Fighting Yoda

Why Stagflation Has Already Begun

Depression will come before stagflation.

Fed is trying to inflate, commodity traders have bought into it, Wall Street is spreading the green shoots PR. Corporates are not buying any of it - firing people, reducing salaries and bonuses. Inflation is hard in this scenario, a lot more capacity will have to be not just idled but simply destroyed (think GM).
Money printing is not getting transmitted to the consumers - job losses and pay cuts prevent that. Tax cuts and stimulus (Govt. consumption) have been too small to offset loss of private consumption. All tax cuts and and some was saved by US consumers last month - so the Govt. stimulus is not working.

China and Brazil to Ditch U.S. Dollar? Hardly

The arrangement China and Brazil are seeking is to use Yuan for trade based on Yuans supplied by China for currency swaps - so the invoicing occurs in Yuans (not Reals). This is plausible arrangement - Chinese currency is strong and stable - huge currency reserves and trade surplus to back it. Every small trade does not have to be done in Yuans - the major trades (likely accounting for 95% of the trades) can be done in Yuans - deficits can be suitably settled every few years.

This is beneficial arrangement for the two - I can see them implementing it.