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Dictating to China has never really worked.

MGLICKERMGLICKER Posts: 7,995 ✭✭✭
in Precious Metals
...especially since they control Boardwalk and Park Place.



(Reuters) - The United States warned Beijing on Monday that the recent depreciation of the Chinese currency could raise "serious concerns" if it signaled a policy shift away from allowing market-determined exchange rates.

Washington has been pressing China for years to allow its currency to trade at stronger values. A weak yuan makes Chinese exports cheaper for U.S. consumers at the expense of U.S. producers. A weaker yuan also makes Chinese consumers less able to buy foreign goods.

Last month, U.S. Treasury Secretary Jack Lew welcomed a decision by China to allow its currency to vary more against the dollar in daily trading.

Monday's comments by a senior official from the Treasury Department suggested the United States was not completely sold on China's intention to reduce authorities' interventions in exchange markets.

Comments

  • KUCHKUCH Posts: 1,186
    China protects it's borders, I think I remember reading about the Great Wall of China. Ha. China is pissed about the whole NSA thing. China is buying gold. Enough said.image
  • derrybderryb Posts: 37,107 ✭✭✭✭✭
    The US would be better served focusing on its own financial house and it's own economic policy. Doing so would lesson the impact that others have on it.

    Repetition of ignorance is ignorance raised to the power two.

  • dpooledpoole Posts: 5,940 ✭✭✭✭✭


    << <i>The US would be better served focusing on its own financial house and it's own economic policy. Doing so would lesson the impact that others have on it. >>



    This.

    Here's a warning parable for coin collectors...



  • JulioJulio Posts: 2,501 ✭
    I personally don't worry about China. IMO the dire predictions that China is going to eat our lunch have been grossly overstated.
    image
  • rickoricko Posts: 98,724 ✭✭✭✭✭
    Complaining about China's currency and issues is merely a distraction from our own dire predicament. Cheers, RickO
  • MGLICKERMGLICKER Posts: 7,995 ✭✭✭
    The race to devalue currency is nothing short of remarkable.

    Digital wheelbarrows will be needed to buy a loaf of bread.
  • JustacommemanJustacommeman Posts: 22,852 ✭✭✭✭✭


    << <i>The race to devalue currency is nothing short of remarkable.

    Digital wheelbarrows will be needed to buy a loaf of bread. >>



    I'm in China now amd an Interesting dilemma is brewing on future $/yuan price quotes which manufacturers and exporters calculate prices. For forever the yuan has been artificially suppressed by the Chinese against the dollar. Regardless it always strengthened but in a steady controlled manner so not to freak everybody out. Lots of folks counted on a 5.9rmb/1$ ratio in planning their business in 2014. However, a funny thing happened on the way up the great wall, the yuan vs the dollar has now actually started to reverse course or at least stalled. 6.2/1 seems to be a sticky number that is being managed. A small break for exporters ( who factored in a worse rate) and potentially a break for US customers.

    MJ
    Walker Proof Digital Album
    Fellas, leave the tight pants to the ladies. If I can count the coins in your pockets you better use them to call a tailor. Stay thirsty my friends......
  • derrybderryb Posts: 37,107 ✭✭✭✭✭


    << <i>Dictating to China has never really worked. >>


    Sorta like me telling MasterCard how to run their business while they hold my maxed out credit.

    Repetition of ignorance is ignorance raised to the power two.

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