anti-Defamation League said that a survey it commissioned found nearly a third of Europeans polled blame Jews for the global economic meltdown and that a greater number think Jews have too much power in the business world.

The organization, which says its aim is “to stop the defamation of Jewish people and secure justice and fair treatment to all,” says the seven-nation survey confirms that anti-Semitism remains strong.

The poll included interviews with 3,500 people - 500 each in Austria, Britain, France, Germany, Hungary, Poland, Spain.

It says that in Spain, 74 percent of those asked say they feel it is “probably true” that Jews hold too much sway over the global financial markets. That is the highest percentage in the survey. Read the rest of this entry »