certyfikat energetyczny, chirurg pruszcz gda?ski, chusty do noszenia dzieci, donice, meble kuchenne gdynia, muzeum bursztynu w gdańsku, tynki gipsowe maszynowo szczecin,

Archiwum newsów - DJ US Tsy Doesn't Name China As Currency Manipulator

2007-12-20  
DJ US Tsy Doesn't Name China As Currency Manipulator
The U.S. Treasury Department Wednesday once again declined to designate
China as a currency manipulator, despite increasing pressure from Congress.
In its latest semi-annual report to Congress on the currency policies of
countries around the world, Treasury reiterated its complaint that the
recent appreciation in the Chinese yuan is "too limited and modest," but
argued that the government's heavy intervention doesn't meet the legal
definition for currency manipulation.
"China should significantly accelerate the appreciation of the (yuan's)
effective exchange rate in order to minimize the risks that are being
created for China itself as well as the world economy, of which China is an
increasingly critical part," Treasury said. The U.S. will continue to use
every opportunity to stress to Chinese leaders "the need for China to
rebalance growth, including reform of the exchange rate regime," it said.
China abandoned a strict currency peg in July 2005, but it maintains a
trading band around an unspecified basket of currencies that includes the
dollar and euro.
That band has gradually been widened, and the yuan has appreciated 12.1%
against the dollar since it was de-pegged and about 6% against the dollar
this year. However, it has only strengthened 3.8% against China's major
trading partners since July 2005.
"Despite the progress that China has made and the continued public
commitment to reform, China's exchange rate is undervalued against the U.S.
dollar and on a trade-weighted basis, even in the judgment of many domestic
observers," Treasury said.
The imbalances in China's economy, both domestic and external, have
continued to worsen, it said, citing rising inflation and the growing
current account surplus.
Still, Treasury Secretary Henry Paulson has resisted pressure from members
of Congress from both parties to take action against what they claim is a
grossly undervalued currency that provides China with an unfair trade
advantage.
Paulson has opted instead for diplomacy, though he came away from last
week's Strategic Economic Dialogue in China with no new concessions on the
currency front.
He told reporters on the trip that the U.S. and China have no differences in
the principle of adopting a flexible currency policy, but that "they say
they want to move in a gradual basis because their economic stability is
very important to China and the rest of the world."
There are two bills that have passed out of Senate committees that would
retaliate against China's currency policy, though neither has been brought
up for a full vote.
Senate Finance Committee Chairman Max Baucus, D-Mont., who co-sponsored a
currency bill that passed through the committee in July, said he is
disappointed by Treasury's "continued timidity" on the issue.
"Clearly, good economic sense and forceful dialogue haven't compelled China
to meaningful currency reform," Baucus said in a statement. "Perhaps
congressional action can be more persuasive next year."
His bill would drop the term "manipulation" and allow for antidumping
penalties to be imposed if a country's currency is designated as
"fundamentally misaligned."
Senate Banking Committee Chairman Christopher Dodd, D-Conn., said he will
push for legislation, which he co-sponsored and was passed by the committee
in August, that would make it harder for Treasury to avoid calling China a
manipulator.
"In essence, Treasury admits there is smoke but refuses to admit a fire
continues to burn," Dodd said in a statement.
The National Association of Manufacturers, a trade group, said it supports
Paulson's ongoing dialogue with China, but that it believes such efforts
"would be made easier" if the country is designated as a manipulator.
Meanwhile, Treasury said in the report that global economic growth has
"performed exceptionally well" this year despite troubles in credit markets.
The impact of the financial sklep wielkopowierzchniowy problems on global capital flows remains
difficult to measure, however, it said.
The report noted "steady progress" in reducing global imbalances, including
the U.S. current account deficit, which fell to 5.1% of gross domestic
product in the third quarter of this year after peaking at 6.8% of GDP at
the end of 2005.
Treasury also noted the rapid rise in the value of sovereign wealth funds,
or government investment vehicles, that have grown rapidly in recent years
from either commodity exports or the buildup of foreign exchange reserves.
The funds have come under increasing scrutiny as governments who control the
fast-growing funds have sought to diversify into assets with higher returns,
such as stocks.
In the latest high-profile investment, Morgan Stanley (MS) announced
Wednesday that China Investment Corp., China's sovereign wealth fund, has
agreed to buy up to 9.9% of the investment pula.
Treasury said the funds, with assets estimated to be between $1.9 trillion
and $2.9 trillion, have the potential to promote financial stability because
they tend to be long-term stable investors.
However, they could also spur protectionist sentiment due to national
security or other concerns and threaten financial stability, it said.
The U.S. is working to create an international konsens to respond to the
funds' growth, and Treasury cited "meaningful progress" in the effort.
It noted that the Organization for Economic Cooperation and Development has
sped up its work on coming up with recommendations for recipient countries,
while the International Monetary Fund steering committee has asked that
institution to identify practices for countries with sovereign wealth funds.
-By Tom Barkley, Dow Jones Newswires; 202-862-9255; tom.barkley@dowjones.com
« powrot
Copyright 1996-2007 Klika Onet.pl SA