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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (56973)	3/27/2006 10:20:54 PM
From: UncleBigs	Read Replies (1) \| Respond to of 110194

nice blog Mish. What would be an example of "beggar thy neighbor" policies in the next stage of the cycle?

To: mishedlo who wrote (56973)	3/27/2006 11:40:41 PM
From: bond_bubble	Read Replies (1) \| Respond to of 110194

Mish, nice article, but you did not highlight one of the reasons why Roach was shocked. I'm not sure if it was obvious. If China revalues, its savings (reserves) immediately drops by that percentage of revaluation. US gets so much less debt. However, there will be same effect on trade in US whether there is a tariff of 25% or 25% revaluation. By not revaluing, China gets to preserve the cash reserves' value and achieve the same consequence in the trade. Also, if China revalues the currency, then it has to print excessive money (similar to what Japan did after Plaza accord) and hence blow more hot air into the economy. Looks like China is not willing to blow the credit bubble too much!!

To: mishedlo who wrote (56973)	3/28/2006 9:10:42 AM
From: TobagoJack	Read Replies (3) \| Respond to of 110194

judging by the state of the HK market, China is not even moving an eyelash, much less blinking at the bluff I fear Mr Schumer got his bluff called, got a talking to, and now has to figurre a way to step off the stage The good and polite treatment he received in Beijing will go some distance in helping him to look good, but looking good is all there is.

To: mishedlo who wrote (56973)	3/28/2006 10:00:45 AM
From: TobagoJack	Read Replies (1) \| Respond to of 110194

Summers Wants IMF to Run $500 Bln Hedge Fund: Andy Mukherjee March 28 (Bloomberg) -- Larry Summers has a radical idea. ... quote.bloomberg.com ... would be shock & awe if implemented ... and if so, unload gold, silver, every other resource play ;0/