Yes they should. Are they going to? Most probably not in the short-term. They’ll have to wait until China is good and ready.

Elsewhere, IMF’s chief ecnomist Blanchard says diversification of currency reserves desirable but sees no collapse of the US dollar.

Other comments Blanchard made in interview with Le Monde

  • Difficult for Brazil to see real appreciate while yuan weakens with US dollar
  • Not very concerned about risk of inflation
  • World economy could fall back into crisis if generous fiscal policies withdrawn
  • Some emerging markets risk bubbles, reserve build up that will be hard to control