{
    "href": "/post/2011/10/04/smoot-hawley-redux-us-chinese-currency-wars/",
    "relId": "2011/10/04/smoot-hawley-redux-us-chinese-currency-wars",
    "title": "Smoot-Hawley Redux? US-Chinese Currency Wars",
    "author": "pmjones",
    "markup": "html",
    "tags": [
        {
            "href": "/tag/economics/",
            "relId": "economics",
            "title": "Economics",
            "author": null,
            "created": null,
            "updated": [],
            "markup": "markdown"
        }
    ],
    "created": "2011-10-04 13:48:04 UTC",
    "updated": [
        "2011-10-04 13:48:04 UTC"
    ],
    "html": "<blockquote>\n<p>A few hours ago, the maniac simians at the Senate finally did it and fired the first round in the great US-China currency war, after they took aim at one of China's core economic policies, voting to move forward with a bill designed to press Beijing to let its currency rise in value in the hope of creating U.S. jobs.</p>\n<p>As Reuters reports, \"Senators voted 79-19 to open a week of Senate debate on the Currency Exchange Rate Oversight Reform Act of 2011, which would <strong>allow the U.S. government to slap countervailing duties on products from countries found to be subsidizing their exports by undervaluing their currencies.</strong> Monday's strong green light for debate on the bill bolsters prospects it will clear the Democrat-run Senate later this week, but prospects for action in the Republican-controlled House of Representatives are murky. If the bill did clear both chambers, it would present President Barack Obama with a tough decision on whether to sign the popular legislation into law and risk a trade war with Beijing, or veto it to pursue a more diplomatic approach.\"</p>\n<p>The response has been quick and severe: \"China's foreign ministry said it \"adamantly opposes\" a bill pushed by the U.S. Senate that will allow the United States to impose duties on countries that undervalue their currencies.\"</p>\n<p>And just because China is now certain that the US will continue with its provocative posture, most recently demonstrated by the vocal response in the latest US-Taiwan military escalation, we would not be surprised at all to find China Daily report that China has accidentally sold a few billions in US government bonds... just because.</p>\n</blockquote>\n<p>Reformatted, and emphasis mine. Via <em><a href=\"http://www.zerohedge.com/news/china-fires-back-us-senate-which-may-have-just-started-sino-us-currency-wars\">China Fires Back At US Senate Which May Have Just Started The Sino-US Currency Wars | ZeroHedge</a></em>.</p>\n"
}