Trade Wars

Discussion in 'Markets & Economies' started by JulieW, Mar 23, 2018.

  1. alor

    alor Well-Known Member Silver Stacker

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  2. JOHNLGALT

    JOHNLGALT Well-Known Member

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    US Treasury A Currency Manipulator using Q.E.
    Here are Clarke & Dawes explaining how Q.E. works.


     
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  3. alor

    alor Well-Known Member Silver Stacker

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  4. alor

    alor Well-Known Member Silver Stacker

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    [​IMG]
    connecting the dot
     
  5. alor

    alor Well-Known Member Silver Stacker

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  6. alor

    alor Well-Known Member Silver Stacker

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  7. alor

    alor Well-Known Member Silver Stacker

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    SNB Sight Deposits Hit Record, Suggesting FX Interventions
    By
    Catherine Bosley
    August 5, 2019, 4:53 PM GMT+8
    https://www.bloomberg.com/news/arti...posits-hit-record-suggesting-fx-interventions

    The Swiss National Bank may have intervened to tame the franc’s rise, with record-high sight deposits pointing to currency market activity.

    The cash commercial banks hold with the central bank, which economists consider an early indicator of SNB moves in foreign exchange markets, climbed 0.3% from the previous week to 583 billion francs ($597 billion) as of Aug. 2, figures released on Monday showed. That’s the second consecutive sizable increase.

    [​IMG]
     
  8. Oddjob

    Oddjob Well-Known Member Silver Stacker

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    Yep, they'd had more problems (ie money laundering etc) than the Manson Family over the years. Just for giggles, after the DOJ cut them a deal in the mid 2000's for those activities, the then Dep Sec of the DOJ went on to their US board under a decade later.....and that was James Comey.
     
  9. sgbuyer

    sgbuyer Well-Known Member Silver Stacker

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    HK is the tip of the iceberg.
     
  10. openeyes

    openeyes Well-Known Member Silver Stacker

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    Goldman Sachs no longer expects US-China trade deal before 2020 election

    That is certainly going to help PM price escalation.
     
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  11. JohnnyBravo300

    JohnnyBravo300 Well-Known Member

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    If China is a currency manipulator, what does that make the rest of us?
    For Trump to even say that as he oversees the biggest economic manipulations in human history and even claims personal credit for it shows his lack of understanding or sense.
     
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  12. openeyes

    openeyes Well-Known Member Silver Stacker

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    I don’t really see much difference between current actions and the last 90 years. It is all shades of grey to me.
     
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  13. alor

    alor Well-Known Member Silver Stacker

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    http://www.xinhuanet.com/english/20...phLi7TtGHFJdX3NDhRRwmhbH7P9Z6t9QaDvo_SGD7WsMk
    U.S. decision to label China currency manipulator totally wrong: China's central bank
    Source: Xinhua| 2019-08-07 10:25:27|Editor: huaxia

    The label not only violates the common sense of economics and international consensus but fails to meet the quantitative criteria for the so-called "currency manipulator" set by the U.S. Department of the Treasury, said Chen Yulu, deputy governor of the People's Bank of China.

    BEIJING, Aug. 7 (Xinhua) -- The U.S. Treasury's decision to label China "a currency manipulator" is totally wrong, a deputy central bank governor said Tuesday.

    The label not only violates the common sense of economics and international consensus but fails to meet the quantitative criteria for the so-called "currency manipulator" set by the U.S. Department of the Treasury, said Chen Yulu, deputy governor of the People's Bank of China (PBOC).

    China has never resorted to competitive devaluation and will not use currency as a tool for competition, according to Chen.

    During the 1997 Asian financial crisis and the 2008 global financial crisis, China was committed to keeping the currency stable, which contributed tremendously to the global economic recovery and stabilization of the international financial market, Chen said.

    Since China's currency reform in 2005, the yuan's nominal exchange rate and real exchange rate have appreciated around 40 percent. Meanwhile, the country's current account surplus declined to 0.4 percent of the GDP of 2018, down notably from 9.2 percent in 2005, he said.

    The yuan's depreciation since the beginning of August should be attributed to market fluctuations caused by the changes in global economic climate and escalation of trade frictions, Chen said, stressing that the devaluation, which is decided by market forces, is completely unrelated to so-called currency manipulation.

    The trade disputes provoked by the U.S. have triggered various fluctuations in the global financial market and at the same time brought volatility to both the U.S. financial market and the U.S. dollar index since 2018, Chen said.

    "We hope that the U.S. side should show respect for the truth and resolve the economic and trade disputes with China in a more reasonable and pragmatic way before it goes too far on the wrong path," he added.
     
  14. Number 47

    Number 47 Well-Known Member

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    Perhaps it's all very, very simple?

    I wonder how this plan works for developed countries?

    Buy up gold at a reasonable price,

    Force down the value of the US, AU and CNY dollar through economic games.

    Industry Issues commercial acceptance bills to each other in lue of payments,

    Dump the gold on the panicked market at its newly inflated price,

    Settle your debts.

    Kick the fiat down the road for another century.
     
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  15. alor

    alor Well-Known Member Silver Stacker

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  16. sgbuyer

    sgbuyer Well-Known Member Silver Stacker

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    This showdown between the US and China is inevitable. Trump is only bringing it forward before China is ready for it. China is trying to delay the showdown so that hopefully Trump loses the election and gets replaced by a Clinton and Biden which they can easily buy over using paid speeches and buy another 8 years by which China will be ready. Once China is ready, it will be the other way round, China can refuse to export to the US, no need tariffs by then.

    So no matter what happens, regardless who is the president, America's free lunch is coming to an end. Prices are going to rise.
     
    Last edited: Aug 7, 2019
  17. JohnnyBravo300

    JohnnyBravo300 Well-Known Member

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    We are basically placing sanctions on ourselves, in a roundabout way. The free lunch is soon over as you said.
    It's weird to compare the two like that but they line up perfectly almost and same outcomes. Interesting.
     
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  18. alor

    alor Well-Known Member Silver Stacker

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    the manuver by China was easy swiff and affective
    Trump 10% tarrif on 300B
    countered by
    depreciated Yuan of 1.x%
     
  19. alor

    alor Well-Known Member Silver Stacker

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  20. alor

    alor Well-Known Member Silver Stacker

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    I can not believe how Trump would ask Europe to buy US farms produce, after they were lead to the slaughter houses for supporting Russian sanctions and in the process lost their farms and farmers
    literally slaughtered


    Pepe Escobar
    Yesterday at 7:47 AM ·


    I AIN'T GONNA WORK ON MAGGIE'S FARM NO MORE

    The big story is not only that China just tweaked the yuan a little bit and sent Wall Street into a demented tailspin.

    The best part is the Ministry of Commerce spelling out on the record the response to Tariff Trump’s latest: the volume of Chinese companies buying US agricultural products will soon be ZERO.

    That is: products sold by Trump’s rural voters.

    Sun Tzu, baby.
     

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