Posted on 08/24/2015 2:47:22 PM PDT by xzins
Republican presidential candidate Donald Trump on Tuesday said China's devaluation of the yuan would be "devastating" for the United States as the global currency war entered a new and critical phase.
"They're just destroying us," the billionaire businessman, a long-time critic of China's currency policy, said in a CNN interview.
"They keep devaluing their currency until they get it right. They're doing a big cut in the yuan, and that's going to be devastating for us."
Earlier on Tuesday, China devalued its currency following a series of poor economic data in the yuan's biggest fall since 1994. Some said this could signal a long-term slide in the exchange rate.
China has been a frequent theme for Trump since he entered the 2016 presidential campaign, promising to be a tougher negotiator with Beijing in order to bolster the U.S. economy.
"We have so much power over China," he told CNN. "China has gotten rich off of us. China has rebuilt itself with the money it's sucked out of the United States and the jobs that it's sucked out of the United States."
China's surprise devaluation threatened to unleash a wave of competitive devaluations and keep monetary policy around the world looser for longer — perhaps even forcing the U.S. Federal Reserve to delay or slow its expected rate rise cycle.
(Excerpt) Read more at newsmax.com ...
Trump has been warning about China since 2011. They’ll complain that Trump did business with China, they’ll attack him, and the point of business is to buy low and make a profit.
“”We have so much power over China,” he told CNN. “China has gotten rich off of us. China has rebuilt itself with the money it’s sucked out of the United States and the jobs that it’s sucked out of the United States.” “
Trump is 100% on target, and yes he has done biz in China, on HIS terms.
I’m with Trump and we do let our trade partners like China get away with too much, but this sequence doesn’t really demonstrate his larger point, IMO.
Bookmark
Read his book, “Time to Get Tough”...he was talking about it then!
We import four times as much from China as we export. When they devalue, it helps the importers, and hurts the exporters. It isn’t uniformly good or bad.
We’d be in the dark now without Trump on immigration and trade. Like he said, let’s have the election now and get him in there. Obama doesn’t have a clue.
Which country have we borrowed and borrowed and borrowed from?
Sorry, til you tell me what Trump can do about the Yuan - this is all just bluster and emotion with no logical under pinning. If Trump’s warning about China was TRUE - then they’d have been UP 9% today, Not DOWN 9%.
Think people. Common sense.
Exactly. Stock markets correct. It’s part of a healthy economic process.
People seem to say all sorts of things when the market corrects. And I will say that in some instances, like an Obamadorq move, some of them might be warranted. Most times they aren’t.
don’t go bringing in logic and economics....no one around here cares about either anymore.
“It isn’t uniformly good or bad.”
The importers don’t create jobs in the US. They just send money to China.
When the Chinese devalue their currency, their exports become cheaper and they kill the competition.
Then once the competition is dead (or relocated to China) they appreciate their currency again.
This is called currency war and Trump knows all about it.
“Obama doesn’t have a clue.”............
About ANYTHING. You haven’t and will not hear anything of interest from odumbo of this miss either. Guess he lost his voice while on vacation (again).
No other candidate has the world economic vision of Donal Trump.
True. But what happens to the value of our goods going that way?
There is the problem.
But this correction isn’t a result of either companies giving guidance on lower results because of the Yuan or because investors sitting at home suddenly said to themselves, “I’d better sell xyz stock because of the Yuan”.
China's currency is going to be over-valued no matter how much they devalue it. By definition, the currency of a country with a closed, state-run economy is pretty much worthless.
If anything, this move by the Chinese government should end up working in our favor -- by demonstrating to global firms that their Chinese assets aren't worth sh!t. Caterpillar, for example, has more than two dozen plants in China -- and every time China devalues the yuan, the value of those assets (as measured in U.S. dollars) gets marked down. This is one of the factors in the U.S. stock market correction that hasn't gotten a lot of attention.
But Trump’s not a pure as the driven snow conservative! He donated to libs!
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