China tells U.S. to slow money printing presses

[dkf]

(Reuters) - A senior Chinese official said on Friday that the United States should cut back on printing money to stimulate its economy if the world is to have confidence in the dollar.

Asked whether he was worried about the dollar, the chairman of China's sovereign wealth fund, the China Investment Corporation, Jin Liqun, told the World Economic Forum in Davos: "I am a little bit worried."

Jin said he was confident that the Obama administration and Congress would ultimately solve the debate over the so-called fiscal cliff, "but of course the printing machine will have to slow down for people to have full confidence in the dollar".

China is the biggest purchaser of U.S. Treasury bonds, using its enormous foreign currency reserves primarily to buy U.S. securities as a long-term investment.

"There will be no winners in currency wars. But it is important for a central bank that the money goes to the right place," Li said.

http://www.reuters.com/article/2013/01/25/us-davos-currencies-idUSBRE90O10620130125

[CrazyOrangeCat]

1. He should STFU, and go take a long swim in the Yangtze . . . . n/t

[thelordofhell]

2. "China is the biggest purchaser of U.S. Treasury bonds"........really??

I guess there's no Social Security surplus then..............

[customerserviceguy]

3. Social Security isn't going to get paid, either

Or, they will with heavily inflated dollars, just like the Chinese.

[Incitatus]

5. IIRC China owns about 7 or 8% of our debt. nt

[dkf]

7. Social security has no additional surplus to buy treasuries with.

[DJ13]

4. the United States should cut back on printing money to stimulate its economy

Says the country that has an economy on perpetual stimulation to insure >8% growth.

[reformist2]

6. This is an interesting development... I bet we cave in to their, er, request.