China Likes It Hot
Not that there's anything wrong with that necessarily.
China’s accelerating inflation has started to erode household savings, threatening to spur purchases of property and stocks and fuel asset-price pressures.
Consumer prices rose a more-than-forecast 2.7 percent in February, the most in 16 months, the statistics bureau said in Beijing yesterday. The increase means the rate exceeds the one- year deposit rate of 2.25 percent.
So-called negative real rates skew incentives to spending just as China’s economy is already accelerating -- reports this week showed exports rose, industrial production accelerated and new loans exceeded forecasts. The central bank may raise interest rates within the next three weeks, Standard Chartered Bank Plc, Nomura Holdings Inc. and Royal Bank of Canada said.
Hey China, not only should you knock that off and unpeg from the dollar, Obama is kind of pissed that you price your crappy lead-tainted exports so cheaply, can you kindly knock that off?