Hi Zoo

This is from a friend She lives in HK
I got this today there is more of the story if
you follow my links

China is a place where there usually is no smoke without fire. I would therefore say that there may be some truth in the rumours that are circulating.

However Hong Kong is part of China and we are also pegged to the US$, so to do this would destabilize the currency here and cause the peg to break (it has been tested severely in recent weeks). From all I have heard on the radio there has been no mention of this, until this morning when the Financial Secretary dropped into a speech about creating 70000 jobs etc for HK next year, increasing the loan guarantees to local businesses by 10x and that we can also expect some help from Beijing. He also said that the worldwide financial downturn would affect us through 2009, but we would be fine again by 2010.

So this either means that he knows something the rest of us don’t, or that China is going to step in and take us back under its wing financially and look after us. If there is a sudden rise in the value of the Euro in the next couple of days with money coming out of HK, then you we will know the rich guys close to the government have been told to move in anticipation of the change by China.



Alan

I look forward in what you come up with
before I make a comment as I have a view but it may
based may be on rumor only so it's only a gut feeling
I hope I am wrong on this one if true just look back
at around 2000 /1 what happened when Saddum Hussain fired his real WMD
and no one saw it coming He switch from selling Iraq's oil
from US dollar to the EURO it created a shock wave for the
top end of town US to buy oil from Iraq Euro's was required

Al
p.s LQQKing forward to what you come up with

Anyone read anything about China devaluing their currency? Just read a rumour that they are telling the USA they may embark on a currency devaluation within the next 14 days. If this rumour is true, it will accelerate deflation massively because countries which produce value-added goods (Japan, China, any European countries with manufacturing bases) will be forced to also devalue to compete with China. Either that or tariffs will become fashionable again. One thing is for sure: Bernanke buying treasuries won't work, and it sure as hell won't work if China does this and simultaneously tells the USA they are fed up financing the US deficit.

Still trying to get my head around the implications of this if it's true. Any ideas CI?

Hi Mate thanks for your kind comment Pete
No I am not a Jounal But I am concerned that
the banking system you have is looking like our banking system
Down hear we have the Reserve Bank of Australia
that is not a Goverment department and looks like
THe Central Bank is controling our RBA.
The WARNING signs came up for me this week
when I got this google Alert

Bloomberg - USA
1 (Bloomberg) -- Australian money markets probably will have a deficit of A$3.26 billion ($2.2 billion), the country’s central bank estimated as it prepares to inject cash into the system.

Banks increased deposits at exchange settlement accounts with the central bank by A$1.54 billion on Nov. 28, the Reserve Bank of Australia said today on its Web site.

Exchange settlement accounts are on-call deposits at the Reserve Bank that receive interest at 0.25 percentage point below the central bank’s benchmark rate. Governor Glenn Stevens lowered the cash target rate to 5.25 percent on Nov. 4.

The above is not good news for the Australian folks
And for every one in general...

Thanks again for your Comment Pete

Cheers Alan

This is an Aussie journal Alan...

Hi Guys I am from down under a place we call OZ
Why do you stil have the Privatly own Federal Reserve
in the first place It is not a Federal and it has no reserve
JFK was going to get rid of it, and now you have Ron Paul
infact only today I reseaved thisRep. Ron Paul (R- Texas) has launched a campaign to eliminate the Federal Reserve System and return the nation to a gold or silver standard.

The former Republican presidential candidate, who has introduced legislation to abolish the Federal Reserve Board, claims the Fed is unconstitutional.

His bill, H.R. 2755, would also require that U.S. currency be backed by gold or silver.

“They (the Federal Reserve Banks) are the official counterfeiters,” Paul told Cashews.com. “The Constitution says only gold and silver can be used as legal tender. Printing paper money or creating money with a computer is not permissible, and economically it’s a disaster.”


Several thousand demonstrators rallied in 45 cities around the country on the Saturday before Thanksgiving trying to draw attention to Paul's

the article goes on however to try and keep this shot it looks to me
that at least some of you guys are working things out

Cheers I will you well

Alan Hamer

It's like a story unfolding. We all know the ending, we just lie in hope that there will be a twist.