China on the U.S. Dollar, reassuring

2009-07-05 17:08:02

#1

ATG: Banned; +5,233|6823|Global Command

France and Russia on Sunday urged a debate about the world's reserve currencies, but China said the dollar would keep its pre-eminence for "many years to come."

I wonder, is this because China owns massive amount of U.S. currency?

Would they be speaking so highly of the dollar if they weren't so joined financially?

Somehow, I think not.

http://www.reuters.com/article/business … AO20090705

2009-07-05 17:08:46

#2

usmarine: Banned; +2,785|7055

ATG wrote:
I wonder, is this because China owns massive amount of U.S. currency?

b.i.n.g.o my brother

2009-07-05 17:13:10

#3

Harmor: Error_Name_Not_Found; +605|6842|San Diego, CA, USA

Like it or not, China and the United States are joined at the hip. If they were to try to get rid of their ~1 trillion worth of Dollars it would decimate their economy since we are their number one importer.

2009-07-05 17:15:32

#4

jsnipy: ...; +3,277|6816|...

Harmor wrote:
Like it or not, China

I like it

2009-07-05 17:20:36

#5

Flaming_Maniac: prince of insufficient light; +2,490|7001|67.222.138.85

talk is cheap

2009-07-05 21:44:54

#6

Masques: Black Panzer Party; +184|7016|Eastern PA

Harmor wrote:
Like it or not, China and the United States are joined at the hip. If they were to try to get rid of their ~1 trillion worth of Dollars it would decimate their economy since we are their number one importer.

See what I said...this would all come to naught.

It may be for the worst, but the US is the guarantor of last resort for the world economy and there doesn't seem to be much alternative at this point.

EDIT: I am sauced at this point so some of my posts may be a little...disjointed!

Last edited by Masques (2009-07-05 21:45:53)

2009-07-05 22:17:40

#7

Diesel_dyk: Object in mirror will feel larger than it appears; +178|6288|Truthistan

hmmm

So is the US the pimple on China's butt... or are we the second head growing on China's shoulders?

Seems to me that if China cannot afford or is too scared to move away from the US currency, then China has really abdicated some of its economic power to the US.

2009-07-05 23:29:36

#8

Varegg: Support fanatic :-); +2,206|7104|Nårvei

Diesel_dyk wrote:
hmmm

So is the US the pimple on China's butt... or are we the second head growing on China's shoulders?

Seems to me that if China cannot afford or is too scared to move away from the US currency, then China has really abdicated some of its economic power to the US.

Or the other way around ...

Wait behind the line ..............................................................

2009-07-05 23:52:14

#9

Hakei: Banned; +295|6289

Fuck you guys are one ignorant nation.

2009-07-06 00:08:53

#10

Varegg: Support fanatic :-); +2,206|7104|Nårvei

usmarine wrote:
ATG wrote:
I wonder, is this because China owns massive amount of U.S. currency?
b.i.n.g.o my brother

It's because China owns a massive amount of the US debt ...

Wait behind the line ..............................................................

2009-07-06 00:40:24

#11

Masques: Black Panzer Party; +184|7016|Eastern PA

Varegg wrote:
usmarine wrote:
ATG wrote:
I wonder, is this because China owns massive amount of U.S. currency?
b.i.n.g.o my brother
It's because China owns a massive amount of the US debt ...

It's a vicious cycle. We need China to finance our debt to buy their goods which funds their growth, causing a savings glut in their country allowing the gov't to finance our debt...and so on and so on.

Now the system works as long as we continue to buy (no longer happening) or as long as China buys US Treasury bills (seems to be continuing). The Europeans and Japanese aren't as fond of spending as Americans. At which time the Chinese decide to stop buying our debt or allow their currency to float the invisible hand of the market will give a big middle finger to both our economies.

2009-07-06 01:00:44

#12

Kmar: Truth is my Bitch; +5,695|6895|132 and Bush

Masques wrote:
The Europeans and Japanese aren't as fond of spending as Americans.

Not so sure about that..
The Brits have their own household debt issues. http://www.telegraph.co.uk/finance/2792 … story.html

British households are now more indebted than those of any other major country in recorded history, it has emerged.

Families in the UK now owe a record 173pc of their incomes in debts, official figures have shown. The ratio of debt to income is higher than any other country in the Group of Seven leading industrialised economies, and is sharply higher than the 129pc of incomes it was five years ago.

The figures, published by the Office for National Statistics as part of its National Accounts, underline the scale of the coming slowdown facing the UK, economists warned yesterday.

Michael Saunders of Citigroup warned that - at 173pc of household incomes - the debt burden is higher even than Japan's when it peaked in 1990, before more than a decade of deflation.

Xbone Stormsurgezz

2009-07-06 01:23:51

#13

JahManRed: wank; +646|6922|IRELAND

The Chinese Communist republic of America has a ring to it.

2009-07-06 06:08:28

#14

King_County_Downy: shitfaced; +2,791|6891|Seattle

Hakei wrote:
Fuck you guys are one ignorant nation.

And Australia does what again?

Sober enough to know what I'm doing, drunk enough to really enjoy doing it

2009-07-06 06:18:58

#15

usmarine: Banned; +2,785|7055

Hakei wrote:
Fuck you guys are one ignorant nation.

and you are fat

2009-07-06 06:22:53

#16

usmarine: Banned; +2,785|7055

oh and we could still own your ass in like a week so who is the ignorant one? go fuck a dingo or something fatty.

2009-07-06 07:05:22

#17

Varegg: Support fanatic :-); +2,206|7104|Nårvei

usmarine wrote:
oh and we could still own your ass in like a week so who is the ignorant one? go fuck a dingo or something fatty.

Right!!!

Wait behind the line ..............................................................

2009-07-06 07:09:57

#18

usmarine: Banned; +2,785|7055

it is right

2009-07-06 07:12:26

#19

Varegg: Support fanatic :-); +2,206|7104|Nårvei

usmarine wrote:
it is right

You can't possibly own anybodys ass anymore, you can't afford it ... hence why China and Japan own your ass moneywise

Wait behind the line ..............................................................

2009-07-06 07:31:34

#20

usmarine: Banned; +2,785|7055

Varegg wrote:
usmarine wrote:
it is right
You can't possibly own anybodys ass anymore, you can't afford it ... hence why China and Japan own your ass moneywise

lol

ok egg.

2009-07-06 09:13:18

#21

Flaming_Maniac: prince of insufficient light; +2,490|7001|67.222.138.85

If we had a President/Congress ballsy/insane enough to commit to total war, we could wipe pretty much any nation off the face of the map. Even excluding nukes.

2009-07-06 13:36:42

#22

Varegg: Support fanatic :-); +2,206|7104|Nårvei

Flaming_Maniac wrote:
If we had a President/Congress ballsy/insane enough to commit to total war, we could wipe pretty much any nation off the face of the map. Even excluding nukes.

IF you could take on one nation at a time perhaps, not sure the rest of the world allow that if you guys went "all in" ...

And what army again did profit in the long run aiming for world domination?

And FM ... I'm a lil disapointed ... wipe any nation off the face of the map? ... face of the map?

Wait behind the line ..............................................................

BF2S Forums China on the U.S. Dollar, reassuring

ATG wrote:

Harmor wrote:

Harmor wrote:

Diesel_dyk wrote:

usmarine wrote:

ATG wrote:

Varegg wrote:

usmarine wrote:

ATG wrote:

Masques wrote:

Hakei wrote:

Hakei wrote:

usmarine wrote:

usmarine wrote:

Varegg wrote:

usmarine wrote:

Flaming_Maniac wrote:

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