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Q: Should we start changing money into USD? Will the exchange rate go back down?
If the exchange rate keeps going up, my RMB is going to be worth less in the US.
Is anybody knowledgeable on the subject? Will the exchagne drop back down to normal soon???
Will NiceBrice and Talkwad finally realize that they BOTH constantly screw up letters in their spelling?
Will ALL the fake accounts be dropped by ECC as someone, somewhere in the administration must realize that these accounts are useless?
Inquiring minds want to know!
ambivalentmace:
i amazed that any chinese person with a ounce of shame would even ask economic questions, they have bragged about their superior understanding and planning of the economy for 30 years and now the game is over and there looking for someone to blame, every country has to take the bad with the good, it's china's turn to take the bad, get over it and move on, the world will still be here when it's over.
the trend is for the rmb to lose value to the dollar and a lot of big money people are betting that way, so i change mine to dollars every month, 3 years ago i was buying canadian dollars, everything changes, right now every county is slowing down, its not safe to even buy singapore dollars right now. singapore had too many loans with china that are defaulting and hurting their currency.
Will NiceBrice and Talkwad finally realize that they BOTH constantly screw up letters in their spelling?
Will ALL the fake accounts be dropped by ECC as someone, somewhere in the administration must realize that these accounts are useless?
Inquiring minds want to know!
ambivalentmace:
i amazed that any chinese person with a ounce of shame would even ask economic questions, they have bragged about their superior understanding and planning of the economy for 30 years and now the game is over and there looking for someone to blame, every country has to take the bad with the good, it's china's turn to take the bad, get over it and move on, the world will still be here when it's over.
NiceBrice is definitely a wumao. I'm the real deal Sino, you bitter panda, you.
Also, there are no spelling errors in my question. If their were before, it's because I'mn a shlophy typeurrr
I'm not going to go as far as calling the OP a wumao but here is why the government would pay people to post such questions.
There is no question, if you are currently holding any money in RMB, change it now. The Chinese economy is heading in one direction and that's it. If you can't see that, then you're an idiot. China is trying desperately to keep manufacturing companies. And they have nothing to offer other than lowering the value of the currency.
Let me explain why this is a wumaoish question. If I ask 'Is the world around?' I'm making it seem as if there is a possibility that a truth may not be real. Republicans use this technique when it comes to Climate Change and abortion. When it comes to China's currency, there is no question. China is trying to pose the question in order to slow down the capital flight. (I read on yahoo that in recent months, record numbers of money have left the country)
Manufacting has gone down in China. But it is still growing. I am sitting here with a western friend. This year his budget is $200k capital to set up a new production line. My budget this year is about $80k.
Small numbers yes. But multiply that by 100's of thousands of factories.
There is a slowdown. And that slowdown has pretty much been agreed between the east and the west. The Chinese consumerist society has not taken off as the Party wished. Most of the consumerist money has gone to Ireland, and is in the Apple account.
Job losses continue in the west. Yup. As Wall Street bankers still export jobs, China fulfills its part of the capitalist deal to decease it's currency value. And because the RMB goes down, the west now panics over the value of its investments.
Fantastic. Utterly fantastic. The drip down economics of thatcher and Reagan has been totally disproven.
China is still growing. Maybe at a few points less than they claim.
But business is still investing in China. They are making people redundant in the west.
Englteachted:
You're only looking at one side. Yes, there are some factories moving to China, but more are moving out. Factories are not getting enough orders and are closing down. Look at Guangdong in one region about 75 closed up shop. China went from producing 38% of the worlds products to producing around 18%. That's not an increase!
Englteachted:
You're only looking at one side. Yes, there are some factories moving to China, but more are moving out. Factories are not getting enough orders and are closing down. Look at Guangdong in one region about 75 closed up shop. China went from producing 38% of the worlds products to producing around 18%. That's not an increase!
bill8899:
Ok ... yea ... so you and your friend will refurbish/rebuild thousands of factories in China? I do not think your company or any other will do that in the near future. Maybe Ford? hahaha Seriously most of the big players have sold off their assets here. Hey God bless Ford, they're doing well, but overcapacity is the game here.
You realize the financial (or capital, depending on when you studied that stuff) account is in deficit? Like I mean uhhh capital running away from and out of here? A lot of it? FDI has fallen to a small percentage of the golden years. Oh, and a bit of expense there to defend the yuan. Not to worry.
Oh I see, the west and east agreed to the slowdown? Really? Oh and China will depreciate their currency based on some kind of deal with capitalism? Has nothing to do with capital flight or monstrous debt. I know, I know.
Oh, no, very few big westerner players have enough invested here to worry about the yuan. Even the Carlyle Group sold out. Most of the remaining foreign investors are European, and I do not envy them.
Yea maybe growing about 7 points less than claimed.
What decade are you living in?
Oh and just for comic effect, if any, I'll answer OP's questions.
Yes.
Perhaps, when the locals want to squeeze the hedge fund managers who are shorting the yuan, like recently. But it won't go down much because that is expensive. 6.5 might be the best rate this year.
Yes, some people are knowledgeable about this subject. I just asked this man at the bus stop.
Depends on what 'normal' is, but, no, no 'drop back to normal soon'. Figure on yuan at 6.5 or more to $1, increasing to about 7:$1 by the end of 2016, if not sooner. And it might get worse. Forget about 6.2 rmb to $1.
