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Gold/Mining/Energy : Blue Chip Gold Stocks HM, NEM, ASA, ABX, PDG -- Ignore unavailable to you. Want to Upgrade?


To: Jacob Snyder who wrote (45635)7/12/2013 2:22:41 PM
From: Wade  Respond to of 48092
 
<The way out for the Chinese is:
First, gradually shift their economy from export- to consumer-based. This gradually eliminates their trade surpluses, as Chinese consumers (instead of American consumers) buy what Chinese factories make. This step in in progress now.
Second, they slowly (emphasis on slowly) sell their Treasuries. A little bit every month over a decade. With the money from selling Treasuries, they buy the hard assets they want, like farmland in Africa, copper mines in Chile.>

Are they doing that now? The news is on the net everyday.



To: Jacob Snyder who wrote (45635)7/12/2013 2:28:28 PM
From: The Barracudaâ„¢  Read Replies (3) | Respond to of 48092
 
If the Chinese sold, there would be volatility in UST's but no permanent change in interest rates. It makes no difference whether A owns UST's or B owns them.

During the Korean war, one reason the US didnt nuke the commies is the worry that if the nuking didn't stop the commies.......

Chinese threats to sell UST's are gamed the same way.