Sunday, September 19, 2010

Economic Crisis Threatens to Unleash Global Currency Wars

US Congressman Sander Levin (Democrat from Michigan), who chairs the House Ways and Means Committee, suggested at Thursday's hearing on Chinese currency policy that Japan's intervention meant it had a "predatory exchange rate policy."
The Japanese move set off warnings of an outbreak of competitive currency devaluations, similar to those that contributed in the 1930s to a collapse in world trade. "It almost gives everyone else the right to intervene unilaterally and trigger a competitive devaluation process," said Noriko Hama of Japan's Doshisha University.
The Wall Street Journal quoted Denis Gould, AXA Investment Managers' director of investment for Asia, as doubting the long-term effectiveness of unilateral interventions in lowering the value of the yen. "To make this move stick," he said, "it needs the US to play, as well as the Chinese." He continued, "Nobody will do it in a coordinated manner because nobody wants their currency going up. Everywhere in the world there are problems with economic growth."
More Here..


  1. The biggest currency manipulator in the world thinks it can print money endlessly thereby devaluing its currency by exporting dollar inflation and that other currencies should just adjust to the masters demands by upwardly valuing their own currencies so the US gets a double benefit.
    Another free kick for America!
    The Chinese appear to have had enough of lending help to the US consumers with vendor financing of trillions of dollars. Only to see the world exchange value of their savings in danger of being inflated away by an orgy of $ printing.
    Why should they pay the cost of America increasing the value of its dollar to buy Chinese goods cheaper at their expense.
    China has been a pillar of strengh for the world economy helping America by keeping its Yuan stable in relation to the dollar.

    But it loses when it trades in stable dollar value when it trades against a falling Euro value.

  2. Exactly right 1:59. The U.S. has earned the right to SHUT UP when it comes to any other country doing anything with their own currencies.

  3. Clicked on the link and it takes you to the world socialist website -- fuck that. I'm not reading anything posited by a bunch of socialist scumbags.

  4. 7:55 the government is more socialist then that site. I didn't read one word of a socialist mention anywhere. Grow up and read all angles of this crash. No wonder people are so lost in space.

  5. don't have a clue...if you think China has practiced fair free trade and not manipulated their currency, you're a moron

    No one ever forced them to buy US treasuries either
    ......go to there..
    Get your loser ass out of America!

  6. Replace the word china with US ...and US with China. It is simply a symbiotic relationship, in which mutual destruction is assured. They lend us money to buy lead based toys? when does the game stop? When The US says it does. And it will be based on a preceived military national threat to homeland? Be it economic or phyiscal, we will respond. If China thinks it can now establish regional trading partners and start dumping has another thing coming... THINK ABOUT IT!

  7. Sounds like the real idiot that posted at 1043 am is ready to go to war for israel and come home in a little black baggie.

  8. 2.42.. A non american observer says:
    "What you gonna do bankrupt Yankee loudmouth has been ?"
    Go nuclear?
    Send in the Marines?
    This is the 21st century not the era of economic imperialist gunboat diplomacy dreamer.

    The US is on the surface a real military tiger but in essence it is only a toothless paper tiger.
    But, As you say:
    "in which mutual destruction is assured"
    The MAD theory in nuclear war plans was what prevented nuclear war between the supererpowers the US and The USSR why it was a cold war not a hot war.
    China was smart enough to break with the USSR a major part of that being Chinas insistance of developing its owm nuclear defence against both superpowers to preserve its national independence.
    Now China has missiles ,satelites and H bombs.
    Any attack on China will not be a walkover of a poorly equiped third world country like IRAQ that has to fight the US after it was first disarmed by UN inspectors.
    The US or its people is not known for its Guts in attacking strong countries.even in the second world War it only supplemented the USSR war effort on the late coming Western front ,but only after the USSR had already militarily defeated and smashed the Fascist War machine .
    Even in Iraq it hides from its own people the actual number of deaths by only counting those that die directly in Iraq itself ,not by counting those who die later say in military hospitals in Germany or the US.The US total death figures are about as real as its counting of the unemployed in America.

    China is now the greatest real world industrial manufacturing Capitalist power and economy in the world.

    Only Faked Up GD"P" figures and the dollar hegemony system makes the US the "biggest economy" In the world but only as measured in Dollar value .
    A dollar that is having its value inflated away by the printing press in order to bail out a failed state insolvant capitalist system, by socialising the losses of its capitalists after a financial coup to take over the Treasury
    The US Financial system and the bankers of casino capitalism have lost all "institutional Memory" of how to make a profit in the real world ,where real wealth is created in industrial production.
    The US cannot make a profit from its overpaid and bribed workers .
    Thats why the "patriotic" US finance sector de-industrialised America and moved to China and the Third world.
    The whole US ponzi economy is now insolvant with a weakening dollar and not in any condition to fight a big war.
    the government is already loaded up by the cost of deficit spending for past wars and only runs on the smell of paper printing.
    The good name of American dollar debt was smashed by the fraudsters on wall st. exporting trillions in dud AAA bonds exporting the cost of its Ponzi econonic crisis to the rest of the world.
    China will not knuckle under the dollar hegemony dictate like the Japanese did by manipulating the Yen in the "Plaza accord"in the late eighties in order to save America by putting their own economy ,in a still continuing stagnant economic condition.
    Only stupid lodmouthed creditors shout at and make military threats to their bankers without making the rest of the world laugh.
    Take a deep breath ,loudmouth ideological Yank ,there is a real world lurking beside the printing press .


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