Saturday, January 10, 2009

Speak of the Devil...

Two posts ago I commented that the U.S. would, in essence, dare the rest of the world to do something about its dreadful custodianship of the currency of the ream. I offered that the rest of the planet, with the exception of a few rumblings, did not appear to be prepared to do much to address the status quo. Here is a report just out that indicates the trend away from the dollar, one now in its infancy, is picking up momentum.

http://www.shanghaidaily.com/sp/article/2009/200901/20090107/article_387229.htm

5 comments:

Thai said...

Nice post

Indeed, there are suggestions that the commons is rebelling (albeit slowly).

Oh what I would give for a crystal ball

Mike said...

Interesting.

Edwardo said...

Stay tuned to this portentous development, it is bound to get more intriguing as we go along.

Thai said...

Have you read Brad Stetser's latest piece? The implication is that Hell is correct and the rest of us have it backwards.

Edwardo said...

Thai, regarding Setser's (and apparently) Hell's thesis, someone put it quite well when they said, "What Setser shows is that there may well be a scenario where China keeps accumulating Treasuries. But what he fails to do is make a convincing case that this is the only scenario, or even the most likely one."