The fourth Currency War of U.S

Last week, U.S. launch second round of the quantitative easing policy, and the crazy printing money. This led to the world is facing different degrees of other sovereign currency appreciation pressure. United States, "beggar thy neighbor" monetary policy, let the world worry about the world economy from the currency war seems closer.

Cho over financial commentators in Hong Kong seems currency war as early as August 1971 when the decoupling of the dollar and gold had already begun.

1971 United States refused to exchange the gold to other countries, "the Bretton Woods system" collapsed, so, the U.S. launched against the Petroleum Exporting Countries (OPEC) in the first currency war, U.S. and India to open, let the dollar fall. Data to measure the dollar value of the dollar exchange rate index in 1971 fell about 110 points to 1974 more than 90 points. Oil prices over the same period from about 2 U.S. dollars per barrel rose to $ 15, the global economy in the 1971-1980 inflation, including OPEC members, including more than 10 other economies have been hit.

1980, Japan's economic rise and the threat to the United States. Thus, the United States launched a second currency war, from 1980 onwards forced appreciation of the yen, and in 1985 forced Japan to sign the "Plaza Accord." Since then, the Japanese yen from 1 U.S. dollar of about 240 yen appreciation all the way to 1 U.S. dollar in early 1989 more than 80 yen. However, since 1990, due to large capital flight of U.S. dollar, the Japanese asset bubble began to burst.

From Japan to earn a hard target the U.S. capital again in Hong Kong and Taiwan, China and South Korea, Thailand, Malaysia and other emerging economies, so has the third currency war. The same way. From 1990 to 1997, these emerging economies appear to varying degrees the currency appreciation, together with the weak dollar, massive influx of U.S. capital, causing asset bubbles.

Cao Ren-chao, since 2001, the U.S. war in Afghanistan and Iraq consume a large amount of wealth, coupled with their own economic standing abuse the U.S., so the continued use of the U.S. dollar, to their own problems onto others, and trigger a global asset bubble and the commodity price soared. Data, the dollar index from July 2001 more than 120 points, rushing to the March 2008 record low of 71 points, the other economies hit hard by the trust on the dollar, if the dollar continued to fall inevitably affect the "world currency" status. Thus, the United States to target China to revalue its currency in an attempt to let the yuan when the "scapegoat."

In Cho super view, since 2005, the U.S. currency has been fighting for a fourth field, especially since the beginning of this year, signs are becoming evident. He pointed out that, throughout the past 40 years, the dollar index, significant fluctuations in the back of each, are outside the U.S. capital to the United States the process of making money. When the dollar the strongest, the economies of other assets is the cheapest time, the dollar around the capital can "buy the dips." After purchase, when the depreciation of the dollar, the dollar spread, the other economies, housing prices soared, the dollar profit from the capital to hard. This is America so rich to this day one of the reasons.