Apparently the leader of the world is going to meet with another country's leader
to discuss international trade and politics.
There'll be talk of human rights and currency exchange- rate manipulation.
It's gonna get ugly.
["and take your damn worthless dollars back!"]Who is Obama going to meet with? Hu's that? Hu's the leader?
And, as I said above, he's hopping mad with
the US and its f&*(king around in the markets.
[Hu's on first? That's right.]if US/China relations were a baseball game,
Hu would be on first, second and third,
continuously rounding the bases
[bases-loaded walk- celebrity wonder]
[hey! you're grazing my nuts-NY Daily News]
by the Yankee lead pitcher, Obama the southpaw.
Obama: What a pleasure to see you again.
Hu: Stop printing monopoly money, oh pot to my kettle who is black.
Obama: Let the markets take their course.
Hu: Well then, I guess youz are f&*(cked.
Obama: Buy more of our stuff.
Hu: what? those cheap trinkets? Save them for the Indians.
Obama: buddy, can you spare a dime?
Hu: Yuan a loan? HaaaHhaaaaa! LOL
You have too much loan.
Cue the shaolin, stage left:
This is where Hu opens, for Obama, the Doorway to Hell.
The Yankees won't fall in without a fight.
[SCTV- Ling Ye Tang]
1 explanation of why China and the US are going to divorce court:
Who Holds the Trump Cards in the China vs. US Poker Game?
Submitted by Phoenix Capital Research on 01/22/2011 15:08 -0500
In my last article, I outlined the current financial/ economic relationship between China and the US. In particular I focused on the manner in which China is diverting its money and resources away from the US Dollar and US economy.
Indeed, in my opinion, when push comes to shove it is China, NOT the US who holds the trump cards on the major issues. Here is a list of the trump cards I perceive. I’ve referenced this list previously in a report on the Fed’s Quantitative Easing Program 2, but I believe it bears reiteration:
1) Rare earths production (China controls 93% of global production).
2) US Treasuries ownership (a decision by the #1 holder to dump would start a global rush from the US Dollar)
3) Derivatives: China could simply tell its banks and firms to renege on all derivatives deals, not just the commodity ones (commodity derivatives only comprise 2% of global derivatives, interest rate-based derivatives, in contrast, comprise 80% or so of the $600 TRILLION derivative market.
4) Interest rates hikes: a series of interest rate hikes could greatly damage the US via its derivatives market (see #3 above) or the US Dollar, which currently pays next to nothing.
In contrast, the US’s primary strengths are its indebtedness (it could potentially renege on its debts to China, though this would likely kick off a systemic implosion too), its military (which is already stretched thin due to the wars in the Middle East), and its reserve currency (which China is already moving to confront).
In plain terms, China has the upper hand here. So be prepared to see any of the above cards played in the coming years depending on how things play out between the two countries.
In closing, I want to stress that none of my statements are meant to come across as US-bashing nor do I think the US is somehow “finished” from an economic standpoint. The history of this country has been one of continually re-inventing itself via conflict and I fully believe that it will successfully emerge from its current economic problems (though this process will take years).
Moreover, I do not wish to come across as a disciple of the “Chinese growth miracle” doctrine, which has saturated the financial community. The Chinese economy faces its own major issues particularly regarding inflation, over-capacity, loose monetary policies and infrastructure needs beyond the coast cities.[and so on]
2 The US wakes up to the new Chinese dynasty.Their reaction.Shitting of shorts.
http://www.bloomberg.com/news/2011-01-13/americans-figuring-out-who-is-world-s-no-1-commentary-by-william-pesek.html
Americans Figuring Out Who Is World's No. 1: William Pesek
By William Pesek - Jan 13, 2011 10:19 PM GMT Bloomberg Opinion
William Pesek
Nine percent of Americans think Japan is the world’s top economic power, and that raises an obvious question: Huh?
If we knew exactly who that current-events-challenged minority was, we could make a bundle sending them e-mails on how to redeem unclaimed fortunes in Nigerian banks. Thankfully, most Americans got it right in a Jan. 5-9 survey by the Pew Research Center for the People and the Press. It’s that China, not the U.S., is on top, reflecting a marked shift in attitudes after the global financial crisis.
Make that Asia in general. When John Calverley, global head of macroeconomic research at Standard Chartered Bank in New York, predicts annual world output will rise to $308 trillion by 2030 from $62 trillion today, Asia is a major reason why. Calverley expects China and India alone to account for 33 percent of gross domestic product, compared with 12 percent by the U.S. and 3 percent by Japan.
Here’s something both surprising and comforting: Fewer than one-quarter of the respondents view China as an adversary, and some 58 percent said it’s important to build stronger ties with China. Yet how realistic is that? Not very, in the short run.
China is America’s banker and it’s coming for dinner next week. President Barack Obama is rolling out the red carpet for his main financier, Chinese President Hu Jintao. The state visit, which begins Jan. 18, offers Obama a chance to ask China not to call its loans. China holds $907 billion of U.S Treasuries.
Group of Two
The financial relationship between the Group of Two is the long-term issue on which Obama and Hu will focus. A minefield of explosive short- to intermediate-term ones must be navigated before the U.S. and China come to grips with where they were 10 years ago and where they may be a decade from now.
Anyone who thinks all this will go smoothly is dreaming. Obvious flashpoints are currencies, trade, intellectual property rights, climate change, military spending, North Korea, scarce global resources and human rights.[they're fighting to see who's worse- Costick67] Markets will be whipsawed by any geopolitical hiccups.
The U.S. is only now realizing the extent to which China has made gains in all of these areas, often at the U.S.’s expense, over the last decade. Americans are also beginning to fathom a future in which they, like the Japanese, will be in something approaching a subordinate role.
‘Developing Nation’
That’s why many pundits are comparing Hu’s Washington visit to Deng Xiaoping’s in 1979. There’s a bit of hyperbole in this view, yet there’s no denying that with China using its $2.8 trillion of currency reserves to support Europe, the “developing nation” label no longer fits easily.
Yes, China is grappling with poverty and an immature financial system makes it hard for the central bank to control things. China is also keen on throwing its weight around without a commensurate increase in global responsibility. China’s corruption, coddling of North Korea and its support of rogue regimes in the name of resource procurement are cases in point.[and so on]
