China says key currency countries need watching

[Joanne98]

Source: Reuters

BOAO, China (Reuters) - Chinese Premier Wen Jiabao said on Saturday that the economic polices of countries which issue global reserve currencies require closer supervision as part of building a diversified international monetary system.

Wen and central bank governor Zhou Xiaochuan also cautioned against jumping to the conclusion that China is already on the path to economic recovery, after data issued on Thursday showed signs of an upturn in momentum.

Wen's currency comments, an apparent reference to U.S. economic management that Beijing has blamed in part for the global financial crisis, were twinned with a pledge to promote more international use of the Chinese yuan.

Wen did not mention the United States by name but he has expressed concern in recent months about the safety of Chinese investments in U.S. dollar assets.



Read more: http://www.reuters.com/article/topNews/idUSPEK33230620090418

[MADem]

1. Yeah, but no one can watch THEIR currency, because they play with it like a beach ball. NT

[amandabeech]

6. Europe, Britain and Switzerland might take offense in pegged-currency China

lecturing all the issuers of floating currencies about how they do business.

If the Chinese want to play in the big leagues, they're going to have to unpeg their currency.

I've read in a few places that China's idea of a good business deal is 99 parts to China and one part to the other side of the deal. This is just another case, I guess.

[MADem]

7. Exactly--it's not so much offense, it's a Stooges-like "Why the NOIVE of them guys!!" nt

[madrchsod]

2. they are going to spend their money?

i wonder what that is going to be worth....

[Doctor Cynic]

3. Coming soon: People's Bank of China, Washington Branch.

[Ghost Dog]

4. Ignorance is bliss.

http://journals.democraticunderground.com/Ghost%20Dog/198
http://news.yahoo.com/s/afp/20090413/bs_afp/financeeconomychinaforexyuan_20090413013412;_ylt=AuHg3Lz7kvP6DPZ8EIiUECSmOrgF
http://news.xinhuanet.com/english/2009-04/07/content_11140130.htm

[roamer65]

5. Wen...you'll soon learn what exactly former Treasury Secretary John Connally said in 1971.

"The dollar is our currency, but your problem."

That is when we delinked from gold and floated the dollar.

Wen, you are not going to be able to escape the reflation. No one will.