Monday, March 23, 2009

China Now Calls For Global Currency

Via Financial Times

"Hope-n-Change" trillion dollar deficits do have consequences as Beijing has now joined the Kremlin pushing for a new global currency to replace the US Dollar as the international reserve currency.

In December I wrote here that China continues to finance our deficits and is the largest holder of U.S. debt securities.

What happens if China now demands that the United States as a condition to future financing of our deficits, that we must join them collectively to establish a new world global currency?