Posted on 11/09/2009 10:04:47 PM PST by bruinbirdman
Barack Obama, the US President, will confront Chinese officials on the divisive subject of the yuan next week in a bold move which could anger America's largest creditor.
President Obama, who, since taking office in January, has resisted branding the Chinese government as currency manipulators, promised to discuss the thorny issue of the yuan, and whether it is undervalued, as part of a visit to Shanghai and Beijing.
"Currency, along with a host of other issues, will come up, and I'm confident that both the United States and China can arrive at a broad set of policies that encourages trade that benefits both countries, that allows ongoing economic growth," said Mr Obama.
Although vocal about the yuan during his candidacy, Mr Obama has held his tongue until now on the Chinese currency, with the US Treasury only delivering "serious concerns" about the "flexibility" of the yuan.
"If we don't solve some of these problems, then I think both economically and politically it will put enormous strains on the relationship," he added.
Concerns are that Beijing artificially hold backs the value of the yuan to cheapen the cost of its exports, therefore making Western goods more expensive.
But Mr Obama will have to tread carefully as the Chinese government owns almost $800bn (£477bn) of US Treasuries, its largest foreign creditor.
Earlier in the day, the Chinese premier, Wen Jiabao, urged the US to "effectively discharge its responsibilities" and "maintain an appropriate size" to its budget deficit.
President Obama leaves Washington DC tomorrow to embark on his first trip to Asia, visiting Japan, South Korea and Singapore as well as China.
(Excerpt) Read more at telegraph.co.uk ...
Yeah right. Just like I promise to leave the toilet seat down.
Right...is that before or after the Chinese pull the money chain around his neck and dropping him to his knees reminding him of the money they have loaned the US since he took office?
One statement for the public, a fist bump with his comrades.
yitbos
Seems to me he does EVERYTHING with a yawn ... doesn’t he?
Because he can't pronounce renminbi
yitbos
We can’t lay that on just him. All of those nut-jobs in D.C. have been spending borrowed money since before I was born.
A sternly worded letter is in the making as we speak.
Buy Gold. Buy cans of food. Buy staples.
Obama was “deeply concerned” about Hondurans, that’s why they sided with Chavez and Castro.
Watch as he does as Soros tells him, Soros is shorting the dollar. This needs to occur for the undervalued assets the banks are holding to be revalued at higher amounts, to be sold and refinanced at rates that further financially enslave all but the elites. Rinse, repeat every 11 to 17 years.
The final blow to the US economy will be unimaginable hyperinflation. The FAA carry on size of shampoo will be the economy size, and you’ll have to get the trial size at Costco.
It’s sad when China tells us to stop spending money because we are ruining their investment.
Belt tightening til the buckle hits our backbone. It’s gonna get interesting....
WTF? You obey us you Yankee-er Hawaiian, er Kenyan running lackey debtor dog. I wonder how he'll save the US, er make that Goldman and Morgan Chase this time?
Step down you moron.
The yuan is pegged to the dollar. This is akin to someone punching someone else in the face and suing the punchee because of a broken fist.
I really don't think the Chinese are dumb enough to listen to Ze-ro after what he's done to our economy.
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