China as the Bad Guy?
In anticipation of the state visit by Chinese Leader Hu Jintao, I spoke about the pressure on US politicians to do something about the Chinese currency problem with RT America’s Alyona Minkovski on the Alyona Show last night. The video is below. My take here is that the pressure on Obama to do something, anything about China has diminished due to the upswing in the economy and the Republican house leaders unwillingness to go protectionist. Meanwhile Hu is looking to make America look like the bad guy and deflect criticism onto the US because of quantitative easing.
As a juxtaposition to my comments, you might find the following analysis from Paul Tudor Jones on the structural problems in the US-China relationship interesting. I have posited that this unbalanced relationship could eventually end in Murder-Suicide, something that I still believe could happen and that Tudor Jones took head on in a recent newsletter (Hat tip Scott via Business Insider). But for now, tensions are waning somewhat.
Here’s Tudor Jones with his thoughts on the structural problems in Chimerica. Enjoy.