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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: Tommaso who wrote (5621)	3/29/2008 11:21:23 AM
From: The Wharf	Read Replies (1) \| Respond to of 71456

I agree with you and the fact is that she is facing inflation and could be the reduced export off sets her inflation. If she is patient she will find her economy will level her inflation is caused by a growth spurt not a currency glut. Her sales to Asia have increased she has been very active business wise buying ports in Africa and making her presence known in areas of India. Other nations appear to be very friendly to China participating in their growth. In the US restrictions have been placed on what she can invest in and the result is she is stuck with too many US dollars. She has attempted to ward off areas of high speculation in her loan industry. On the part of her bankers there could very well be a dispute in her own nation going on as to if the credit business is of value to increasing consumption in an economy or if it adds more to the creation of inflation. Considering the populous and Asia growth period the damage of less exports to US I feel could be very small. It is my belief after seeing the US problem China will seek methods to control her currency in an attempt to reduce the chaos associated with economic bubbles . It is also my belief in doing so you control poverty as it is the increase of currency running after goods that causes increase in price of goods and that adds up to decreased currency value.