Posted on 07/07/2010 6:43:41 AM PDT by TigerLikesRooster
China won't dump U.S. Treasuries or pile into gold
8:06am EDT
By Zhou Xin and Alan Wheatley
BEIJING (Reuters) - China on Wednesday ruled out the "nuclear" option of dumping its vast holdings of U.S. Treasury securities but called on Washington to be a responsible guardian of the dollar.
In the third in a series of statements explaining its work to the Chinese public, the State Administration of Foreign Exchange sought to allay concerns in the outside world that arise whenever Beijing shifts its holdings of U.S. government debt.
"Any increase or decrease in our holdings of U.S. Treasuries is a normal investment operation," SAFE, the arm of the central bank that manages China's official currency reserves, said.
It said it constantly adjusts its portfolio to maximimize returns, and any changes to its U.S. Treasury portfolio should be seen in that light and not interpreted politically.
In a series of questions and answers posted on its website, www.safe.gov.cn, SAFE asked rhetorically whether China would use its $2.45 trillion stockpile of reserves, the world's largest, as a "nuclear weapon."
SAFE said such concerns were completely unwarranted.
(Excerpt) Read more at reuters.com ...
P!
We should be thankful that China does not choose to duel with the Obamaloon.
Of course, we should be thankful that the Republic of Lower Slobovia does not choose to dual with the Obamaloon.
Illinois produces such despicable losers.
Read: We are supposed to maintain the value of the dollar so they can continue to undercut it.
They are watching Obama do to us what Mao did to their grandparents and parents. Why would they get in the way?
Debt is prosperity!
Full speed spend ahead!
Leverage the future!
Has someone said that you can’t eat gold or buy gas with it yet?
Because of course, paper money is so tasty! And it’s also really fun to buy less and less of the same thing, with the same amount of fiat money!
You must not have any fancy degrees to help you explain how your incredible shrinking savings is really a good thing.
You need more educated people to explain to you how a Marxist monetary system based on massive fraud is the only way an economy can function.
1— China mines a lot of gold these days. Allegedly are the world’s #1 producers. Allegedly the Chinese Gov’t buys all gold produced on Chinese soil..... then sells to Chinese people or places the gold into their central bank reserves. In the vault
2-— China is always slowly and quietly buying gold from outside China and spend US Dollars all the time to buy it
the russians are buying up gold every month and not waiting around
What he said! They’re also quietly buying miners outside of China. I know I’ve posted a few examples within the past couple of months.
For China, “the long term” doesn’t mean the next election cycle.
But we’re free because of geography! And the peculiar design of the American flag!
All this money talk is the kookery of losertarians like Mises, Hayek, and Rothbard. Just a bunch of pot-smoking losers than just want to get high all day.
Ignore them all and listen to the wise sages Bernanke, Paulson, Geithner, and the Krugman.
It is too bad old Maynard found his long term so he can’t see our boundless prosperity these days.
While I don’t disagree with your initial statements - I just wanted to note that blanket statements often create a sense of incredulity.
Obama may be recently “from” Chicago; but Tampico, Illinois “produced” and raised President Ronald Wilson Reagan.
China is always trying to buy into mining and natural resource companies. Australia has had to slap their hands away from that cookie jar a few times
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