Comments on: The US, Abu Dhabi and Singapore Get in a Room… http://blogs.cfr.org/setser/2008/03/20/the-us-abu-dhabi-and-singapore-get-in-a-room/ Thu, 08 Jan 2009 22:20:41 +0000 http://wordpress.org/?v=2.6.1 By: df http://blogs.cfr.org/setser/2008/03/20/the-us-abu-dhabi-and-singapore-get-in-a-room/#comment-106345 df Sat, 22 Mar 2008 00:18:17 +0000 http://blogs.cfr.org/setser/2008/03/20/the-us-abu-dhabi-and-singapore-get-in-a-room/#comment-106345 Hey dave Chiang, are you around. See the US economy is in recession now, soon in depression. So what are your bets about china. Mine is China gets into negative growth territory in 2010 at the latest. By then we ll see what happens to the RMB. I bet some major reevaluation is in the works, simply because Europe and USA now faced to a wall will move for devaluation. Besides inflation differnetial might well do the trick if reevaluation does not. gee. Finally REBALANCING REBALANCING. Hey dave Chiang, are you around. See the US economy is in recession now, soon in depression.
So what are your bets about china. Mine is China gets into negative growth territory in 2010 at the latest.
By then we ll see what happens to the RMB. I bet some major reevaluation is in the works, simply because Europe and USA now faced to a wall will move for devaluation. Besides inflation differnetial might well do the trick if reevaluation does not.

gee. Finally REBALANCING REBALANCING.

]]> By: DF http://blogs.cfr.org/setser/2008/03/20/the-us-abu-dhabi-and-singapore-get-in-a-room/#comment-106344 DF Fri, 21 Mar 2008 03:36:22 +0000 http://blogs.cfr.org/setser/2008/03/20/the-us-abu-dhabi-and-singapore-get-in-a-room/#comment-106344 No rational non european investor would invest in US dollar denominated assets. No rational investor would invest in sth else than cash or cash like items (gvt bonds) in the present environment. Everything else is too expansive and prices bound to fall. No rational non european investor would invest in US dollar denominated assets.
No rational investor would invest in sth else than cash or cash like items (gvt bonds) in the present environment.
Everything else is too expansive and prices bound to fall.

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