|
12-21-2009, 10:16 AM | #1 |
Project Avalon Member
Join Date: Sep 2008
Location: Riverside, ca.
Posts: 898
|
CHINA: 'The world does not have Money to buy more US Treasuries'
CHINA: 'The world does not have Money to buy more US Treasuries'
http://www.shanghaidaily.com/sp/arti...cle_423054.htm IT is getting harder for governments to buy United States Treasuries because the US's shrinking current-account gap is reducing supply of dollars overseas, a Chinese central bank official said yesterday. The comments by Zhu Min, deputy governor of the People's Bank of China, referred to the overall situation globally, not specifically to China, the biggest foreign holder of US government bonds. Chinese officials generally are very careful about commenting on the dollar and Treasuries, given that so much of its US$2.3 trillion reserves are tied to their value, and markets always watch any such comments closely for signs of any shift in how it manages its assets. China's State Administration of Foreign Exchange reaffirmed this month that the dollar stands secure as the anchor of the currency reserves it manages, even as the country seeks to diversify its investments. In a discussion on the global role of the dollar, Zhu told an academic audience that it was inevitable that the dollar would continue to fall in value because Washington continued to issue more Treasuries to finance its deficit spending. He then addressed where demand for that debt would come from. "The United States cannot force foreign governments to increase their holdings of Treasuries," Zhu said, according to an audio recording of his remarks. "Double the holdings? It is definitely impossible." "The US current account deficit is falling as residents' savings increase, so its trade turnover is falling, which means the US is supplying fewer dollars to the rest of the world," he added. "The world does not have so much money to buy more US Treasuries." China continues to see its foreign exchange reserves grow, albeit at a slower pace than in past years, due to a large trade surplus and inflows of foreign investment. They stood at US$2.3 trillion at the end of September. __________________________________________ That said, I saw a great comment to this story on another forum: We have become the world's "deadbeat" blowhard big spender who's paying all the checks and living large by hitting up everyone who will for a loan.That last sentence really said a lot, for me. Fred
__________________
"Life IS mystical! It's just that we're used to it" Evil cannot be killed. Only redeemed. Chat us up at: Avalon Chat |
12-23-2009, 11:33 AM | #2 |
Avalon Senior Member
Join Date: Dec 2009
Location: Replublic of Texas
Posts: 4
|
Re: CHINA: 'The world does not have Money to buy more US Treasuries'
Howdy Fred KC,
There is a reason that the Treasury is broke. Someone stole all the money (real money) out of the Treasury, and replaced it with fiat (paper, fake) dollars. And the sad truth about it is you know who it is. He (They) are someone who took an oath to the Constitution, and told you that you can trust them. Then, in the middle of the night, they betrayed you, and stole all (everyone's) money. Don't feel bad, its not your fault. In fact its part of the Grand Cosmic Divine Conspiracy to bring about disclosure and ascension... http://www.worldreports.org/news Goodwill to All, for All is One... |
12-24-2009, 05:13 AM | #3 |
Avalon Senior Member
Join Date: Sep 2009
Location: Rutherfordton, NC
Posts: 181
|
Re: CHINA: 'The world does not have Money to buy more US Treasuries'
Hey Fred, thanks for the info. I heard Ron Paul say yesterday that it's only a matter of time until the dollar collapses, and things are gonna get really tough then, while everyone is focusing on Climate Change.
|
|
|