Good morning! Let’s take a look at the currency crisis. Simon Johnson at Project Syndicate says the brewing currency wars are not just China’s fault, though it “certainly bears some responsibility.” He mostly blames “Europe’s refusal to reform global economic governance, compounded by years of political mismanagement and self-deception in the United States. … the […]
Category Archives: Fiat Currency
Global Currents
In brief: Riccardo Barbieri argues that China’s swelling currency reserves may relegate the dollar and euro to trading ranges, “effectively ending their free float in the market.” Overnight in Tokyo, the dollar fell to “a fresh post-intervention low against the yen” of 83.23, despite the Sept. 15 dollar-buying spree by the Bank of Japan. Traders […]
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Sovereign Crisis
We’ve been watching the sovereign debt risk for many months, so the Greek tragedy is not entirely shocking. What anybody who’s doubted has to admit, though, is that the time to have prepared for trouble was a lot more recent than last year or even the beginning of this year. The correction didn’t happen nearly […]
