Morgan Stanley say China is in a strong position, so 'trade tensions will likely stay with us'

[TaiShang]

If the US cannot sell their own produce, they will consume it themselves. That is how it works.

Usually, the way it works is rising inventories and decline in corporate profitability, which leads to capacity cuts and overall contraction.

And yet they are the strongest currency in the world. And china continue to hold T-bills worth 2 trillion $ of this same deb driven growth with negative NIIP Nation. Have you ever wondered why ?

Because China is an East Asian nation which tends to grow based on investment from credits accrued through exports.

India does negative NIIP as as the case with the US. Now, what India needs to do is to turn rupee into global reserve currency. The latter should be easier for you to do than the former.

 

[beijingwalker]

I'm confused, it's you who are 'talking' about how this means nothing to China and how China should have zero trade with the US. It's your buster, it's your cheap talk, certainly not mine.

Where did I say China should have zero trade with the US? I was talking against some other US posters here cheering for a so called win of Sino US trade war, you better check again why those posts are there.
Let's see what that plays out, China can wait, I doubt if Trump can.

 

[TaiShang]

Where the future lies? You don't allow people access to your markets. Future is the same as is now. Secondly, your people's purchasing power far less than Americans.

US has a surplus in services (Hollywood etc).

 

[Foggy_Bottom]

US has a surplus in services (Hollywood etc).

I'm honored you took a break from your mandated work here to reply. However, I suspect you went rogue from the script with that head scratcher

 

[Han Patriot]

2 Trillion is too large an amount to be dumped.

The T-bills you hold do not even generate any interest. So you are already at a loss holding them, but to dump them will wipe out a significant part of your foreign currency savings. US loss might be short term, yours will be long term.

If the US puts a sanction on you for attempting to dump the USD, who do you think the world will stand behind ?

Maybe Russia will stand behind china. Who else ? How else will you purchase non russian oil and gas ?

Stating the truth and Facts is not cheering the system. Neither is your boasting going to change the reality.

You are talking like a foolish ignorant nationalist attempting to punch beyond your weight so don't be surprised when the world tells you that you will fail. Thank fully your govt. knows this.

Well that's for me and you to find out whether we will destroy this system. My bet is we won't and the US will find a middle ground for both of us to live in. Politics is 50% drama. I think you still don't understand how money works and how the financial system works. If Tbills are useless, Japan won't be keeping almost a trillion of it. Its a leash to keep US in check. Stimulate their appetite to import. Ultimately those are just printed dollars to us but I return we buy the world's raw materials , get the latest management skills and technology and skills to build our country. By using yuan, we are bypassing the dollars in trying to achieve the same thing. Trade is all about the exchange and goods and services not money my friend. Why should China use dollars to buy Russian oil. In the old days, US was milder and willing to accommodate China. Times are changing, we are only second to them technologically and financially, we are a big threat. I am not boasting at all, money is useless if you don't it to develop your country like what China is doing. We are the only real sovereign power left on earth, all the others are practically US dominated.

The belt and road was never about domination, it was about creating an alternative trading system. We build infrastructure and sell our technology, we give them long term Yuan loans, they slowly repay by exchanging with their produce over decades. In that way US is not involved at all.

 

[Andhadhun]

Well that's for me and you to find out whether we will destroy this system. My bet is we won't and the US will find a middle ground for both of us to live in. Politics is 50% drama. I think you still don't understand how money works and how the financial system works. If Tbills are useless, Japan won't be keeping almost a trillion of it. Its a leash to keep US in check. Stimulate their appetite to import. Ultimately those are just printed dollars to us but I return we buy the world's raw materials , get the latest management skills and technology and skills to build our country. By using yuan, we are bypassing the dollars in trying to achieve the same thing. Trade is all about the exchange and goods and services not money my friend. Why should China use dollars to buy Russian oil. In the old days, US was milder and willing to accommodate China. Times are changing, we are only second to them technologically and financially, we are a big threat. I am not boasting at all, money is useless if you don't it to develop your country like what China is doing. We are the only real sovereign power left on earth, all the others are practically US dominated.

The belt and road was never about domination, it was about creating an alternative trading system. We build infrastructure and sell our technology, we give them long term Yuan loans, they slowly repay by exchanging with their produce over decades. In that way US is not involved at all.

T-bills are useless if you want to use them for blackmail. They are only useful to maintain reserve.

If china wants to make yuan a currency for global trade then feel free to do so. Insist that you will ONLY sell goods if they buyers pay you in Yuan. Why don't you do that ? Walk the talk.

Since you feel you are invaluable, its about time you declared that china will ONLY trade in Yuan.

Let me know how that works out.

 

[Han Patriot]

T-bills are useless if you want to use them for blackmail. They are only useful to maintain reserve.

If china wants to make yuan a currency for global trade then feel free to do so. Insist that you will ONLY sell goods if they buyers pay you in Yuan. Why don't you do that ? Walk the talk.

