China calls for new reserve currency

China calls for new reserve currency

www.ft.com

China’s central bank on Monday proposed replacing the US dollar as the international reserve currency with a new global system controlled by the International Monetary Fund......

Analysts said the proposal was an indication of Beijing’s fears that actions being taken to save the domestic US economy would have a negative impact on China.

(visit the link for the full news article)

Here they go, they are right on track for their agenda......

May whatever divine power you worship help us.

We have all been seeing this coming for years and now the plans are coming to fruition. China is very worried and they have every right to be worried. One thing we have to realize is that if China wants something to be done you better believe the Federal government will listen. They hold the majority of our debt and if they dump it we are screwed.

-Kdial1

www.ft.com
(visit the link for the full news article)

Wow, I am surprised there is no interest in this article at all.

So everyone is fine with a new international reserve currency?

Anyone?

-Kdial1

I'm not suggesting I support this move, but something has to be done about the valuation of the American dollar and the unfair, pre-eminent role it has in international stock trading.

America wants to hold the world hostage with it's sick, over-inflated, over-valued, deadbeat currency which is worth maybe 2/3's of the paper it's printed on.
If everyone deals in American prices for bonds, stocks, treasuries and forms of usury, America profits by default by providing unfair and overvalued exchange rates.

The US Economy is a brightly-painted and decorated, rotting corpse.

Underneath which, sheer incompetence and greed, in addition to capitalism gone wild threaten to drag down the rest of the world with their tomfoolery, simply because they are unwilling to give up the control they have over the global stock markets by acting as the preferred medium to bargain with.

Popular subject,... maybe not,...

Important internationally,... possibly,...




... but at worst you may see China diversify a bit,..but they would be fools to just outright dump it completely.

Geithner caused a bit of fun today in stumbling around while discussing this.

Geithner Remarks on IMF Roil Foreign-Exchange Market

March 25 (Bloomberg) -- Treasury Secretary Timothy Geithner sent the dollar tumbling with comments about China’s ideas for overhauling the global monetary system, only to drive it back up by affirming that it should remain the world’s reserve currency.

Geithner was initially asked at a Council on Foreign Relations event in New York about proposals from People’s Bank of China Governor Zhou Xiaochuan for a new international reserve currency. He said “as I understand his proposal, it’s a proposal designed to increase the use of the IMF’s special drawing rights. And we’re actually quite open to that.”

The dollar slid as much as 1.3 percent against the euro within 10 minutes of news accounts of Geithner’s remarks. The U.S. currency was down 0.6 percent at $1.3553 as of 12:31 p.m. in New York.

Roger Altman, who worked with Geithner as deputy Treasury secretary in the Clinton administration, later asked Geithner whether he wanted to “clarify” his remarks.

“I’d like to ask one final question, in effect on behalf of the market,” said Altman, founder of Evercore Partners Inc. “Let me ask the question this way. Do you see any change over the foreseeable future in the basic role of the dollar as the world’s key reserve currency?”

Geithner responded by saying that “I think the dollar remains the world’s dominant reserve currency.” In an interview with CNBC broadcast after the event, the Treasury chief said that a “strong dollar” is in “America’s interest.”

Ok - so he says he's "open" to it. The dollar value tumbles. Someone realises that he's just said something very dumb gives him a chance to correct himself and he does.

So, this begs the question. Is he really open to it or just in way, way over his head?



[edit on 25-3-2009 by Frogs]

Turns out this story was blown out of proportion by right-wing pundits.

The Right-Wing Echo Chamber In Action: How A Conspiracy Travels From Drudge To Obama, Via Fox News