Drudge Retort: The Other Side of the News
Monday, August 05, 2019

Falling to nearly 14 cents to the dollar, the yuan's currency devaluation could become another tool in an ongoing trade war with the U.S.

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I love cheap China goods.

#1 | Posted by Ray at 2019-08-05 07:20 PM | Reply | Funny: 1

I'm a bit confused. China is now considered a currency manipulator by the USA for lowering the value of their Yuan.

However, 45 wants the value of the dollar pushed lower by having the Fed cut the interest rate even more. How is that not considered currency manipulation by the USA?

#2 | Posted by Judity at 2019-08-05 07:49 PM | Reply | Newsworthy 3

How is that not considered currency manipulation by the USA?
#2 | POSTED BY JUDITY

The golden rule is to ignore what they say and watch what they do.

#3 | Posted by Ray at 2019-08-05 08:24 PM | Reply

China has a billion people to keep busy. They will do what they have to, which means low tech manufacturing in the USA is dead, unless USA wages matches China.

#4 | Posted by bored at 2019-08-05 08:30 PM | Reply | Newsworthy 1

China can manipulate its currency much easier that the USA, so it will win.

#5 | Posted by bored at 2019-08-05 08:32 PM | Reply

However, 45 wants the value of the dollar pushed lower by having the Fed cut the interest rate even more.

What Trump wants is one thing. What he gets is another. The dollar has been rising for the past eight years.

Looks to me like Trump is interpreting the dollar's rise as a yuan fall.

It could be worse. If Hillary was president, we'd be having a hot war with China.

#6 | Posted by Ray at 2019-08-05 09:13 PM | Reply

This is the best explanation I've seen.

"So China today decided that they would let their currency float to it's perceived "market equilibrium" level, by the markets.

"Lets think about this.

"So by pulling away, China was artificially keeping their currency higher than it normally should have been (had it been allowed to freely float).

"Prior to today they would "SELL DOLLARS< and simultaneously BUY YUAN" to artificially keep the Yuan at an artificially pegged higher level. Today they threw in the towel. It floats for now...we think.

"So China's economy is weaker than it should have been for some period of time. This was just let free.

"China also no longer has to spend the dollars to support their internal monopoly currency pegged rate Remember they need those dollars for tariffs, oil and other goods and services from other global trading partners that, unfortunately, dont accept yuan, (Remember the Yuan only trades 1.5% of it outside the Chinese country. It is, in short, illiquid and unexchangable for a tanker of oil)"

#7 | Posted by Ray at 2019-08-05 09:51 PM | Reply

What's Walmark gonna do if they can't buy everything from China???

#8 | Posted by zelkova at 2019-08-05 10:57 PM | Reply

#8

How about what they did when Sam Walton was running the company?

#9 | Posted by WhoDaMan at 2019-08-05 11:04 PM | Reply

#9 how about you remove yourself from the gene pool?

#10 | Posted by BruceBanner at 2019-08-06 12:43 AM | Reply

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Trump should enact 2:1 penalty against China in terms of tariff increases for any depreciation of the renminbi.

I think we now can see clearly that China is hurting badly from the trade war as they are depreciating against every currency - not just the USD. While liberals and brain dead neocons were whining about tariffs only hurting US consumers - now you see the truth. Trump should take this opportunity to really stick it to the Chinese. We know from experience that they are unlikely to follow any long term agreement, so we need to take this opportunity to really crush them for the next 2 years. However, I am scared for Taiwan and Hong Kong - the chance of Chinese military action against one or both just moved to over 50%.

#11 | Posted by iragoldberg at 2019-08-06 02:09 AM | Reply

Hong Kong - the chance of Chinese military action against one or both just moved to over 50%. POSTED BY IRAGOLDBERG

It'll be interesting to see how the PRC/PLA plan to deal with Hong Kong, and whether they're learned from the Tianamin massacre.

#12 | Posted by GOnoles92 at 2019-08-06 06:54 AM | Reply

However, 45 wants the value of the dollar pushed lower by having the Fed cut the interest rate even more. How is that not considered currency manipulation by the USA?
...................#2 | POSTED BY JUDITY

'cause when you're a star they just let you grab'em by the currency...you can do anything

and I honestly believe the simplistic fool is just about that much in touch with actual governance

#13 | Posted by MizWatsonsJim at 2019-08-06 08:55 AM | Reply | Funny: 1

#12 | POSTED BY GONOLES92

for the foreseeable future hong kong is fine. it's a gateway to the west for chinese graft. eventually china will have enough legal juice to just absorb it.

#14 | Posted by MizWatsonsJim at 2019-08-06 09:04 AM | Reply

#9

You don't remember Sam's "Made In America" approach?

Sam M. Walton, the down- home Arkansas retail executive, is upset about the flood of imports, and he is aiming to do something about it.

As the chairman of Wal- Mart Stores, a 753-unit discount chain that operates largely in rural communities, Mr. Walton, who Forbes has estimated to be worth more than $2 billion, sees his small- town customers losing their jobs as factories close because of imports.

In February, he wrote to 3,000 American manufacturers and wholesalers telling them that the chain wanted to buy more American goods. ''Our continued success depends on our mutual reaction to a very serious problem with regard to our balance of trade deficit,'' he said in the letter. Wal- Mart reports that so far it has written new orders with four suppliers as a result of the 66-year-old Mr. Walton's appeal. www.nytimes.com (April 10, 1985)

#15 | Posted by WhoDaMan at 2019-08-06 09:10 AM | Reply | Newsworthy 1

Then as soon as Ole Sam kicked the bucket, his family told US mfg. to suck it, and now buy almost everything from China.

#16 | Posted by zelkova at 2019-08-06 09:29 AM | Reply

Now there is an event that really effects my life. HA!

#17 | Posted by Sniper at 2019-08-06 11:09 AM | Reply

Yep, this is what economists have been saying on both sides for years regarding China. This is a tactic that they can use at any time to make things worse. It takes many countries to do anything about it but nobody wants to step on China's toes except the US. But then the snowflakes in the US whine and cry because we are trying to do something about the unfairness. Technically, they are in the right because without the world's help, this tactic can be employed by China at any time which ruins our justified moral stand with them to make things fair for everyone, which is something they've proven many times they don't care about.

#18 | Posted by humtake at 2019-08-06 12:00 PM | Reply

You don't remember Sam's "Made In America" approach?
#15 | POSTED BY WHODAMAN

All they remember is the Mueller Report, and what wasn't in it.

This ragemob is on a wilding spree. Bruce's solution in #10 is to alter the gene pool.

God help us.

#19 | Posted by SheepleSchism at 2019-08-06 12:06 PM | Reply

How such a rich environment can show such a lackluster economic return is embarrassing. China is run by morons. Their authoritarianism isn't benefiting anyone. The defeat of Hong Kong's democracy is a byproduct of China.

#20 | Posted by redlightrobot at 2019-08-06 10:29 PM | Reply

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