Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

Buzz & Banter



U.S. Treasury Secretary John Snow is making the rounds in Asia and, as expected, has so far missed no opportunity to call for China to end its fixed currency peg to the dollar.

Snow's argument, aimed at the Chinese while he is in Tokyo no less, that a "functioning financial system is one based on flexible exchange rates" seems rather weak in the face of the $77 billion Japan has thus far spent to artificially weaken the yen. Although media reports indicate Snow did not mention China directly in his comments, I wish anyone luck finding a newspaper that did not interpret his comments as specifically targeting China's renminbi peg.

Things only get weirder from there, though. According to a front page article in the Financial Times this morning, Snow sidestepped the issue of Japan's massive currency intervention saying that his views on it are a "private matter" between him and Japan's finance minister.

The questions I have are these: Since when are the treasury secretary's views on currency intervention ever a private matter? Why, then, are the treasury secretary's views on the renminbi valuation a public matter? At what point, if ever, will his views on the yen move from a private matter to a public matter?

< Previous
  • 1
Next >
No positions in stocks mentioned.

The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.

Featured Videos