Comments on: Message to US: Stop Manipulating the Dollar http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html This is China Sun, 07 Sep 2008 03:22:50 +0000 http://wordpress.org/?v=2.5.1 By: g Lo http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-832 g Lo Fri, 07 Mar 2008 09:19:12 +0000 http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-832 "The Renminbi is now nearly 7:1 to the Dollar, and it will probably be almost 6:1 by year’s end." That's a bold assertion. “The Renminbi is now nearly 7:1 to the Dollar, and it will probably be almost 6:1 by year’s end.”

That’s a bold assertion.

]]> By: nanheyangrouchuan http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-827 nanheyangrouchuan Fri, 07 Mar 2008 05:34:59 +0000 http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-827 @Larry, Beijing already complains about every perceived imported defect and poison pill meant to deliberately harm the Chinese people and hurt the Chinese nation. @Larry,

Beijing already complains about every perceived imported defect and poison pill meant to deliberately harm the Chinese people and hurt the Chinese nation.

]]> By: Larry http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-815 Larry Thu, 06 Mar 2008 14:49:09 +0000 http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-815 When do you think Chinese will start complaining about poisoned Ford vehicles, and US financial services catching fire, and Apple making fake Lenovo's ? The US must be prepared for such eventuality. May be US should declare right now that it is the importers' responsibility to ensure quality. When do you think Chinese will start complaining about poisoned Ford vehicles, and US financial services catching fire, and Apple making fake Lenovo’s ? The US must be prepared for such eventuality. May be US should declare right now that it is the importers’ responsibility to ensure quality.

]]> By: Turtlewind http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-810 Turtlewind Thu, 06 Mar 2008 07:53:27 +0000 http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-810 Ha. But of course, even if the low USD is a result of US government policy, there's still a big difference in the level of government interference between the two currencies. The dollar is low because of the market's perception of economic conditions inside vs outside the US, whereas the RMB is low because the exchange rate is set by the Chinese Communist Party. One little-remarked side effect of the plummeting US dollar is the exchange rate between the Euro and the RMB. Because the Chinese currency is still largely tied to the USD, its value in Euros is actually falling (1 euro is now about 10.8 RMB, compared to a rate of 10:1 not too long ago) - an annoying outcome for people like me who are paid in RMB but have debts in Euros. Something to think about the next time you read yet another news report about the rise of the yuan. Ha. But of course, even if the low USD is a result of US government policy, there’s still a big difference in the level of government interference between the two currencies. The dollar is low because of the market’s perception of economic conditions inside vs outside the US, whereas the RMB is low because the exchange rate is set by the Chinese Communist Party.

One little-remarked side effect of the plummeting US dollar is the exchange rate between the Euro and the RMB. Because the Chinese currency is still largely tied to the USD, its value in Euros is actually falling (1 euro is now about 10.8 RMB, compared to a rate of 10:1 not too long ago) - an annoying outcome for people like me who are paid in RMB but have debts in Euros. Something to think about the next time you read yet another news report about the rise of the yuan.

]]> By: nanheyangrouchuan http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-809 nanheyangrouchuan Thu, 06 Mar 2008 02:40:40 +0000 http://cupofcha.com/2008/03/06/message-to-us-stop-manipulating-the-dollar.html#comment-809 Smithers! My plan is working to a T! Now time for my liniment rub. Smithers! My plan is working to a T! Now time for my liniment rub.

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