Tuesday, October 6, 2009

Scary Plot -- Does it Make Sense?

Supposedly, there is a nefarious cabal of malicious nations looking to dump the dollar via oil producing countries. I have a hard time with this for two reasons:

1) China is one of the supposed countries. China has the largest reserve of US dollars outside of the United States. The US is also their biggest trading partner. Their financial position is prefaced on the strength of the dollar. Dumping the dollar would hurt the US the most, but hurt China the second most.

2) China manipulates the Arab countries on a daily basis. I don't believe much when I hear that there is a rumor of an agreement between China and Arab countries. China will string them along and then turn around saying "I have no idea what you're talking about."

1 comment:

  1. How do they know about these supposed meetings? If someone can prove the meetings are happening, that's one thing. But in terms of logic, it's quite possible that they see our future as even more grim than today and are looking for ways to minimize long term losses. Admittedly, this comes from someone who is financially conservative and sees our current predicament as a precurser building to a Grape of Wrath-like correction having forstalled the smaller more controllable corrections. But still.