Monday, September 7, 2009

CHINA IS ALARMED

Imagine that... over WHAT? We have the perfect right to print money and use our status as the world's reserve currency to prop up our banksters and maintain our military industrial complex..not to mention throwing the masses an occaisional bone for their clunkers. So what the hell is all the fuss about.

Recently Cheng Siwei, former vice-chairman of the Standing Committee and now head of China's green energy drive, said Beijing was dismayed by the Fed's recourse to "credit easing".

The audacity of this putz to challenge United Sachs and our prop job. Doesn't he realize we are in the midst of a global collapse and that we are trying to save ourselves first. Get in line buddy ...this is first come first served.....and he further adds in the article below


"If they keep printing money to buy bonds it will lead to inflation, and after a year or two the dollar will fall hard. Most of our foreign reserves are in US bonds and this is very difficult to change, so we will diversify incremental reserves into euros, yen, and other currencies," he said.

Now maybe you think this sounds reasonable for this upstart in the big boy economic world to sound off like this but he doesn't know who he is messin with. We can kick his axx all over the place....hell we will just clear cut a couple thousand acres tomorrow and print a couple trillion more USD. THAT PUNK.

Couple this with my earlier posts and a pattern is developing ...the article goes on to say...
Gold is definitely an alternative, but when we buy, the price goes up. We have to do it carefully so as not to stimulate the markets," he added.
The comments suggest that China has become the driving force in the gold market and can be counted on to buy whenever there is a price dip, putting a floor under any correction.

This is a clear call to arms and will continue to be the play . Read the entire article...

http://www.telegraph.co.uk/finance/economics/6146957/China-alarmed-by-US-money-printing.html

3 comments:

  1. Gold's over $1000 this morning so ya know haha. Whenever the equities get around to correcting let's see if China does it's levitation trick on the precious metals.

    And if they think saying things like "we better be careful not to stimulate the market" isn't going to stimulate the market they're crazy.

    I have a new speculation about money printing. Consider that if the banks spent a trillion more than they actually had leading up to 2008, and we monetized their debt (we did), the monetization itself is not the inflationary act, banks loaning the nonexistent dollars in the first place was the inflationary act, which is now over.

    If I go to a bar and buy drinks for everyone at the bar all night, then it turns out my credit card is no good (sloppy bartending I know).. I can call my rich uncle to pay my tab, but that most certainly does not lead to MORE free beer for everyone! Just me going home looking like an ass and one very angry uncle.

    ReplyDelete
  2. Basically my point is that the beer already in the system and the bar's paper profit was a preemptive effect of the dollars my uncle brought in later. No further beer was got or profit made as an aftereffect of that money becoming a reality.

    ReplyDelete
  3. And that will be the trick.......but of course the oft asked question thst adds even more cold water to the issue is the exit strategy. And of course we know the ultimate exit strategy higher rates......watta mess. In the short term velocity must increase and that is the trickof tricks.

    ReplyDelete