BREAKING: China and Japan, Asia's two largest economies just dumped the greenback
China, Japan to Back Direct Trade of Currencies
By Toru Fujioka - Dec 26, 2011 4:55 AM GMT-0500
Japan and China will promote direct trading of the yen and yuan without using dollars and will encourage the development of a market for companies involved in the exchanges, the Japanese government said.
Japan will also apply to buy Chinese bonds next year, allowing the investment of renminbi that leaves China during the transactions, the Japanese government said in a statement after a meeting between Prime Minister Yoshihiko Noda and Chinese Premier Wen Jiabao in Beijing yesterday. Encouraging direct yen- yuan settlement should reduce currency risks and trading costs, the Japanese and Chinese governments said.
China, Japan to Back Direct Trade of Currencies - Bloomberg