China tiptoes to petrodollar recycling

China started bilateral trade agreements two years ago with their major trading partners.  Basically, bilateral trade agreement = death of the petrodollar (USDollar) as a reserve currency.

Here's the Cliff Notes version for the impatient:  the world will dump USDollars once they find out its true confetti nature.  Prices will go through the roof on things we will need.  For things we merely want (e.g. second desert homes, powerboats), not so much.

Anybody notice the Chinese aren't participating in the US Treasury bond auctions?  Could it be their reserves of $1.6 trillion in US Treasuries are making them a tad bit nervous?  But, but wait...US Treasury bonds are the last safe haven, right?

http://blogs.rediff.com/mkbhadrakumar/2012/01/19/china-tiptoes-into-petrodollar-recycling/