A windswept Peter Schiff, on August 17th, discusses more negative fundamentals for the US Dollar after news from China that the Chinese government are recently reduced their holding of US Treasuries by about 7% and increased their reserves of Euros and Yen. This follows the other news this week that China officially overtook Japan as the world’s second largest economy, after recently overtaking Germany as the world’s largest exporter and also overtaking the US to become the world’s largest consumer of energy.[As Jim Rogers has said, it may be time to teach your children Mandarin.]
Mr Schiff contrasts this growth of the Chinese economy with the strange economic statistic that the US imports more than Japan and Germany despite exporting less than either.
He also continues his recent thoughts on how the move in the US towards permanent unemployment benefit entraps people into enduring poverty: