Asset purchases by the US Federal Reserve do not cause rising food prices in countries such as Egypt, the central bank’s chairman Ben Bernanke said on Thursday.
“I think it’s entirely unfair to attribute excess demand pressures in emerging markets to US monetary policy, because emerging markets have all the tools they need to address excess demand in those countries,” he said.
Mr Bernanke’s comments are a firm retort to critics who argue that by driving down US interest rates with quantitative easing the Fed is pushing capital flows into commodities and emerging markets.
Saturday, February 5, 2011
Fed denies policy is causing food rises
http://www.ft.com/cms/s/0/5c4aeaea-2fbd-11e0-91f8-00144feabdc0.html#axzz1D6u3CF3f
Subscribe to:
Post Comments (Atom)
Posts
![[Most Recent Quotes from www.kitco.com]](https://lh3.googleusercontent.com/blogger_img_proxy/AEn0k_uLTSfL-ZuIi7Kth8lMZuhiMK3KdeG_8Bis_Z9gtpNrMQkQ_tDsT-UoSObXHKsWLGiiHq2wwkzlNea_UBx_pNfuEF3DW5mwamuSh-AvT2vjxcgW42KSzAa86JIF304nJgdxAA=s0-d)
![[Most Recent Quotes from www.kitco.com]](https://lh3.googleusercontent.com/blogger_img_proxy/AEn0k_ulFewU56P1GjQXIW26UF41d6QCr8iF9pTwYDb2ABLg-04sXB6wfYIsjGuyzTZHk2uNTXTHbMdqTkIPCEINXMtj31n0iznzwgobgv6np2UAOlZvulOCfnaY8eqQUgnnzSaOI31m=s0-d)
![[Most Recent USD from www.kitco.com]](https://lh3.googleusercontent.com/blogger_img_proxy/AEn0k_u1613TU9UrH7-ILLnxbOOYezRa4zentQlhLg4MuMrL2-aAYZC0ejgtTDspBZh5BEv_p1P-pWdFaNBlE_lwR_9ZiWhQPinhTXlS9jPWr_GDvBNYyLRSAzJD=s0-d)
The US is the world's largest currency manipulator. They do not care what kind of injury is inflicted on other countries as long as it gets what it wants. To call China a currency manipulator in the face and proportions that the US manipulates world currencies, not just their own, is like blaming a mouse for downing an elephant. pure myth!
ReplyDeleteAnonymous, agreed that the US is the world's largest currency manipulator. I thought I'd post that article to present the opposing view, a half-baked denial.
ReplyDeleteIf this is the professional opinion of the guy who runs the world's largest economy by dollar volume it is easy to understand why the US is on the verge of bankruptcy. He must be one of those people who get a lofty position from who they know not what they know and is otherwise unemployable. Unfortunately the American government is full of these kind of elitists who think they are entitled because their daddy was good at what he did.
ReplyDeleteI think it is more insidious than that. The financial elite know exactly what they are doing and what the consequences are down the road. They just don't want the collapse to occur on their watch. Meanwhile, bankers are pushing paper to their clients, while hoarding precious metals for their own personal accounts offshore.
ReplyDelete