Since you feel you are invaluable, its about time you declared that china will ONLY trade in Yuan.

Let me know how that works out.

Sure it's so useless, that we buy them for fun. Try googling wmd treasury bills China. Kinda lazy to post thing over n over again.

China doesn't need to make everyone buy in Yuan, we just need to give buyers a choice, not do we want to destroy the US trading system, create an alternative so people can choose, we can choose, why let US monopolize everything? China aims for a multiplar world.

Walk what talk? I am just saying China has an option and US is not as invincible as you think. Check out CNN tones nowadays, it's like begging China to return to the table. Before this it was China weak China no choice, China gonna give in, US won. Now it is US China relationship too important, China is confident can withstand the tarriffs, US might suffer. Ahhahaha

 

[Andhadhun]

Sure it's so useless, that we buy them for fun. Try googling wmd treasury bills China. Kinda lazy to post thing over n over again.

China doesn't need to make everyone buy in Yuan, we just need to give buyers a choice, not do we want to destroy the US trading system, create an alternative so people can choose, we can choose, why let US monopolize everything? China aims for a multiplar world.

Walk what talk? I am just saying China has an option and US is not as invincible as you think. Check out CNN tones nowadays, it's like begging China to return to the table. Before this it was China weak China no choice, China gonna give in, US won. Now it is US China relationship too important, China is confident can withstand the tarriffs, US might suffer. Ahhahaha

Let me repeat, its useless as an instrument for black mail.

You are free to trade in Yuan. I think you already do that with pakistan and Russia. So the multipolar world you talk about already exist.

I don't watch CNN and I don't really care what they say. I was only pointing to the fallacy in your earlier claim.

 

[Han Patriot]

Let me repeat, its useless as an instrument for black mail.

You are free to trade in Yuan. I think you already do that with pakistan and Russia. So the multipolar world you talk about already exist.

I don't watch CNN and I don't really care what they say. I was only pointing to the fallacy in your earlier claim.

Sure and we buy a trillion of it for fun. Well we are trying to expand this multipolar world. I claim nothing except China can withstand this and US is not as stronk as you think.

 

[Andhadhun]

Sure and we buy a trillion of it for fun. Well we are trying to expand this multipolar world. I claim nothing except China can withstand this and US is not as stronk as you think.

For now US economy is growing faster than before and chinese economic growth is slowing down.

You decide.

 

[Han Patriot]

For now US economy is growing faster than before and chinese economic growth is slowing down.

You decide.

What's wrong with growing slower but healthier. Now China is investing more into the well-being of our own people. Sewage treatment plants, cleaning the environment, closing down polluting factories, building better healthcare, pension system etc. It's time we invest for our own domestic consumption. The US is not omnipotent nor immortal, nor do we wanna overtake them, we also have a China dream, to rebuild out homeland to be treated as equals by the West. If Indians wanna be poodles, go ahead, we wanna be human.

 

[Andhadhun]

What's wrong with growing slower but healthier. Now China is investing more into the well-being of our own people. Sewage treatment plants, cleaning the environment, closing down polluting factories, building better healthcare, pension system etc. It's time we invest for our own domestic consumption. The US is not omnipotent nor immortal, nor do we wanna overtake them, we also have a China dream, to rebuild out homeland to be treated as equals by the West. If Indians wanna be poodles, go ahead, we wanna be human.

lol.... I remember the time when the chinese used to come to PDF and boast that they will sustain 10% growth till 2030.

Today they come and ask what is wrong with growing slower, but healther. Earlier it was Indians who used to make this claim.

Anyway, good luck being human. You should really start with Xinjiang.

 

[GumNaam]

lol.... I remember the time when the chinese used to come to PDF and boast that they will sustain 10% growth till 2030.

Today they come and ask what is wrong with growing slower, but healther. Earlier it was Indians who used to make this claim.

Anyway, good luck being human. You should really start with Xinjiang.

now indians are asking what is wrong with fudging up your numbers and lying to show economic growth!

 

[Han Patriot]

lol.... I remember the time when the chinese used to come to PDF and boast that they will sustain 10% growth till 2030.

Today they come and ask what is wrong with growing slower, but healther. Earlier it was Indians who used to make this claim.

Anyway, good luck being human. You should really start with Xinjiang.

Some Indians claim India can grow 20% and your economy will overtake ours by 2020. So? Now we are 5x your economy Bhai. The Chinese plan had always been slowing down after building up the backbone, to concentrate on the well being of the country. You need to understand the function of money, it's to create goods services and infrastructure your people need and then exchange them domestically. India can be a trillion dollar economy but if your people starves and shit openly. There is no meaning to your GDP.

Xinjiang has got a better infrastructure and living quality than Mumbai or Delhi, have you been there? I am talking about living quality, not having 1 million and staying like a rat.