I thought that said The Euro -- propped by Cheese

On a slight tangent, what China is really waiting for is for the Australian Dollar to collapse so they can buy up the entire country for cheap, vacate the round-eyes, and take it over. Lebensraum Redux and all that. This Euro thing is just a warm up.

/found on a really weird website

hurdboy: The Stealth Hippopotamus: If we find out that China is backing the Euro, and China is forced to start trading the true value of the Yen then I'm set up for a nice little profit.

Decoupling the Yuan from the Dollar will probably end up with it more valuable than the Euro. At the same time, get ready for a 90% revenue jump at Walmart.

If the Yuan went up in value that would make prices at WalMart much higher. That wouldn't help their revenue.

not to welcome extra derp in this thread, but with congress hell bent on pursuing a possible trade war, doesn't this kind of belong in the politics tab too?

...so it will collapse in less than 3 months then?

/shoddy construction

StrikitRich: If the Yuan went up in value that would make prices at WalMart much higher. That wouldn't help their revenue.

Others are waiting...yes, I'm looking at you, Vietnam, Bangladesh and India. China's top politicians collectively, and collectivistly, shiat their pants every time they contemplate letting the Yuan rise.

Wait, the linked article says the source is The Sunday Times. So take this with a grain mine of salt.

Ooh, so the Euro could take out the Yuan as well? Hopefully this whole mess will see the rise of a banking system where governments print their money and not private banks.

Welcome to the inevitable consequences of outsourcing every manufacturing job on the planet to China. They are now buying up all the assets worldwide they can get their hands on... US, Europe, Canada (I live in Vancouver with its China driven real-estate bubble)... gratefully facilitated by baby boomer executives/politicians who don't give a crap about the long term as long as their retirement nest eggs stay nice and propped up for the next 5-10 years.

The fact that their kids/grandkids will have a massively lower standard of living due to this mass sell off and its impact on national competitiveness doesn't seem to matter.

Its so sad.

/99%?

this seems like a pretty big development but I am not seeing stories anywhere else.

What's the deal with the Yuan? is it being kept artificially low by the government? Can't people calculate its real value? Why is it not trading at that value? Are the chinese hiding key elements for its calculation? Could the Yuan be completely worthless and the chinese are just hiding the fact? Haven't the chinese built entire cities that are unpopulated? How does that factor in?

/knows nothing about this obviously

China conquers the world without firing a shot.

China has made a "secret commitment" to prop up the crisis-hit eurozone in return for budget reforms and public sector cuts, the Sunday Times reported, amid ongoing turmoil over the region's debt crisis.


Shhhhh, keep it down guys. This is supposed to be a secret.

well, now the world is really screwed when people wise up and china collapses.

china is the internet bubble of this decade

Pvt. Snowball: What's the deal with the Yuan? is it being kept artificially low by the government? Can't people calculate its real value? Why is it not trading at that value? Are the chinese hiding key elements for its calculation? Could the Yuan be completely worthless and the chinese are just hiding the fact? Haven't the chinese built entire cities that are unpopulated? How does that factor in?

/knows nothing about this obviously

Its pretty much the exact opposite to worthless - its actually worth more but theyre holding down the value so they can keep tapping into that sweet, sweet well that is cheap labor. If they allow their currency to appreciate that $9.95 clock at Wal Mart suddenly costs $20 because the Yuan to Dollar ratio has changed.... and if it suddenly costs a lot more to buy shiat made in China then companies won't. This (of course) does not mean millions of job returning to America, they'll just move to the next country with semi-decent infrastructure (at least in a few locations) and a willing workforce.

There WILL be some gains to US manufacturing though - things that are already getting close for the whole "cost vs. pain in the ass getting supplies from countries half way around the planet with quality control problems" will likely slowly make their way back here... assuming Americans still have enough money to, you know, actually buy shiat when that time rolls around.

Before I do anything, first I want to check with my broker, Yuan Valdez.

Oh, and,

Link (new window)

/Steyn rocks

StrikitRich: hurdboy: The Stealth Hippopotamus: If we find out that China is backing the Euro, and China is forced to start trading the true value of the Yen then I'm set up for a nice little profit.

Decoupling the Yuan from the Dollar will probably end up with it more valuable than the Euro. At the same time, get ready for a 90% revenue jump at Walmart.

If the Yuan went up in value that would make prices at WalMart much higher. That wouldn't help their revenue.

Was about to say, Chinese things costing more is NOT going to be good for Walmart.

FTA: "...Beijing was willing to pump tens of billions into the eurozone to purchase infrastructure assets from debt-plagued nations."

"We go now, shopping spree. We want the Vasco de Gama Bridge, Iberian Peninsula, the Alta Velocidad Española, the Eiffel Tower..."

WhoIsNotInMyKitchen: Welcome to the inevitable consequences of outsourcing every manufacturing job on the planet to China. They are now buying up all the assets worldwide they can get their hands on... US, Europe, Canada (I live in Vancouver with its China driven real-estate bubble)... gratefully facilitated by baby boomer executives/politicians who don't give a crap about the long term as long as their retirement nest eggs stay nice and propped up for the next 5-10 years.

The fact that their kids/grandkids will have a massively lower standard of living due to this mass sell off and its impact on national competitiveness doesn't seem to matter.

Its so sad.

/99%?

This all started with Bill Clinton.

Will they have to redesign the Euro?

Nemo's Brother: WhoIsNotInMyKitchen: Welcome to the inevitable consequences of outsourcing every manufacturing job on the planet to China. They are now buying up all the assets worldwide they can get their hands on... US, Europe, Canada (I live in Vancouver with its China driven real-estate bubble)... gratefully facilitated by baby boomer executives/politicians who don't give a crap about the long term as long as their retirement nest eggs stay nice and propped up for the next 5-10 years.

The fact that their kids/grandkids will have a massively lower standard of living due to this mass sell off and its impact on national competitiveness doesn't seem to matter.

Its so sad.

/99%?

This all started with Bill Clinton.

I think it was probably starting earlier but Clinto certainly kicked it into warp drive. Its sad.

WhoIsNotInMyKitchen: Nemo's Brother: WhoIsNotInMyKitchen: Welcome to the inevitable consequences of outsourcing every manufacturing job on the planet to China. They are now buying up all the assets worldwide they can get their hands on... US, Europe, Canada (I live in Vancouver with its China driven real-estate bubble)... gratefully facilitated by baby boomer executives/politicians who don't give a crap about the long term as long as their retirement nest eggs stay nice and propped up for the next 5-10 years.

The fact that their kids/grandkids will have a massively lower standard of living due to this mass sell off and its impact on national competitiveness doesn't seem to matter.

Its so sad.

/99%?

This all started with Bill Clinton.

I think it was probably starting earlier but Clinto certainly kicked it into warp drive. Its sad.

Actually, it started with a dashing, idealistic young buck named Richard Milhous Nixon.