It looks bad, but it is totally beyond my understanding.
It’s totally beyond my understanding as well. Can someone put it in simply layman’s terms?
http://www.marketwatch.com/story/currency-war-tops-asian-agenda-for-g-20-2010-10-20
Currency war tops Asian agenda for G-20
HONG KONG (MarketWatch) — Asian finance ministers and central bankers will use this weekend’s meeting of the Group of 20 major economies to communicate the hardships they face from surging capital inflows and appreciating currencies.
Concerns are mounting that if left unchecked, current trends are creating a bubble that could suddenly burst in replay of the 1997 Asian financial crisis that ended a boom-time for the region.
“We have a situation right now where pretty much every major emerging-market economy is being subjected to a wall of money emanating from the U.S.,” said Cantor Fitzgerald economist Uwe Parpart in Hong Kong.
“The assumption that all of this money is genuine investment money is clearly mistaken — a great deal of it is purely speculative,” he said.
The G-20 finance ministers and central bank officials will gather in Gyeongju, South Korea, from Friday for a weekend meeting, followed by a two-day meeting of the G-20 heads of state in November. Asian members of the bloc include China, Japan, India, South Korea, Indonesia and Australia.
South Koreans stage a rally to celebrate Seoul’s hosting of this year’s meetings of the Group of 20 major economies. “There is every good reason for Asia financial officials to take the opportunity of these upcoming forums to tell the U.S. this is not acceptable, you are pursing a one-sided monetary policy that is in your own best interest,” Parpart said
“The stock market is a flea on an elephant’s a$$ (the bond market), and the elephant is a nanoparticle in the Milky Way (the currency markets).”