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| China-Japan-Koreas | |
| China Holds $819 billion in foreign exchange reserves | |
| 2006-01-16 | |
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| Posted by:lotp |
| #10 fortunately we have all the cheap fans, TV's bikes and crappy toolkits we need. Should trade shut down tomorrow - we will not live in caves - shit will hit the cheap fans...til other countries tool up and start shipping, but we won't die. They, on the other hand... |
| Posted by: Frank G 2006-01-16 22:56 |
| #9 In 20 years the US has gone from balanced trade with China to a deficit of $200 billion in 2006. Just the last 10 years, we has seen a $956 billion trade deficit and the gutting most manufacturing industries, and increasingly tech industries. Also notice that in that time, China has been running a trade deficit with the rest of the world. |
| Posted by: ed 2006-01-16 22:44 |
| #8 oops, whorng article. |
| Posted by: gromgoru 2006-01-16 20:38 |
| #7 "The British don't live here anymore" David Price-Jones |
| Posted by: gromgoru 2006-01-16 20:37 |
| #6 Do you have any idea how difficult it is for us to spend all of China's savings? It's a full time job. Cheaper iPods would help. Hint, hint. |
| Posted by: 6 2006-01-16 11:20 |
| #5 They tried to buy a major share in US oil companies but were rebuffed by the Feds. |
| Posted by: lotp 2006-01-16 10:52 |
| #4 These reserves help keep the price of energy at the retail level lower than market. If the reserves to which this refers are petroleum reserves, they have raised the price of energy in the past by artificially raising demand. If the reserves are kept in the ground they have no effect on price. When they are used, they will lower demand and thus reduce the price for oil. "If you don't invest in U.S. bonds, what do you invest in?" U. S. companies. U. S. real estate. Or foreign companies and assets whose owners will accept dollars. |
| Posted by: Nimble Spemble 2006-01-16 10:47 |
| #3 Markets tend to even things out over time, if allowed. But the transition can be rough. |
| Posted by: lotp 2006-01-16 10:43 |
| #2 So they dump the American dollars. The dollars plummet. Big time inflation. American's can't buy foreign goods. Cheaper for Walmart to produce in Mississippi and Louisiana. Socialist Europe with low per capita discretionary spending because of massive taxes and dependency on now even more expensive oil can't take up the production difference from China. Chinese factories close. An explosion of unemployment and destruction of the 'good future' for most Chinese spell disorder and discontent across the landscape. Revolution. Sounds like a plan to me. Heh. |
| Posted by: Thruling Thimble1239 2006-01-16 10:41 |
| #1 "If you look at what most other money going into China is earning, it is not that inefficient," said Chew. "If you don't invest in U.S. bonds, what do you invest in?" True. As for the part at the end where they suggest that China wants to build a strategic petrol reserve, er... it's fairly certain they already have. These reserves help keep the price of energy at the retail level lower than market. They allow the economy to support the 50% plus bad loan rate of the banking industry. They allow the central planners to continue to refuse to open their financial markets to foreign banks for debt repricing and refinancing. And, it provides a buffer for the lies that will, sooner rather than later, catch up to the central planners. |
| Posted by: Chuck Simmins 2006-01-16 10:35 |