There is a lot of reason for the Chinese currency, known as the RMB to appreciate vs. the US dollar. Here are a few of them.
- China continues to grow
- The US is actively attempting to devalue the dollar (both in terms of currency purchases and in terms of expanding they money supply in response to the crisis
- By purchasing power parity standards, the RMB is undervalued significantly vis-a-vis the dollar
This is the current exchange rate between the dollar and the RMB
Here Jim Rodgers provides more detail
In this video he describes how to get into the Yuan. He describes an online bank called Everbank.
https://www.everbank.com/
They open bank accounts in RMB for Americans. According to Jim Rogers, this bank is backed by the FDIC.
In fact one can see the FDIC label on the bottom of the Everbank web page. Everbank does not have a very good reputation for customer service, and we have been told they wait until a time that is profitable for them to actually execute a currency transaction. However, its hard to find a bank that will manage RMB. We are thinking of opening an account there. We will start off with a small amount and see if they transfer the balance in a reasonable manner.
