China's Showdown with America

[Steve_A]

Hi Rocky_Shorz,

The real meaning in my view of the Reuters article is not to make the Yuan stronger. It's to make the US$ stronger. How? Well imagine the value of the Chinese exports and then imagine the extra US$ will be needed to buy those exports. The Dolar will become back in demand and this will be a way of valuing the dolar against other currencies and also will reduce the 'glut' of dolars already in circulation.

The object of the US government is not to make trade fairer (this is only one of many if you check it out): http://www.reuters.com/article/idUSHO07908120071010 it's to try and strengthen the US$.

Best regards,

Steve

Originally Posted by Rocky_Shorz

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