Full story here from Mike Whitney via CounterPunch. And we’re not even counting the possibility of wielding punishment for China stopping buying Treasuries (and starting to sell them too). Bad China! Bad, naughty China! Go to the corner and think about what you did.
A war of words has broken out between China and the United States [...]
Full story here from MarketOracle.
“The World is concerned that the dollar cannot play the role of the main reserve currency any longer after the financial crisis sparked by the collapse of the U.S. mortgage market led to the worst global recession since the 1930s. The Government’s stimulus packages, financial bailouts, the need to support liquidity [...]
Full article here. From Brad Setser at the CFR. Gads the money inflows/outflows are gawd awful, again.
”Indeed, the real legacy of the crisis has been an enormous contraction in long-term flows, with a corresponding increase in the United States reliance on short-term financing. And also a shift away from risk assets.
One striking fact is that foreign [...]