Booms, Busts, and Recoveries Message Board

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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: TobagoJack who wrote (42846)	12/9/2003 7:17:47 PM
From: gumnam	Read Replies (3) of 74559

It is very interesting that Bush has been so nice to the Chinese Govt regarding Taiwan. It seems that the US is using the old carrot and stick with China. Taiwan of course being the carrot. What do they want from China is IMHO 1) Obviously more imports of American goods - planes, farm equipment, agricultural stuff. Obviously beneficiary is Boeing. Any ideas who else could be the undeserving winners? 2) Even more importantly, US needs China's help in stabilizing the US treasury markets. We need some one to buy 10 year US Treasury. THis is key to holding the charade up at least till Nov 2004. If this is the case, and China plays along - then there is going to be a fair amount of stability - no major selloffs, and rising US exports to China of state sanctioned products. The other question is - what gives Taiwan the balls to go ahead with the referendum after this statement by Bush. Is the game deeper? What do you think? Gumnam

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