China Warehouse- More Than Crockery Message Board

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Strategies & Market Trends : China Warehouse- More Than Crockery

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To: RealMuLan who wrote (4890)	5/24/2005 2:59:43 PM
From: regli	Read Replies (1) of 6370

I am quite concerned that this issue is getting out of hand. Now that it has been politicized to this degree it will be difficult to shove it under the rug again. There will be many politicians in the West that will take advantage of this simmering anger and it likely will lead to protectionist measures probably sooner rather than later. In turn, I believe that China will have to revalue if it wants to protect its market share. This is why I feel that it is in China’s best interest to make a move and this is where I believe a well advertised peg to gold comes in. Western nations would not want their currencies to decline in comparison to gold as that would make it obvious to the electorate that inflation is grabbing a big bite. China could not be blamed for a peg to gold… We will see what China will do. At this point all roads involve pain.

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