Wednesday, March 24, 2010

US-China currency clash

China is resisting America's demands to revalue the yuan. America is threatening to punish China if it does not revalue the yuan. The Senate is trying to pass a legislation that would lead to duties on Chinese products.

Basically If the yuan floats, it is estimated that the U.S. will be able to have a huge growth in exports, which will help boost it's economy, and save millions of jobs.

This would create huge damage to China. America's stock market could shoot up, and China's stock market could crash.

So keep an eye on the debate this week.

Meanwhile the trend in the Nifty is UP...enjoy the ride...

The entire story could be read here:
http://www.cnbc.com/id/36009781

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