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China Just Threatened a Currency War If the Fed Doesn’t Stop Printing
Ms Sans Serif
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[quote:Bilbo Baggins:MV8yMTIzMTM0XzM1ODI1MzMzXzFFOTM1NTNC] Go ahead and let em. The fed put us in slavery. I just couldn't imagine China being who liberates us. [/quote]
The tension between Central Banks that we noted yesterday continues to worsen. This time it was China and the EU, not just Germany, that fired warning shots at the US Fed.
A senior Chinese official said on Friday that the United States should cut back on printing money to stimulate its economy if the world is to have confidence in the dollar.
Asked whether he was worried about the dollar, the chairman of China’s sovereign wealth fund, the China Investment Corporation, Jin Liqun, told the World Economic Forum in Davos: “I am a little bit worried.”
“There will be no winners in currency wars. But it is important for a central bank that the money goes to the right place,” Li said.
Speaking at the same session, French Finance Minister Pierre Moscovici voiced concern that the euro was becoming overvalued as a result of quantitative easing and other stimulus actions taken by other nations’ central banks.
link to investmentwatchblog.com
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