Tuesday, July 19, 2005

The Dragon

The Prudent Investor - seeing too many bubbles: China Will First Invest And Then Revalue
Doubting the solidity of the jobless economic expansion in the US and seeing no solution to Europe's rising unemployment amidst a stagnant economy that now gets additionally burdened by record oil prices to be paid in a higher dollar I do not think China is so naive to gobble up ever bigger parts of the runaway money supply in the west. Their beginning foray into Africa and Russia makes much more sense than to accumulate ever more paper debt as they will have to master a huge energy problem.