'Devalue or Die' Era Is Picking Up Steam
Source: Seeking Alpha, Sol Palha††(3/17/10)
"Clearly, the U.S. does not favor a stronger dollar policy. . ."
If the U.S. wanted to put an end to this nonsense, it would simply follow a course that would ensure the dollar becomes stronger. This in turn would drive the value of the yuan up as it is pegged to the dollar.
Clearly, the U.S. does not favor a stronger dollar policy; though it pays lip service to this, its actions say otherwise. The bandits in Congress want to print all the money in the world, and then they want other nations to let their currencies appreciate. China is too smart to fall for this game and the U.S. is no longer the big bad wolf that can huff and puff and blow all the straw houses down. Now many of the houses are built with brick and steel and so no matter how hard this big bad wolf blows the Chinese house is not going to fall down.
The race to the bottom that we spoke of several years ago is now picking up steam as each nation competitively devalues its currency to gain a trading edge over its neighbor. In such an environment, one has to move into hard assets as they offer the best means to protect against this outright theft. One of the simplest ways is to do this is to move into precious metal.