Cheng Siwei, former vice-chairman of the Standing Committee and now head of China's green energy drive, said Beijing was dismayed by the Fed's recourse to "credit easing".
"We hope there will be a change in monetary policy as soon as they have positive growth again," he said at the Ambrosetti Workshop, a policy gathering on Lake Como.
"If they keep printing money to buy bonds it will lead to inflation, and after a year or two the dollar will fall hard. Most of our foreign reserves are in US bonds and this is very difficult to change, so we will diversify incremental reserves into euros, yen, and other currencies," he said.
China's reserves are more than – $2 trillion, the world's largest.
"Gold is definitely an alternative, but when we buy, the price goes up. We have to do it carefully so as not to stimulate the markets," he added.
The comments suggest that China has become the driving force in the gold market and can be counted on to
buy whenever there is a price dip, putting a floor under any correction.
Mr Cheng said the Fed's loose monetary policy was stoking an unstable asset boom in China. "If we raise interest rates, we will be flooded with hot money. We have to wait for them. If they raise, we raise.
Link
UN Says New Currency Is Needed to Fix Broken ‘Confidence Game’
LINK
Funny that a huge government like China thinks frugaly.
ReplyDeleteDesperately wants gold instead of our soon to be worthless Fiat dollars, but doesn't want to buy too quickly as to drive the price up. They still want the Oligarch bankers to be able to manipulate the price down, for their own purchasing benefit.
I am not a huge gold fan, but no doubt about it, the price of gold is going to launch one way, the dollar is going the other way, as in down.
The idiotic crack smoking transvestite atheists who run the world are drooling from the mouths at this point, for they know that the dollar tanking will be the final nail in the coffin, or the final blow to the dead corpse that is the economy. The homosexual left wing commie hippies that surround themselves around Barack the Terrorist Obama Sin Laden will then descend upon the people like mad vultures ravishing every body, man, woman, or young child. Whoever is left will lay in FEMA camps with test tubes running to your arms sucking your blood, just barely kept alive by sythnetic drugs, vitamins, and episodes of Howdy Doody (nice one, controllers). I really see no future left for anyone, but my advice is to invest in gold now and possibly firewood. Good luck.
ReplyDeleteInside those test tubes are reptilian hybrid babies who will be indoctrinated into the Draconian Nazi Neo-Con Bankster Elite way of life and will eventually govern each and every one of us, if there is anything left. Most likely they will want to keep a few of us around as floor sweepers and nannies for their breeding programs. God help all of us.
ReplyDeleteThis comment has been removed by a blog administrator.
ReplyDeleteThe 'fake' God I dream of is doing
ReplyDeleteeverything He said He would do
to the likes of you 3:12pm.
You are dying.
He will live forever.
How's that make you feel?
Praise be to Jesus Christ Forever.
Amen.
This comment has been removed by a blog administrator.
ReplyDeleteDem Babylon Korrupt go into dem lake FIRE.
ReplyDeleteCHA.
RASTA MAN NO LIE!
GOD HELPALLOFUS!
ReplyDeleteAnd so the bankster walks into a bar and the bartender says we don't serve your kind. The bankster says oh yeah, what is my kind? Well I thought you would know that since the sign on the wall coming in clearly pointed that out, said the bartender. Well hot damn, hot damn, said the bankster. I do believe you got me on that one sir. So, out of pure charm and cunning, he has the bartender serve him one anyway and they continue to talk about all manner of things, like sex, donkeys, politics, and bigfoot, which the government has covered up since 1971. At the end of it the Bankster had to kill the bartender, of course. Can't have anyone knowing all the government secrets out there in the general population. This continued throughout the night until the bankster got tired of slitting peoples throats from one bar to the next. He went home, put on the strap-on, had sex with an alien, and threw in an old Michael Jackson tape, yep the same black guy he had killed only a few weeks ago using HARP technology. If you were paying attention MJ's Moonwalker paid tribute to alien bases on the surface of the moon. Bilderberg planned to blow up the moon just recently but those plans got thwarted by Michael Jackson's personal camp. The banksters took revenge by having MJ killed. There's going to be a movie about it starring Don Cheadle and Jackie Chan called Dance Cop.
ReplyDelete